WallStSmart

Atmos Energy Corporation (ATO)vsNewJersey Resources Corporation (NJR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Atmos Energy Corporation generates 121% more annual revenue ($4.92B vs $2.23B). ATO leads profitability with a 28.5% profit margin vs 16.4%. ATO appears more attractively valued with a PEG of 2.03. ATO earns a higher WallStSmart Score of 66/100 (B-).

ATO

Strong Buy

66

out of 100

Grade: B-

Growth: 5.3Profit: 8.0Value: 5.0Quality: 4.0
Piotroski: 2/9Altman Z: 1.10

NJR

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 6.5Value: 4.7Quality: 4.0
Piotroski: 4/9Altman Z: 1.02
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ATO.

NJRSignificantly Overvalued (-63.8%)

Margin of Safety

-63.8%

Fair Value

$32.26

Current Price

$54.97

$22.71 premium

UndervaluedFair: $32.26Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ATO4 strengths · Avg: 8.8/10
Operating MarginProfitability
37.2%10/10

Strong operational efficiency at 37.2%

Profit MarginProfitability
28.5%9/10

Keeps 29 of every $100 in revenue as profit

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

EPS GrowthGrowth
23.3%8/10

Earnings expanding 23.3% YoY

NJR3 strengths · Avg: 8.0/10
P/E RatioValuation
15.4x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
16.8%8/10

16.8% revenue growth

Areas to Watch

ATO4 concerns · Avg: 3.3/10
PEG RatioValuation
2.034/10

Expensive relative to growth rate

Revenue GrowthGrowth
4.8%4/10

4.8% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-399.43M2/10

Negative free cash flow — burning cash

NJR3 concerns · Avg: 3.0/10
PEG RatioValuation
2.154/10

Expensive relative to growth rate

Debt/EquityHealth
1.473/10

Elevated debt levels

Altman Z-ScoreHealth
1.022/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ATO

The strongest argument for ATO centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 28.5% and operating margin at 37.2%.

Bull Case : NJR

The strongest argument for NJR centers on P/E Ratio, Price/Book, Revenue Growth. Profitability is solid with margins at 16.4% and operating margin at 9.1%. Revenue growth of 16.8% demonstrates continued momentum.

Bear Case : ATO

The primary concerns for ATO are PEG Ratio, Revenue Growth, Piotroski F-Score.

Bear Case : NJR

The primary concerns for NJR are PEG Ratio, Debt/Equity, Altman Z-Score.

Key Dynamics to Monitor

ATO profiles as a value stock while NJR is a growth play — different risk/reward profiles.

ATO carries more volatility with a beta of 0.60 — expect wider price swings.

NJR is growing revenue faster at 16.8% — sustainability is the question.

NJR generates stronger free cash flow (25M), providing more financial flexibility.

Bottom Line

ATO scores higher overall (66/100 vs 57/100), backed by strong 28.5% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Atmos Energy Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

Atmos Energy Corporation, headquartered in Dallas, Texas, is one of the United States' largest natural-gas-only distributors.

NewJersey Resources Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

New Jersey Resources Corporation, an energy services portfolio company, provides regulated gas distribution and retail and wholesale energy services. The company is headquartered in Wall, New Jersey.

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