Atmos Energy
Market Cap
US$12.9b
Last Updated
2021/07/31 05:32 UTC
Data Sources
Company Financials +
Executive Summary
Atmos Energy Corporation, together with its subsidiaries, engages in the regulated natural gas distribution, and pipeline and storage businesses in the United States. More Details
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer with proven track record.
Similar Companies
Share Price & News
How has Atmos Energy's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ATO is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.
Volatility Over Time: ATO's weekly volatility (2%) has been stable over the past year.
Market Performance
7 Day Return
-0.9%
ATO
-0.3%
US Gas Utilities
-0.5%
US Market
1 Year Return
-7.0%
ATO
10.8%
US Gas Utilities
35.9%
US Market
Return vs Industry: ATO underperformed the US Gas Utilities industry which returned 10.8% over the past year.
Return vs Market: ATO underperformed the US Market which returned 35.9% over the past year.
Shareholder returns
| ATO | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.9% | -0.3% | -0.5% |
| 30 Day | 1.7% | 0.6% | 0.3% |
| 90 Day | -4.8% | -1.3% | 3.1% |
| 1 Year | -4.6%-7.0% | 14.6%10.8% | 38.0%35.9% |
| 3 Year | 14.8%7.4% | 3.9%-5.4% | 62.9%52.7% |
| 5 Year | 41.2%26.2% | 21.7%4.3% | 121.7%97.3% |
Long-Term Price Volatility Vs. Market
How volatile is Atmos Energy's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Atmos Energy (NYSE:ATO) Takes On Some Risk With Its Use Of Debt4 weeks ago | Simply Wall St
What Type Of Shareholders Own The Most Number of Atmos Energy Corporation (NYSE:ATO) Shares?1 month ago | Simply Wall St
Atmos Energy Corporation (NYSE:ATO) Insiders Increased Their HoldingsValuation
Is Atmos Energy undervalued compared to its fair value and its price relative to the market?
17.8x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ATO ($98.59) is trading above our estimate of fair value ($71.15)
Significantly Below Fair Value: ATO is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ATO is good value based on its PE Ratio (17.8x) compared to the US Gas Utilities industry average (18.7x).
PE vs Market: ATO is good value based on its PE Ratio (17.8x) compared to the US market (18x).
Price to Earnings Growth Ratio
PEG Ratio: ATO is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: ATO is good value based on its PB Ratio (1.6x) compared to the US Gas Utilities industry average (1.8x).
Future Growth
How is Atmos Energy forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
9.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ATO's forecast earnings growth (9.6% per year) is above the savings rate (2%).
Earnings vs Market: ATO's earnings (9.6% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: ATO's earnings are forecast to grow, but not significantly.
Revenue vs Market: ATO's revenue (8.6% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: ATO's revenue (8.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ATO's Return on Equity is forecast to be low in 3 years time (9%).
Past Performance
How has Atmos Energy performed over the past 5 years?
12.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ATO has a high level of non-cash earnings.
Growing Profit Margin: ATO's current net profit margins (21.8%) are higher than last year (20%).
Past Earnings Growth Analysis
Earnings Trend: ATO's earnings have grown by 12.4% per year over the past 5 years.
Accelerating Growth: ATO's earnings growth over the past year (25.2%) exceeds its 5-year average (12.4% per year).
Earnings vs Industry: ATO earnings growth over the past year (25.2%) exceeded the Gas Utilities industry 24.6%.
Return on Equity
High ROE: ATO's Return on Equity (8.9%) is considered low.
Financial Health
How is Atmos Energy's financial position?
Financial Position Analysis
Short Term Liabilities: ATO's short term assets ($1.6B) exceed its short term liabilities ($871.3M).
Long Term Liabilities: ATO's short term assets ($1.6B) do not cover its long term liabilities ($10.7B).
Debt to Equity History and Analysis
Debt Level: ATO's debt to equity ratio (93.4%) is considered high.
Reducing Debt: ATO's debt to equity ratio has reduced from 97.7% to 93.4% over the past 5 years.
Debt Coverage: ATO's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: ATO's interest payments on its debt are well covered by EBIT (11.4x coverage).
Balance Sheet
Dividend
What is Atmos Energy current dividend yield, its reliability and sustainability?
2.54%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ATO's dividend (2.54%) is higher than the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: ATO's dividend (2.54%) is low compared to the top 25% of dividend payers in the US market (3.54%).
Stability and Growth of Payments
Stable Dividend: ATO's dividends per share have been stable in the past 10 years.
Growing Dividend: ATO's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (43.3%), ATO's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ATO's dividends in 3 years are forecast to be well covered by earnings (49.9% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.9yrs
Average management tenure
CEO
Kevin Akers (58 yo)
1.75yrs
Tenure
US$9,826,659
Compensation
Mr. John Kevin Akers, also known as Kevin, has been President, Chief Executive Officer and Director of Atmos Energy Corporation since October 1, 2019. Mr. Akers served as Executive Vice President of Safety...
CEO Compensation Analysis
Compensation vs Market: Kevin's total compensation ($USD9.83M) is about average for companies of similar size in the US market ($USD11.17M).
Compensation vs Earnings: Kevin's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: ATO's management team is considered experienced (3.9 years average tenure).
Board Members
Experienced Board: ATO's board of directors are seasoned and experienced ( 12.2 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 6.9%.
Top Shareholders
Company Information
Atmos Energy Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Atmos Energy Corporation
- Ticker: ATO
- Exchange: NYSE
- Founded: 1906
- Industry: Gas Utilities
- Sector: Utilities
- Market Cap: US$12.894b
- Shares outstanding: 130.79m
- Website: https://www.atmosenergy.com
Number of Employees
Location
- Atmos Energy Corporation
- 1800 Three Lincoln Centre
- 5430 LBJ Freeway
- Dallas
- Texas
- 75240
- United States
Listings
Biography
Atmos Energy Corporation, together with its subsidiaries, engages in the regulated natural gas distribution, and pipeline and storage businesses in the United States. It operates in two segments, Distribut...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/31 05:32 |
| End of Day Share Price | 2021/07/30 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/09/30 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.