Is Atmos Energy Corporation (ATO) Undervalued?
Based on the current stock price of $168.13 and a P/E ratio of 22.54,Atmos Energy Corporation has a PEG ratio of 2.78.
The Short Answer:
Most analysts consider a PEG ratio below 1.0 to be undervalued. With a ratio of 2.78, ATO appears to be potentially overvalued relative to its growth rate of 8.11%.
Based on a PEG ratio of 2.15 (adjusted for dividends).
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How we analyzed ATO
We calculated the PEG (Price/Earnings-to-Growth) ratio by taking the Price-to-Earnings Ratio of 22.54and dividing it by the annual growth rate of 8.11%.
PEG = 22.54 (P/E) ÷ 8.11 (Growth) = 2.78
Frequently Asked Questions about ATO
What is the current PEG Ratio for Atmos Energy Corporation (ATO)?+
The current PEG Ratio for Atmos Energy Corporation is 2.78. A PEG ratio below 1.0 generally suggests the stock may be undervalued relative to its growth.
Is ATO stock undervalued right now?+
Based on the PEG ratio of 2.78, Atmos Energy Corporation appears to be potentially overvalued. Investors typically look for a PEG ratio below 1.0 to find undervalued growth stocks.
What is the PEGY Ratio for ATO?+
The PEGY ratio for Atmos Energy Corporation is 2.15. This metric accounts for dividend yield (2.38%), providing a more complete valuation picture.