Atmos Energy
Market Cap
US$13.4b
Last Updated
2019/10/23 23:32 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.
Snowflake
Fundamentals
Established dividend payer with mediocre balance sheet.
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
Market Performance
7 Day Return
1.7%
ATO
1.2%
US Gas Utilities
0.07%
US Market
1 Year Return
16.3%
ATO
2.5%
US Gas Utilities
8.9%
US Market
Return vs Industry: ATO exceeded the US Gas Utilities industry which returned 2.5% over the past year.
Return vs Market: ATO exceeded the US Market which returned 8.9% over the past year.
Shareholder returns
| ATO | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.7% | 1.2% | 0.07% |
| 30 Day | 0.4% | -1.5% | -0.3% |
| 90 Day | 5.5% | -1.0% | -1.6% |
| 1 Year | 18.7%16.3% | 5.1%2.5% | 11.3%8.9% |
| 3 Year | 66.7%56.1% | 36.7%26.8% | 46.3%36.8% |
| 5 Year | 142.6%115.5% | 70.0%48.7% | 62.1%44.3% |
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
Is Atmos Energy Corporation's (NYSE:ATO) 8.7% ROE Strong Compared To Its Industry?4 weeks ago | Simply Wall St
Is Atmos Energy's (NYSE:ATO) 140% Share Price Increase Well Justified?1 month ago | Simply Wall St
Atmos Energy Corporation's (NYSE:ATO) Earnings Dropped -18%, How Did It Fare Against The Industry?Valuation
Is Atmos Energy undervalued compared to its fair value and its price relative to the market?
26.53x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ATO ($113.01) is trading above our estimate of fair value ($49.71)
Significantly Below Fair Value: ATO is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ATO is poor value based on its PE Ratio (26.5x) compared to the Gas Utilities industry average (25.9x).
PE vs Market: ATO is poor value based on its PE Ratio (26.5x) compared to the US market (17.8x).
Price to Earnings Growth Ratio
PEG Ratio: ATO is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: ATO is overvalued based on its PB Ratio (2.4x) compared to the US Gas Utilities industry average (2.3x).
Next Steps
Future Growth
How is Atmos Energy forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
10.7%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ATO's forecast earnings growth (10.7% per year) is above the savings rate (2.7%).
Earnings vs Market: ATO's earnings (10.7% per year) are forecast to grow slower than the US market (14.5% per year).
High Growth Earnings: ATO's earnings are forecast to grow, but not significantly.
Revenue vs Market: ATO's revenue (7.9% per year) is forecast to grow faster than the US market (7.2% per year).
High Growth Revenue: ATO's revenue (7.9% 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 (9.3%).
Next Steps
Past Performance
How has Atmos Energy performed over the past 5 years?
15.2%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: ATO's earnings have grown by 15.2% per year over the past 5 years.
Accelerating Growth: ATO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ATO had negative earnings growth (-18.1%) over the past year, making it difficult to compare to the Gas Utilities industry average (-8.9%).
Return on Equity
High ROE: ATO's Return on Equity (8.7%) is considered low.
Return on Assets
ROA vs Industry: ATO has a higher Return on Assets than the Gas Utilities industry average last year.
Return on Capital Employed
ROCE Improving: ATO's Return on Capital Employed has declined over the past 3 years.
Next Steps
Financial Health
How is Atmos Energy's financial position?
Financial Position Analysis
Short Term Liabilities: ATO's short term assets ($503.5M) do not cover its short term liabilities ($901.4M)
Long Term Liabilities: ATO's short term assets (503.5M) do not cover its long term liabilities (6.3B)
Debt to Equity History and Analysis
Debt Level: ATO's debt to equity ratio (66.1%) is considered high
Reducing Debt: ATO's debt to equity ratio has reduced from 78.9% to 66.1% over the past 5 years.
Debt Coverage: ATO's debt is well covered by operating cash flow (24.1%).
Interest Coverage: ATO's interest payments on its debt are well covered by EBIT (7.6x coverage).
Balance Sheet
Inventory Level: ATO has a high level of physical assets or inventory.
Debt Coverage by Assets: ATO's debt is not covered by short term assets (assets are 0.1x debt).
Next Steps
Dividend
What is Atmos Energy's current dividend yield, its reliability and sustainability?
1.86%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: ATO's dividend (1.86%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: ATO's dividend (1.86%) is low compared to the top 25% of dividend payers in the US market (3.68%).
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 (48.4%), 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% payout ratio).
Next Steps
Management
What is the CEO of Atmos Energy's salary, the management and board of directors tenure and is there insider trading?
2.7yrs
Average management tenure
CEO
John Akers (56yo)
0yrs
Tenure
US$1,736,610
Compensation
Mr. John Kevin Akers 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 & Enterprise Services ...
CEO Compensation Analysis
Compensation vs. Market: John has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.
Compensation vs Earnings: John's compensation has been consistent with company performance over the past year.
Management Age and Tenure
2.7yrs
Average Tenure
51yo
Average Age
Experienced Management: ATO's management team is considered experienced (2.7 years average tenure).
Board Age and Tenure
8.9yrs
Average Tenure
69yo
Average Age
Experienced Board: ATO's board of directors are seasoned and experienced ( 8.9 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Management Team
Kim Cocklin (68yo)
Executive Chairman of the Board
- Tenure: 2yrs
- Compensation: US$4.35m
John Akers (56yo)
CEO, President & Director
- Tenure: 0yrs
- Compensation: US$1.74m
Rich Gius (62yo)
VP & Chief Information Officer
- Tenure: 12yrs
Chris Forsythe (47yo)
Senior VP & CFO
- Tenure: 2.7yrs
- Compensation: US$1.41m
David Park (48yo)
Senior Vice President of Utility Operations
- Tenure: 2.8yrs
- Compensation: US$1.40m
Matt Robbins (49yo)
Senior Vice President of Human Resources
- Tenure: 2.8yrs
Karen Hartsfield (49yo)
Senior VP
- Tenure: 2.2yrs
Liz Beauchamp
Vice President of Governmental & Public Affairs
- Tenure: 2.2yrs
Jennifer Hills (53yo)
Vice President of Investor Relations
- Tenure: 0yrs
Jeff Knights
Senior Vice President of Technical & Operating Services
- Tenure: 1.2yrs
Board Members
Richard Ware (73yo)
Independent Director
- Tenure: 25.8yrs
- Compensation: US$314.59k
Nancy Quinn (66yo)
Independent Director
- Tenure: 15.2yrs
- Compensation: US$326.91k
Richard Gordon (70yo)
Lead Director
- Tenure: 3.7yrs
- Compensation: US$339.40k
Mike Haefner (59yo)
Director
- Tenure: 3.9yrs
- Compensation: US$10.96m
Kim Cocklin (68yo)
Executive Chairman of the Board
- Tenure: 2yrs
- Compensation: US$4.35m
John Akers (56yo)
CEO, President & Director
- Tenure: 0yrs
- Compensation: US$1.74m
Steve Springer (73yo)
Director
- Tenure: 14.1yrs
- Compensation: US$314.40k
Denise Bunkley
Member of the Customer Advisory Board
- Tenure: 0yrs
Bob Grable (73yo)
Independent Director
- Tenure: 10.4yrs
- Compensation: US$324.60k
Dick Sampson (69yo)
Independent Director
- Tenure: 7.4yrs
- Compensation: US$329.40k
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$13.358b
- Shares outstanding: 118.20m
- Website: https://www.atmosenergy.com
Number of Employees
Location
- Atmos Energy Corporation
- Three Lincoln Centre
- Suite 1800
- Dallas
- Texas
- 75240
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ATO | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Nov 1983 |
| AEO | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Nov 1983 |
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 through Distribution, and ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/23 23:32 |
| End of Day Share Price | 2019/10/23 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/09/30 |
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.