Atmos Energy’s Solid Performance Amid Market Volatility

Atmos Energy Corporation (ATO), valued at a market capitalization of $23.5 billion, is a distributor focused exclusively on natural gas. The company’s headquarters are in Dallas, Texas, and it operates through two primary segments: Distribution, and Pipeline and Storage.

As a large-cap stock, Atmos Energy meets the criteria of being valued at $10 billion or more. The company supplies natural gas to over 3.3 million distribution customers across more than 1,400 communities in eight Southern states. In addition to its distribution network, Atmos Energy is active in pipeline and storage operations.

Recent Stock Performance

Currently, Atmos Energy’s stock has seen a dip of 2.5% from its 52-week high of $154.55, which was reached on March 4. However, ATO has recorded a gain of 5.9% over the past three months, outperforming the Nasdaq Composite index (NASDAQ), which has decreased by 8.8% during the same timeframe.

Looking at a broader timeline, Atmos Energy’s stock has risen by 6.5% year-to-date, while the Nasdaq Composite has faced a 5.4% loss in the same period. Over the last 52 weeks, Atmos shares have surged 27.8%, in contrast to the Nasdaq’s modest 11.5% rise.

Since last year, ATO has consistently traded above its 50-day and 200-day moving averages, indicating a strong performance relative to market trends.

Financial Highlights and Future Expectations

After reporting Q1 2025 results on February 4, Atmos Energy’s shares increased by 1.9%. The company outperformed Wall Street expectations with earnings of $2.23 per share and total operating revenue of $1.2 billion. For the fiscal year 2025, Atmos Energy projects earnings of $7.05 to $7.25 per share and has increased its annual dividend by 8.1% to $3.48.

Competitive Landscape

In comparison to competitors, New Fortress Energy Inc. (NFE) has faced challenges. Shares of NFE have plummeted 60% over the past year and have decreased 21.3% year-to-date.

Analyst Outlook

Despite Atmos Energy’s strong performance, analysts express a cautious optimism regarding the stock’s future. Among the 12 analysts covering ATO, the consensus rating is “Moderate Buy.” Notably, the stock is currently trading below the average price target of $154.25.

On the date of publication, Sohini Mondal did not hold (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data contained in this article are for informational purposes only. For more details, please review the Barchart Disclosure Policy here.

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The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.