Atmos Energy CorporationATO
NYSE•Utilities•Utilities - Regulated Gas
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 two segments, Distribution, and Pipeline and Storage. The Distribution segment is involved in the regulated natural gas distribution and related sales operations in eight states. This segment distributes natural gas to approximately 3.4 million residential, commercial, public authority, and industrial customers; and owned 76,000 miles of underground distribution and transmission mains. The Pipeline and Storage segment engages in the pipeline and storage operations. This segment transports natural gas for third parties and manages five underground storage facilities in Texas; provides ancillary services customary to the pipeline industry, including parking arrangements, lending, and inventory sales; and owned 5,700 miles of gas transmission lines. Atmos Energy Corporation was founded in 1906 and is based in Dallas, Texas.
Atmos Energy Corporation (ATO) reported trailing twelve months revenue of $4.88B as of March 2026, a 8.8% increase year-over-year. Quarterly revenue reached $1.96B, reflecting continued top-line momentum.
Atmos Energy Corporation generated $1.35B in TTM net income, with quarterly EBITDA of $960.49M. The operating margin expanded from 32.2% to 39.0%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (39.0%) and net margin (29.7%) indicates moderate non-operating costs. Net margin has improved from 24.9% a year ago, signaling stronger bottom-line efficiency.
ATO trades at a P/E of 22.9x (in line with broad market averages) and a P/S of 6.3x. The price-to-book ratio of 2.1x reflects a moderate premium to book value.
The company reported negative free cash flow of $-280.10M, indicating cash consumption over the period. The balance sheet shows $30.38B in total assets with $9.55B in long-term debt against $14.91B in stockholders equity for a debt-to-equity ratio of 0.6. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~33.5%, suggesting durable pricing power and cost discipline.
ROE is positive at ~8.7% on average, adequate but below the threshold typically associated with wide moats.
Only 1 of the last 8 quarters had positive FCF — the business may require external capital to sustain operations.
TTM revenue has grown consistently (7 of 7 quarters up), with ~19.2% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~34.3% — no sign of cost or pricing stress.
Free cash flow has been negative in 7 of the last 8 quarters — earnings are not translating to cash.
D/E ratio is 0.6 — conservative capital structure with low financial risk.
Revenue is stable or growing over recent quarters — demand appears durable.
The last 4 consecutive quarters had negative FCF — the company is burning cash and may need external funding.
Shares outstanding increased 8.6% — significant dilution, likely from stock compensation or capital raises.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation