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Atmos Energy Corp
NYSE:ATO

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Atmos Energy Corp
NYSE:ATO
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Price: 187.81 USD 2.92% Market Closed
Market Cap: $31.1B

EV/EBIT

25
Current
14%
More Expensive
vs 3-y average of 21.8

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
25
=
Enterprise Value
$39.4B
/
EBIT
$1.6B

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
25
=
Enterprise Value
$39.4B
/
EBIT
$1.6B

Valuation Scenarios

Atmos Energy Corp is trading above its 3-year average

If EV/EBIT returns to its 3-Year Average (21.8), the stock would be worth $164.12 (13% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-21%
Maximum Upside
No Upside Scenarios
Average Downside
16%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 25 $187.81
0%
3-Year Average 21.8 $164.12
-13%
5-Year Average 21.6 $162.42
-14%
Industry Average 21 $158
-16%
Country Average 19.6 $147.61
-21%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
$39.4B
/
Jan 2026
$1.6B
=
25
Current
$39.4B
/
Sep 2026
$1.8B
=
21.8
Forward
$39.4B
/
Sep 2027
$2.1B
=
19
Forward
$39.4B
/
Sep 2028
$2.3B
=
16.8
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
US
Atmos Energy Corp
NYSE:ATO
31.1B USD 25 24.9
ES
Naturgy Energy Group SA
MAD:NTGY
25.1B EUR 9.6 12.5
IT
Snam SpA
MIL:SRG
22.5B EUR 19.6 18
HK
Hong Kong and China Gas Co Ltd
HKEX:3
135.7B HKD 21.1 23.8
JP
Osaka Gas Co Ltd
TSE:9532
2.3T JPY 15 12.3
JP
Tokyo Gas Co Ltd
TSE:9531
2.2T JPY 15.6 10.8
IT
Italgas SpA
MIL:IG
10.5B EUR 16.2 15.7
IN
GAIL (India) Ltd
NSE:GAIL
1.1T INR 12.7 12.6
CA
AltaGas Ltd
TSX:ALA
15B CAD 18.8 20.1
CN
ENN Natural Gas Co Ltd
SSE:600803
64.5B CNY 6.7 13.8
AU
APA Group
ASX:APA
13.1B AUD 28.1 81.2
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
US
Atmos Energy Corp
NYSE:ATO
Average EV/EBIT: 17.1
25
15%
1.7
ES
Naturgy Energy Group SA
MAD:NTGY
9.6
0%
N/A
IT
Snam SpA
MIL:SRG
19.6
6%
3.3
HK
Hong Kong and China Gas Co Ltd
HKEX:3
21.1
N/A N/A
JP
Osaka Gas Co Ltd
TSE:9532
15
N/A N/A
JP
T
Tokyo Gas Co Ltd
TSE:9531
15.6
N/A N/A
IT
Italgas SpA
MIL:IG
16.2
9%
1.8
IN
GAIL (India) Ltd
NSE:GAIL
12.7
1%
12.7
CA
AltaGas Ltd
TSX:ALA
18.8
10%
1.9
CN
ENN Natural Gas Co Ltd
SSE:600803
6.7
N/A N/A
AU
APA Group
ASX:APA
28.1
13%
2.2

Market Distribution

In line with most companies in the United States of America
Percentile
64rd
Based on 8 638 companies
64rd percentile
25
Low
0 — 13.6
Typical Range
13.6 — 27.8
High
27.8 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 13.6
Median 19.6
70th Percentile 27.8
Max 1 826 183.2

Atmos Energy Corp
Glance View

Atmos Energy Corp., a prominent player in the natural gas distribution sector, operates with a focused commitment to delivering safe and reliable energy. The company stands as one of the largest fully regulated natural gas-only distributors in the United States, serving over three million customers across eight states, primarily in the South-Central region. Atmos Energy’s comprehensive operations span from sourcing and procurement of natural gas to its safe transport and delivery to residential, commercial, and industrial consumers. With a robust infrastructure network of pipelines and storage facilities, the company ensures the efficient movement and availability of natural gas, leveraging its scale and expertise to maintain a seamless supply. Revenue generation for Atmos Energy primarily hinges on its regulated distribution and pipeline operations. The utility earns money by charging customers for delivering gas and providing related services, rates that are set and approved by regulatory authorities in each state it operates. This regulatory model provides a stable revenue stream, aligning the company’s interests with public policy priorities such as safety and reliability, while also allowing for capital investments to expand and modernize infrastructure. Additionally, Atmos Energy strategically manages procurement and storage to optimize its gas purchase costs, further enhancing its profitability. This dynamic, combined with its commitment to maintaining regulatory compliance and operational excellence, underpins the company's stable financial performance and its growing reputation as a leader in the natural gas sector.

ATO Intrinsic Value
86.46 USD
Overvaluation 54%
Intrinsic Value
Price $187.81
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