Atmos Energy stock: buy or sell?

ATO stock price: $113.69 -2.18% At close on February 25th, 2020

Updated on:
February 25th, 2020

3

After marking all time highs on February 18th, Atmos Energy fell -2.18% today to $113.69.

Atmos Energy Corporation, together with its subsidiaries, engages in the regulated natural gas distribution, and pipeline and storage businesses in the United States.

Should I buy Atmos Energy stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. That's why is so important to define your own trading plan that fits your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with Atmos Energy stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean ATO will fall in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is Atmos Energy stock a buy?

Banks and financial institutions post stock ratings everyday. Unfortunately, we couldn't find any rating for ATO stock for the last month.

Atmos Energy stock analysis

Daily outlook

Atmos Energy fell -2.18% today to $113.69 after reaching all time highs on Feb/18.

After marking all time highs on Feb/18, Atmos Energy fell -2.18% to $113.69. For the last 26 days when SMA50d and SMA100d crossed up, ATO price slipped $-2.06 per share (-1.78%). Since price and SMA100d lines crossed up on December, ATO climbed $5.56 (5.14%). On Feb/18, ATO hit new all time highs, pushing higher previous ATH of $119.95 recorded on February/14. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

ATO stock chart (daily)

Weekly outlook

Shares of Atmos Energy ended this week at $113.69 and dropped a shocking -4.22%.

In a weekly time frame, Atmos Energy stock is drawing an uptrend with rising tops and bottoms. Now trading in between its last bottom and last top, ATO might consolidate in a flat-base, waiting to break out over or down under . Not so far away is the last all-time high Atmos Energy marked last week. Since SMA10w and SMA20w crossed up late January, ATO price slid a -2.67%. Since price and SMA20w lines crossed up by mid December 2019, ATO climbed $7.16 (6.72%).

ATO stock chart (weekly)

Atmos Energy stock price history

Atmos Energy IPO was on December 28th, 1983 at $1.02 per share1. Since then, ATO stock grew a 11,046.10%, with a yearly average of 306.80%. If you had invested $1,000 in Atmos Energy stock in 1983, it would worth $110,461.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Atmos Energy stock historical price chart

ATO stock reached all-time highs on Feb/18 with a price of $120.50.

Atmos Energy stock price target

How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last month we have not found any price forecast for Atmos Energy stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

Atmos Energy presented slightly good results for 2018-Q4 . Atmos Energy appreciated Earnings per Share (EPS) by 3.80%, beating experts estimates of $1.33. Atmos Energy posted $1.38.
ATO earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q1-n/a1.53n/a
2017-Q2-n/a0.67n/a
2017-Q32017-11-080.340.340.0%
2017-Q42018-02-061.131.423.9%
2018-Q12018-05-021.541.571.9%
2018-Q22018-08-080.680.64-5.9%
2018-Q32018-11-070.370.4110.8%
2018-Q42019-02-051.331.383.8%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a

Annual financial results

In 2018, Atmos Energy annual revenues boosted an extraordinary 12.89% to $3,115.55 million dollars from $2,759.74 marked in 2017. On the other hand, its income margin (compared to revenues) stepped up to 19.36%, that is $603.06 million.

Atmos Energy presents anual results in September, and to compare its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Atmos Energy TTM sales up to December 2018 were $3,104.14 and income $446.58 million USD. When comparing this TTM figures with the last reported annuality, we can esteem Atmos Energy business evolution since September 2018: Annual revenues up to December, compared to lastest yearly report, remained stable a neutral -0.37%. Regarding profit margin, Atmos Energy slightly fell -4.97% to 19.36%

ATO annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$3,890 M-$230 M5.9%-
2014$4,941 M27.02%$290 M5.9%26.05%
2015$4,142 M-16.17%$315 M7.6%8.72%
2016$3,350 M-19.13%$350 M10.5%11.12%
2017$2,760 M-17.62%$396 M14.4%13.23%
2018$3,116 M12.89%$603 M19.4%52.13%
TTM $3,104 M-0.37%$447 M14.4%-25.95%

Quarterly financial results

Atmos Energy reported $877.78 M in sales for 2018-Q4, a 97.39% up compared to previous quarter. Reported quarter income marked $157.65 M with a profit margin of 17.96%. Profit margin escalated a 9.25% compared to previous quarter when profit margin was 8.71%. When comparing turnover to same quarter last year, Atmos Energy sales marked an unpleasant decrease and declined a -1.28%.
ATO quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q1$988 M-$162 M16.4%-
2017-Q2$527 M-46.72%$71 M13.4%-56.29%
2017-Q3$465 M-11.70%$36 M7.7%-49.31%
2017-Q4$889 M91.27%$314 M35.3%776.17%
2018-Q1$1,219 M37.14%$179 M14.7%-43.02%
2018-Q2$562 M-53.89%$71 M12.7%-60.23%
2018-Q3$445 M-20.91%$39 M8.7%-45.57%
2018-Q4$878 M97.39%$158 M18.0%306.86%

Atmos Energy ownership

When you are planning to buy shares of a stock, it's worth to review its ownership structure.

Atmos Energy shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 1.10% of all shares.

Bearish positions for ATO stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to Atmos Energy:

ATO
Market cap$13.9 B
Total shares122.3 M
Float shares120.9 M
  - Institutional holdings (%)86.1%
  - Insider holdings (%)1.1%
Shares in short selling0.0%

Atmos Energy summary

Tuesday, February 25th, 2020
Open$116.62
Close$113.69
Day range$113.69 - $117.00
Previous close$116.22
Session gain-2.18%
Average true range$1.79
50d mov avg$113.83
100d mov avg$111.21
200d mov avg$108.52
Daily patternlt06c
Weekly pattern lt06a

Atmos Energy performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We chose as the bechmarking frame for Atmos Energy stock.
Stock3m6m12m
ATOAtmos Energy6.81%4.20%17.28%

Atmos Energy competitors

Unfortunately, we could not find any public company that could be defined as Atmos Energy competitor. This doesn't mean Atmos Energy does not have any competitor in the market, it's just we could not detected it.