Seek Returns logo

ATO vs. SR: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ATO and SR, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ATO’s market capitalization of 24.19 billion USD is substantially larger than SR’s 4.37 billion USD, indicating a significant difference in their market valuations.

With betas of 0.70 for ATO and 0.66 for SR, both stocks show similar sensitivity to overall market movements.

SymbolATOSR
Company NameAtmos Energy CorporationSpire Inc.
CountryUSUS
SectorUtilitiesUtilities
IndustryRegulated GasRegulated Gas
CEOJohn Kevin AkersScott Edward Doyle
Price152.28 USD74.06 USD
Market Cap24.19 billion USD4.37 billion USD
Beta0.700.66
ExchangeNYSENYSE
IPO DateDecember 28, 1983February 21, 1973
ADRNoNo

Historical Performance

This chart compares the performance of ATO and SR by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ATO vs. SR: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ATO

9.05%

Regulated Gas Industry

Max
11.45%
Q3
11.45%
Median
9.01%
Q1
7.53%
Min
6.41%

ATO’s Return on Equity of 9.05% is on par with the norm for the Regulated Gas industry, indicating its profitability relative to shareholder equity is typical for the sector.

SR

7.53%

Regulated Gas Industry

Max
11.45%
Q3
11.45%
Median
9.01%
Q1
7.53%
Min
6.41%

SR’s Return on Equity of 7.53% is on par with the norm for the Regulated Gas industry, indicating its profitability relative to shareholder equity is typical for the sector.

ATO vs. SR: A comparison of their ROE against the Regulated Gas industry benchmark.

Return on Invested Capital

ATO

4.73%

Regulated Gas Industry

Max
8.99%
Q3
5.97%
Median
4.43%
Q1
0.25%
Min
0.00%

ATO’s Return on Invested Capital of 4.73% is in line with the norm for the Regulated Gas industry, reflecting a standard level of efficiency in generating profits from its capital base.

SR

-57.74%

Regulated Gas Industry

Max
8.99%
Q3
5.97%
Median
4.43%
Q1
0.25%
Min
0.00%

SR has a negative Return on Invested Capital of -57.74%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

ATO vs. SR: A comparison of their ROIC against the Regulated Gas industry benchmark.

Net Profit Margin

ATO

25.35%

Regulated Gas Industry

Max
25.35%
Q3
14.67%
Median
8.48%
Q1
4.66%
Min
-6.69%

A Net Profit Margin of 25.35% places ATO in the upper quartile for the Regulated Gas industry, signifying strong profitability and more effective cost management than most of its peers.

SR

10.38%

Regulated Gas Industry

Max
25.35%
Q3
14.67%
Median
8.48%
Q1
4.66%
Min
-6.69%

SR’s Net Profit Margin of 10.38% is aligned with the median group of its peers in the Regulated Gas industry. This indicates its ability to convert revenue into profit is typical for the sector.

ATO vs. SR: A comparison of their Net Profit Margin against the Regulated Gas industry benchmark.

Operating Profit Margin

ATO

33.30%

Regulated Gas Industry

Max
45.15%
Q3
28.16%
Median
19.42%
Q1
14.26%
Min
3.90%

An Operating Profit Margin of 33.30% places ATO in the upper quartile for the Regulated Gas industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

SR

20.83%

Regulated Gas Industry

Max
45.15%
Q3
28.16%
Median
19.42%
Q1
14.26%
Min
3.90%

SR’s Operating Profit Margin of 20.83% is around the midpoint for the Regulated Gas industry, indicating that its efficiency in managing core business operations is typical for the sector.

ATO vs. SR: A comparison of their Operating Margin against the Regulated Gas industry benchmark.

Profitability at a Glance

SymbolATOSR
Return on Equity (TTM)9.05%7.53%
Return on Assets (TTM)4.21%--
Return on Invested Capital (TTM)4.73%-57.74%
Net Profit Margin (TTM)25.35%10.38%
Operating Profit Margin (TTM)33.30%20.83%
Gross Profit Margin (TTM)54.44%70.35%

Financial Strength

Current Ratio

ATO

1.33

Regulated Gas Industry

Max
1.57
Q3
1.15
Median
1.00
Q1
0.69
Min
0.38

ATO’s Current Ratio of 1.33 is in the upper quartile for the Regulated Gas industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

SR

--

Regulated Gas Industry

Max
1.57
Q3
1.15
Median
1.00
Q1
0.69
Min
0.38

Current Ratio data for SR is currently unavailable.

ATO vs. SR: A comparison of their Current Ratio against the Regulated Gas industry benchmark.

Debt-to-Equity Ratio

ATO

0.65

Regulated Gas Industry

Max
1.67
Q3
1.53
Median
1.38
Q1
0.83
Min
0.02

Falling into the lower quartile for the Regulated Gas industry, ATO’s Debt-to-Equity Ratio of 0.65 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

SR

1.36

Regulated Gas Industry

Max
1.67
Q3
1.53
Median
1.38
Q1
0.83
Min
0.02

SR’s Debt-to-Equity Ratio of 1.36 is typical for the Regulated Gas industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ATO vs. SR: A comparison of their D/E Ratio against the Regulated Gas industry benchmark.

Interest Coverage Ratio

ATO

8.02

Regulated Gas Industry

Max
4.65
Q3
3.07
Median
2.65
Q1
1.77
Min
1.22

With an Interest Coverage Ratio of 8.02, ATO demonstrates a superior capacity to service its debt, placing it well above the typical range for the Regulated Gas industry. This stems from either robust earnings or a conservative debt load.

SR

2.61

Regulated Gas Industry

Max
4.65
Q3
3.07
Median
2.65
Q1
1.77
Min
1.22

SR’s Interest Coverage Ratio of 2.61 is positioned comfortably within the norm for the Regulated Gas industry, indicating a standard and healthy capacity to cover its interest payments.

ATO vs. SR: A comparison of their Interest Coverage against the Regulated Gas industry benchmark.

Financial Strength at a Glance

SymbolATOSR
Current Ratio (TTM)1.33--
Quick Ratio (TTM)1.25--
Debt-to-Equity Ratio (TTM)0.651.36
Debt-to-Asset Ratio (TTM)0.32--
Net Debt-to-EBITDA Ratio (TTM)3.495.98
Interest Coverage Ratio (TTM)8.022.61

Growth

The following charts compare key year-over-year (YoY) growth metrics for ATO and SR. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ATO vs. SR: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ATO vs. SR: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ATO vs. SR: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ATO

2.24%

Regulated Gas Industry

Max
6.99%
Q3
4.15%
Median
4.00%
Q1
2.73%
Min
0.00%

ATO’s Dividend Yield of 2.24% is in the lower quartile for the Regulated Gas industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

SR

4.20%

Regulated Gas Industry

Max
6.99%
Q3
4.15%
Median
4.00%
Q1
2.73%
Min
0.00%

With a Dividend Yield of 4.20%, SR offers a more attractive income stream than most of its peers in the Regulated Gas industry, signaling a strong commitment to shareholder returns.

ATO vs. SR: A comparison of their Dividend Yield against the Regulated Gas industry benchmark.

Dividend Payout Ratio

ATO

46.20%

Regulated Gas Industry

Max
87.89%
Q3
74.00%
Median
60.41%
Q1
45.73%
Min
0.00%

ATO’s Dividend Payout Ratio of 46.20% is within the typical range for the Regulated Gas industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

SR

75.92%

Regulated Gas Industry

Max
87.89%
Q3
74.00%
Median
60.41%
Q1
45.73%
Min
0.00%

SR’s Dividend Payout Ratio of 75.92% is in the upper quartile for the Regulated Gas industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

ATO vs. SR: A comparison of their Payout Ratio against the Regulated Gas industry benchmark.

Dividend at a Glance

SymbolATOSR
Dividend Yield (TTM)2.24%4.20%
Dividend Payout Ratio (TTM)46.20%75.92%

Valuation

Price-to-Earnings Ratio

ATO

21.32

Regulated Gas Industry

Max
23.74
Q3
22.05
Median
16.86
Q1
15.06
Min
10.79

ATO’s P/E Ratio of 21.32 is within the middle range for the Regulated Gas industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SR

17.13

Regulated Gas Industry

Max
23.74
Q3
22.05
Median
16.86
Q1
15.06
Min
10.79

SR’s P/E Ratio of 17.13 is within the middle range for the Regulated Gas industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ATO vs. SR: A comparison of their P/E Ratio against the Regulated Gas industry benchmark.

Forward P/E to Growth Ratio

ATO

3.14

Regulated Gas Industry

Max
3.70
Q3
3.36
Median
3.17
Q1
2.55
Min
2.21

ATO’s Forward PEG Ratio of 3.14 is within the middle range of its peers in the Regulated Gas industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

SR

2.91

Regulated Gas Industry

Max
3.70
Q3
3.36
Median
3.17
Q1
2.55
Min
2.21

SR’s Forward PEG Ratio of 2.91 is within the middle range of its peers in the Regulated Gas industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

ATO vs. SR: A comparison of their Forward PEG Ratio against the Regulated Gas industry benchmark.

Price-to-Sales Ratio

ATO

5.39

Regulated Gas Industry

Max
3.36
Q3
2.16
Median
1.35
Q1
1.06
Min
0.32

With a P/S Ratio of 5.39, ATO trades at a valuation that eclipses even the highest in the Regulated Gas industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

SR

1.80

Regulated Gas Industry

Max
3.36
Q3
2.16
Median
1.35
Q1
1.06
Min
0.32

SR’s P/S Ratio of 1.80 aligns with the market consensus for the Regulated Gas industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ATO vs. SR: A comparison of their P/S Ratio against the Regulated Gas industry benchmark.

Price-to-Book Ratio

ATO

1.84

Regulated Gas Industry

Max
2.11
Q3
1.88
Median
1.55
Q1
1.24
Min
1.10

ATO’s P/B Ratio of 1.84 is within the conventional range for the Regulated Gas industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

SR

1.23

Regulated Gas Industry

Max
2.11
Q3
1.88
Median
1.55
Q1
1.24
Min
1.10

SR’s P/B Ratio of 1.23 is in the lower quartile for the Regulated Gas industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

ATO vs. SR: A comparison of their P/B Ratio against the Regulated Gas industry benchmark.

Valuation at a Glance

SymbolATOSR
Price-to-Earnings Ratio (P/E, TTM)21.3217.13
Forward PEG Ratio (TTM)3.142.91
Price-to-Sales Ratio (P/S, TTM)5.391.80
Price-to-Book Ratio (P/B, TTM)1.841.23
Price-to-Free Cash Flow Ratio (P/FCF, TTM)-18.53-7.21
EV-to-EBITDA (TTM)14.0911.47
EV-to-Sales (TTM)7.173.76