WallStSmart

Atmos Energy Corporation (ATO)vsSuburban Propane Partners LP (SPH)

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Smart Verdict

WallStSmart Research — data-driven comparison

Atmos Energy Corporation generates 253% more annual revenue ($4.92B vs $1.39B). ATO leads profitability with a 28.5% profit margin vs 9.4%. SPH appears more attractively valued with a PEG of 1.21. ATO earns a higher WallStSmart Score of 68/100 (B-).

ATO

Strong Buy

68

out of 100

Grade: B-

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

SPH

Buy

53

out of 100

Grade: C-

Growth: 2.7Profit: 6.0Value: 8.7Quality: 4.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ATO.

SPHUndervalued (+33.2%)

Margin of Safety

+33.2%

Fair Value

$30.00

Current Price

$16.61

$13.39 discount

UndervaluedFair: $30.00Overvalued

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
1.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
23.3%8/10

Earnings expanding 23.3% YoY

SPH2 strengths · Avg: 9.0/10
P/E RatioValuation
8.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Areas to Watch

ATO4 concerns · Avg: 3.3/10
PEG RatioValuation
1.934/10

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

SPH4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

Market CapQuality
$1.12B3/10

Smaller company, higher risk/reward

Operating MarginProfitability
0.8%3/10

Operating margin of 0.8%

Debt/EquityHealth
1.863/10

Elevated debt levels

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 : SPH

The strongest argument for SPH centers on P/E Ratio, Price/Book. PEG of 1.21 suggests the stock is reasonably priced for its growth.

Bear Case : ATO

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

Bear Case : SPH

The primary concerns for SPH are Revenue Growth, Market Cap, Operating Margin. Debt-to-equity of 1.86 is elevated, increasing financial risk.

Key Dynamics to Monitor

ATO carries more volatility with a beta of 0.59 — expect wider price swings.

ATO is growing revenue faster at 4.8% — sustainability is the question.

SPH generates stronger free cash flow (74M), providing more financial flexibility.

Monitor UTILITIES - REGULATED GAS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ATO scores higher overall (68/100 vs 53/100), backed by strong 28.5% margins. SPH offers better value entry with a 33.2% margin of safety. 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.

Suburban Propane Partners LP

UTILITIES · UTILITIES - REGULATED GAS · USA

Suburban Propane Partners, LP, is engaged in the marketing and retail distribution of propane, fuel oil, and refined fuels. The company is headquartered in Whippany, New Jersey.

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