Atmos Energy Corporation (ATO)vsSouthern Company (SO)
ATO
Atmos Energy Corporation
$170.24
+1.36%
UTILITIES · Cap: $28.37B
SO
Southern Company
$92.60
-0.17%
UTILITIES · Cap: $102.01B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 518% more annual revenue ($30.18B vs $4.88B). ATO leads profitability with a 27.6% profit margin vs 14.5%. ATO appears more attractively valued with a PEG of 2.06. ATO earns a higher WallStSmart Score of 64/100 (C+).
ATO
Buy64
out of 100
Grade: C+
SO
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ATO.
Margin of Safety
-47.7%
Fair Value
$62.70
Current Price
$92.60
$29.90 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 39.3%
Keeps 28 of every $100 in revenue as profit
Reasonable price relative to book value
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 25.8%
Areas to Watch
Expensive relative to growth rate
0.6% revenue growth
Weak financial health signals
Negative free cash flow — burning cash
Weak financial health signals
Expensive relative to growth rate
Earnings declined 0.8%
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 27.6% and operating margin at 39.3%.
Bull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin.
Bear Case : ATO
The primary concerns for ATO are PEG Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : SO
The primary concerns for SO are Piotroski F-Score, PEG Ratio, EPS Growth. Debt-to-equity of 2.05 is elevated, increasing financial risk.
Key Dynamics to Monitor
ATO carries more volatility with a beta of 0.60 — expect wider price swings.
SO is growing revenue faster at 8.0% — sustainability is the question.
ATO generates stronger free cash flow (-280M), providing more financial flexibility.
Monitor UTILITIES - REGULATED GAS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ATO scores higher overall (64/100 vs 56/100), backed by strong 27.6% margins. 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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