Latest Ratios: P/E Ratio 23.8x · EV/EBITDA 16.9x · ROE 9.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $29.6B | $27.4B | $21.2B | $15.4B | $14.1B | $11.5B | $11.7B | $13.4B | $10.4B | $8.9B | $7.7B |
| Enterprise Value | $38.7B | $36.5B | $29.0B | $22.5B | $22.4B | $18.9B | $16.5B | $17.3B | $14.1B | $12.4B | $10.9B |
| P/E Ratio → | 23.80 | 22.89 | 20.31 | 17.37 | 18.16 | 17.23 | 19.55 | 26.18 | 17.29 | 22.48 | 22.03 |
| P/S Ratio | 6.30 | 5.83 | 5.08 | 3.60 | 3.35 | 3.36 | 4.16 | 4.61 | 3.35 | 3.22 | 3.14 |
| P/B Ratio | 2.10 | 2.02 | 1.74 | 1.41 | 1.49 | 1.45 | 1.73 | 2.33 | 2.19 | 2.28 | 2.23 |
| P/FCF | — | — | — | 23.52 | — | — | — | — | — | — | — |
| P/OCF | 14.46 | 13.38 | 12.21 | 4.44 | 14.39 | — | 11.32 | 13.81 | 9.27 | 10.26 | 9.70 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 7.77 | 6.96 | 5.26 | 5.33 | 5.55 | 5.85 | 5.98 | 4.51 | 4.49 | 4.45 |
| EV / EBITDA | 16.88 | 15.91 | 14.32 | 13.45 | 15.37 | 13.66 | 13.15 | 15.25 | 12.91 | 11.74 | 11.50 |
| EV / EBIT | 24.83 | 22.14 | 20.33 | 19.78 | 23.45 | 20.93 | 19.84 | 23.02 | 19.58 | 17.10 | 16.64 |
| EV / FCF | — | — | — | 34.39 | — | — | — | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 52.4% | 52.4% | 57.9% | 48.1% | 43.1% | 49.8% | 54.3% | 48.7% | 43.4% | 46.9% | 47.7% |
| Operating Margin | 33.2% | 33.2% | 32.5% | 25.0% | 21.9% | 26.6% | 29.2% | 25.7% | 23.4% | 26.7% | 26.8% |
| Net Profit Margin | 25.5% | 25.5% | 25.0% | 20.7% | 18.4% | 19.5% | 21.3% | 17.6% | 19.4% | 14.4% | 14.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 9.3% | 9.3% | 9.1% | 8.7% | 8.9% | 9.1% | 9.6% | 9.7% | 13.9% | 10.8% | 10.5% |
| ROA | 4.4% | 4.4% | 4.4% | 4.0% | 3.7% | 3.8% | 4.2% | 4.1% | 5.3% | 3.8% | 3.7% |
| ROIC | 5.5% | 5.5% | 5.4% | 4.5% | 4.2% | 5.0% | 5.8% | 6.2% | 6.9% | 7.8% | 7.7% |
| ROCE | 6.1% | 6.1% | 6.0% | 5.4% | 5.3% | 5.9% | 6.2% | 6.7% | 7.4% | 8.2% | 8.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.69 | 0.69 | 0.67 | 0.66 | 0.89 | 0.96 | 0.70 | 0.69 | 0.76 | 0.90 | 0.94 |
| Debt / EBITDA | 4.05 | 4.05 | 4.01 | 4.26 | 5.75 | 5.47 | 3.80 | 3.51 | 3.35 | 3.33 | 3.44 |
| Net Debt / Equity | — | 0.67 | 0.64 | 0.65 | 0.88 | 0.94 | 0.70 | 0.69 | 0.76 | 0.89 | 0.93 |
| Net Debt / EBITDA | 3.97 | 3.97 | 3.86 | 4.25 | 5.71 | 5.38 | 3.79 | 3.49 | 3.33 | 3.31 | 3.39 |
| Debt / FCF | — | — | — | 10.87 | — | — | — | — | — | — | — |
| Interest Coverage | 9.61 | 9.61 | 7.48 | 8.28 | 9.29 | 10.81 | 9.84 | 7.30 | 6.73 | 6.03 | 5.72 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.67 | 0.67 | 0.94 | 0.65 | 0.85 | 0.81 | 0.60 | 0.38 | 0.25 | 0.53 | 0.38 |
| Quick Ratio | 0.53 | 0.53 | 0.78 | 0.45 | 0.74 | 0.75 | 0.45 | 0.27 | 0.16 | 0.35 | 0.28 |
| Cash Ratio | 0.15 | 0.15 | 0.25 | 0.01 | 0.01 | 0.03 | 0.03 | 0.02 | 0.01 | 0.03 | 0.03 |
| Asset Turnover | — | 0.16 | 0.17 | 0.19 | 0.19 | 0.17 | 0.18 | 0.22 | 0.26 | 0.26 | 0.25 |
| Inventory Turnover | 11.68 | 11.68 | 9.40 | 7.91 | 6.23 | 8.84 | 10.85 | 10.95 | 10.14 | 7.74 | 6.95 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.9% | 2.0% | 2.3% | 2.8% | 2.7% | 2.8% | 2.4% | 1.8% | 2.1% | 2.2% | 2.3% |
| Payout Ratio | 46.2% | 46.2% | 47.3% | 48.6% | 48.5% | 48.7% | 47.0% | 48.0% | 35.6% | 48.4% | 50.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.2% | 4.4% | 4.9% | 5.8% | 5.5% | 5.8% | 5.1% | 3.8% | 5.8% | 4.4% | 4.5% |
| FCF Yield | — | — | — | 4.3% | — | — | — | — | — | — | — |
| Buyback Yield | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 1.9% | 2.0% | 2.3% | 2.8% | 2.7% | 2.8% | 2.4% | 1.8% | 2.1% | 2.2% | 2.3% |
| Shares Outstanding | — | $161M | $153M | $145M | $138M | $130M | $123M | $117M | $111M | $106M | $104M |
Regulatory capital recovery lag
As reported in recent financial statements, Atmos Energy trades at a forward P/E of 20.88, a valuation premium that appears justified by the company's unique intrastate pipeline assets and the highly constructive regulatory environment in Texas, which distinguishes it from more constrained regional gas distribution peers.
The market's willingness to assign a higher multiple to Atmos relative to peers like Spire or NiSource suggests investors prioritize the company's vertically integrated structure and the reliability of its GRIP-driven capital recovery. This valuation is anchored to the stability of the allowed ROE, and any shift in the regulatory climate could necessitate a re-rating of the stock's current premium.
Based on the provided quarterly data, Atmos Energy has maintained a consistent ROE profile, with recent figures hovering around 2.7% to 2.9% in 2026, which suggests that the company is effectively capturing its authorized returns through disciplined infrastructure investment and minimal regulatory lag in its core markets.
The alignment between earned and allowed ROE is the primary indicator of regulatory health for a utility. The company's ability to sustain these levels indicates that the regulatory compact remains intact, allowing for predictable earnings growth that supports the company's long-term dividend commitments and capital expenditure requirements.
According to the latest quarterly filings, Atmos Energy maintains a disciplined capital structure with interest coverage ratios reaching 17.94x in 2026Q2, signaling that the company possesses the financial flexibility required to fund its massive multi-billion dollar infrastructure modernization program without compromising its investment-grade credit profile.
While the reported debt-to-capital ratio shows significant quarterly variance, the underlying interest coverage and FFO-to-debt metrics suggest a healthy balance sheet. Investors should monitor the company's reliance on external equity financing, as the dilution risk remains a critical factor in maintaining per-share earnings growth during periods of heavy capital deployment.
As indicated by the dividend payout ratio of 28.2% in 2026Q2, Atmos Energy maintains a conservative distribution policy that provides ample room for internal funding of its CAPEX program, reinforcing its status as a reliable income generator for institutional investors seeking long-term stability in regulated utilities.
The low payout ratio relative to industry standards suggests that management prioritizes reinvestment into the rate base over aggressive dividend hikes. This strategy appears to be a deliberate choice to minimize the need for external financing, thereby protecting the company's long-term earnings power and supporting its historical commitment to dividend growth.
Market participants frequently misapply standard P/E multiples to Atmos Energy by comparing it to broader industrial sectors, which obscures the reality that utility valuations are primarily anchored to interest rate environments and the regulatory allowed ROE rather than cyclical growth expectations or standard earnings expansion metrics.
Using a standard P/E to evaluate Atmos ignores the pass-through nature of fuel costs and the regulatory constraints on profitability. Analysts should instead focus on the relationship between the company's forward P/E and the prevailing yield on long-term Treasury bonds, as this provides a more accurate assessment of the utility's value as a bond proxy.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying ATO stock.
Atmos Energy Corporation's current P/E ratio is 23.8x. The historical average is 18.6x. This places it at the 90th percentile of its historical range.
Atmos Energy Corporation's current EV/EBITDA is 16.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.1x.
Atmos Energy Corporation's return on equity (ROE) is 9.3%. The historical average is 10.0%.
Based on historical data, Atmos Energy Corporation is trading at a P/E of 23.8x. This is at the 90th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Atmos Energy Corporation's current dividend yield is 1.94% with a payout ratio of 46.2%.
Atmos Energy Corporation has 52.4% gross margin and 33.2% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Atmos Energy Corporation's Debt/EBITDA ratio is 4.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.