No connection

Search Results

ATO vs CNP

ATO
Atmos Energy Corporation
NEUTRAL
Price
$165.34
Market Cap
$26.74B
Sector
Utilities
AI Confidence
72%
CNP
CenterPoint Energy, Inc.
NEUTRAL
Price
$42.47
Market Cap
$27.78B
Sector
Utilities
AI Confidence
85%

Valuation

P/E Ratio
ATO
22.16
CNP
26.06
Forward P/E
ATO
18.94
CNP
20.4
P/B Ratio
ATO
1.97
CNP
2.49
P/S Ratio
ATO
5.69
CNP
2.95
EV/EBITDA
ATO
15.43
CNP
14.0

Profitability

Gross Margin
ATO
58.13%
CNP
45.92%
Operating Margin
ATO
30.7%
CNP
22.12%
Profit Margin
ATO
25.49%
CNP
11.38%
ROE
ATO
9.32%
CNP
9.56%
ROA
ATO
3.71%
CNP
2.84%

Growth

Revenue Growth
ATO
12.1%
CNP
1.9%
Earnings Growth
ATO
25.6%
CNP
6.7%

Financial Health

Debt/Equity
ATO
0.69
CNP
2.16
Current Ratio
ATO
0.77
CNP
1.17
Quick Ratio
ATO
0.43
CNP
0.47

Dividends

Dividend Yield
ATO
2.42%
CNP
2.17%
Payout Ratio
ATO
46.65%
CNP
54.6%

AI Verdict

ATO NEUTRAL

ATO exhibits a mixed financial profile with a Piotroski F-Score of 4/9 indicating stable but not strong financial health, and no available Altman Z-Score limits distress risk assessment. The stock trades above its Graham Number of $118.68 at $165.34, reflecting a premium valuation, though below the growth-based intrinsic value of $220.07. Strong profitability metrics like a 25.49% profit margin and 30.70% operating margin contrast with weak liquidity (Current Ratio: 0.77) and bearish technical trend. Analysts consensus is 'hold' with a target price of $177.55, implying modest upside, while insider activity shows slight selling pressure.

Strengths
High profitability with 25.49% profit margin and 30.70% operating margin, well above sector average of 13.47%
Strong year-over-year earnings growth of 28.9% and revenue growth of 12.10%, outpacing peer averages
Defensive dividend profile with a sustainable 46.65% payout ratio and 2.42% yield
Risks
Piotroski F-Score of 4/9 suggests borderline financial health, limiting confidence in operational strength
Very weak liquidity with Current Ratio of 0.77 and Quick Ratio of 0.43, below the safe threshold of 1.0
Bearish technical trend (0/100) and recent price weakness: -3.0% over 1 week and -1.8% over 1 month
CNP NEUTRAL

CNP presents a conflict between strong historical performance and current overvaluation. The deterministic baseline is weak, with a Piotroski F-Score of 4/9 (Stable) and a current price of $42.47 that significantly exceeds both the Graham Number ($25.03) and Intrinsic Value ($27.79). While the company maintains healthy operating margins and a sustainable dividend payout, the high Debt/Equity ratio (2.16) and bearish technical trend (10/100) suggest limited immediate upside. The stock is currently trading at a premium that is not fully supported by its low revenue growth (1.90%).

Strengths
Consistent track record of earnings beats over 25 quarters
Strong operating margin of 22.12% compared to sector peers
Sustainable dividend payout ratio of 54.60%
Risks
Significant valuation gap between current price and Graham/Intrinsic values
High leverage with a Debt/Equity ratio of 2.16
Stagnant revenue growth (1.90% YoY)

Compare Another Pair

ATO vs CNP: Head-to-Head Comparison

This page compares Atmos Energy Corporation (ATO) and CenterPoint Energy, Inc. (CNP) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

Home
Terminal
AI Chat
Markets
Profile