Is Atmos Energy Corporation (ATO) overvalued?
On Equity Rank's model estimate, ATO trades 26% above its fair value. Atmos Energy Corporation (ATO) last closed at $173.22; the multi-method model fair value is $136.94.
| Price | Model fair value | Price vs model |
|---|---|---|
| $173.22 | $136.94 | 27% above |
What the answer rests on
- 1 of 11 valuation methods put ATO's value above its price and 10 put it below, so the methods mostly agree.
- ATO trades at 21.0 times its last year's earnings, against a median of 21.2 for 66 profitable Utilities companies.
- Over the past year the price sat below the model fair value on 32% of trading days. The gap ranged from 15% below to 32% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind ATO's fair value · What prices assume · Other companies