Atmos Energy (NYSE:ATO) Releases Quarterly Earnings Results, Beats Estimates By $0.06 EPS

Atmos Energy (NYSE:ATO) released its earnings results on Wednesday. The utilities provider reported $1.07 earnings per share for the quarter, topping analysts’ consensus estimates of $1.01 by $0.06, Briefing.com reports. The company had revenue of $754.64 million during the quarter, compared to the consensus estimate of $726.97 million. Atmos Energy had a return on equity of 9.00% and a net margin of 25.05%.During the same quarter in the previous year, the company posted $1.08 EPS. Atmos Energy updated its FY 2025 guidance to 8.150-8.350 EPS.

Atmos Energy Stock Performance

ATO traded up $1.58 during trading on Friday, reaching $177.06. 130,456 shares of the company’s stock were exchanged, compared to its average volume of 934,790. The company has a debt-to-equity ratio of 0.67, a current ratio of 1.37 and a quick ratio of 1.25. Atmos Energy has a 1 year low of $136.05 and a 1 year high of $180.65. The company’s fifty day simple moving average is $170.47 and its 200-day simple moving average is $162.00. The stock has a market capitalization of $28.42 billion, a P/E ratio of 24.24, a price-to-earnings-growth ratio of 2.90 and a beta of 0.73.

Atmos Energy Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, December 8th. Investors of record on Monday, November 24th will be issued a $1.00 dividend. This is a boost from Atmos Energy’s previous quarterly dividend of $0.87. The ex-dividend date is Monday, November 24th. This represents a $4.00 annualized dividend and a yield of 2.3%. Atmos Energy’s dividend payout ratio is currently 47.80%.

Hedge Funds Weigh In On Atmos Energy

A number of institutional investors have recently modified their holdings of the stock. Bank of America Corp DE grew its stake in shares of Atmos Energy by 94.9% during the 2nd quarter. Bank of America Corp DE now owns 3,652,267 shares of the utilities provider’s stock worth $562,851,000 after purchasing an additional 1,778,653 shares during the period. Raymond James Financial Inc. boosted its holdings in Atmos Energy by 31.0% during the second quarter. Raymond James Financial Inc. now owns 1,173,472 shares of the utilities provider’s stock worth $180,844,000 after buying an additional 277,997 shares in the last quarter. AQR Capital Management LLC grew its position in Atmos Energy by 74.0% during the second quarter. AQR Capital Management LLC now owns 446,754 shares of the utilities provider’s stock valued at $68,309,000 after buying an additional 190,070 shares during the period. Lazard Asset Management LLC increased its holdings in Atmos Energy by 59.6% in the second quarter. Lazard Asset Management LLC now owns 215,793 shares of the utilities provider’s stock valued at $33,255,000 after buying an additional 80,608 shares in the last quarter. Finally, Canada Pension Plan Investment Board raised its position in shares of Atmos Energy by 80.9% in the second quarter. Canada Pension Plan Investment Board now owns 178,244 shares of the utilities provider’s stock worth $27,469,000 after acquiring an additional 79,734 shares during the period. Hedge funds and other institutional investors own 90.17% of the company’s stock.

Analyst Ratings Changes

A number of analysts have recently issued reports on the stock. Morgan Stanley raised their price target on shares of Atmos Energy from $167.00 to $181.00 and gave the company an “overweight” rating in a report on Wednesday, October 22nd. TD Cowen raised Atmos Energy to a “hold” rating in a report on Wednesday, October 15th. Mizuho raised their target price on Atmos Energy from $164.00 to $170.00 and gave the stock a “neutral” rating in a research report on Friday, September 26th. UBS Group reissued a “neutral” rating and issued a $159.00 price objective (up previously from $146.00) on shares of Atmos Energy in a report on Wednesday, July 30th. Finally, LADENBURG THALM/SH SH reaffirmed a “neutral” rating and set a $163.00 target price (down from $171.00) on shares of Atmos Energy in a report on Friday, August 8th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and nine have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $170.44.

About Atmos Energy

Atmos Energy Corporation, together with its subsidiaries, engages in the regulated natural gas distribution, and pipeline and storage businesses in the United States. It operates through two segments, Distribution, and Pipeline and Storage. The Distribution segment is involved in the regulated natural gas distribution and related sales operations in eight states.