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ATO vs SO

ATO
Atmos Energy Corporation
NEUTRAL
Price
$165.34
Market Cap
$26.74B
Sector
Utilities
AI Confidence
72%
SO
The Southern Company
NEUTRAL
Price
$97.02
Market Cap
$108.6B
Sector
Utilities
AI Confidence
85%

Valuation

P/E Ratio
ATO
22.16
SO
24.75
Forward P/E
ATO
18.94
SO
19.73
P/B Ratio
ATO
1.97
SO
3.02
P/S Ratio
ATO
5.69
SO
3.67
EV/EBITDA
ATO
15.43
SO
13.16

Profitability

Gross Margin
ATO
58.13%
SO
48.47%
Operating Margin
ATO
30.7%
SO
12.73%
Profit Margin
ATO
25.49%
SO
14.69%
ROE
ATO
9.32%
SO
11.04%
ROA
ATO
3.71%
SO
3.28%

Growth

Revenue Growth
ATO
12.1%
SO
10.1%
Earnings Growth
ATO
25.6%
SO
-22.1%

Financial Health

Debt/Equity
ATO
0.69
SO
1.91
Current Ratio
ATO
0.77
SO
0.65
Quick Ratio
ATO
0.43
SO
0.34

Dividends

Dividend Yield
ATO
2.42%
SO
3.07%
Payout Ratio
ATO
46.65%
SO
75.0%

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
SO NEUTRAL

SO shows neutral fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Mixed signals with both opportunities and risks present.

Strengths
Company has established market presence
Risks
Premium vs Graham Number ($53.27)

Compare Another Pair

ATO vs SO: Head-to-Head Comparison

This page compares Atmos Energy Corporation (ATO) and The Southern Company (SO) 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.

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