Atmos Energy Corporation (ATO)vsSouthern Company (SO)
ATO
Atmos Energy Corporation
$189.98
+2.30%
UTILITIES · Cap: $30.72B
SO
Southern Company
$96.70
+3.41%
UTILITIES · Cap: $109.01B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 507% more annual revenue ($29.55B vs $4.87B). ATO leads profitability with a 25.7% profit margin vs 14.7%. ATO appears more attractively valued with a PEG of 2.23. ATO earns a higher WallStSmart Score of 64/100 (C+).
ATO
Buy64
out of 100
Grade: C+
SO
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ATO.
Margin of Safety
-35.0%
Fair Value
$71.61
Current Price
$96.70
$25.09 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 38.9%
Keeps 26 of every $100 in revenue as profit
Reasonable price relative to book value
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Negative free cash flow — burning cash
Distress zone — elevated risk
Expensive relative to growth rate
Earnings declined 22.1%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : ATO
The strongest argument for ATO centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 25.7% and operating margin at 38.9%. Revenue growth of 14.2% demonstrates continued momentum.
Bull Case : SO
The strongest argument for SO centers on Market Cap. Revenue growth of 10.1% demonstrates continued momentum.
Bear Case : ATO
The primary concerns for ATO are PEG Ratio, Piotroski F-Score, Free Cash Flow.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
ATO profiles as a mature stock while SO is a value play — different risk/reward profiles.
ATO carries more volatility with a beta of 0.69 — expect wider price swings.
ATO is growing revenue faster at 14.2% — sustainability is the question.
ATO generates stronger free cash flow (-725M), providing more financial flexibility.
Bottom Line
ATO scores higher overall (64/100 vs 54/100), backed by strong 25.7% margins and 14.2% revenue growth. Both earn "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.
Southern Company
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Southern Company is an American gas and electric utility holding company based in the southern United States. It is headquartered in Atlanta, Georgia, with executive offices also located in Birmingham, Alabama.
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