WallStSmart

Atmos Energy Corporation (ATO)vsNewJersey Resources Corporation (NJR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Atmos Energy Corporation generates 124% more annual revenue ($4.88B vs $2.18B). ATO leads profitability with a 27.6% profit margin vs 15.7%. ATO appears more attractively valued with a PEG of 2.16. ATO earns a higher WallStSmart Score of 62/100 (C+).

ATO

Buy

62

out of 100

Grade: C+

Growth: 4.7Profit: 8.0Value: 5.0Quality: 4.3
Piotroski: 2/9Altman Z: 1.10

NJR

Buy

61

out of 100

Grade: C+

Growth: 4.0Profit: 7.5Value: 4.7Quality: 4.3
Piotroski: 4/9Altman Z: 1.02
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for ATO.

NJRSignificantly Overvalued (-32.3%)

Margin of Safety

-32.3%

Fair Value

$39.96

Current Price

$55.82

$15.86 premium

UndervaluedFair: $39.96Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ATO3 strengths · Avg: 9.0/10
Operating MarginProfitability
39.3%10/10

Strong operational efficiency at 39.3%

Profit MarginProfitability
27.6%9/10

Keeps 28 of every $100 in revenue as profit

Price/BookValuation
2.0x8/10

Reasonable price relative to book value

NJR3 strengths · Avg: 8.7/10
Operating MarginProfitability
32.0%10/10

Strong operational efficiency at 32.0%

P/E RatioValuation
16.6x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Areas to Watch

ATO4 concerns · Avg: 3.3/10
PEG RatioValuation
2.164/10

Expensive relative to growth rate

Revenue GrowthGrowth
0.6%4/10

0.6% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-280.10M2/10

Negative free cash flow — burning cash

NJR3 concerns · Avg: 3.3/10
PEG RatioValuation
2.244/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

Altman Z-ScoreHealth
1.022/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : ATO

The strongest argument for ATO centers on Operating Margin, Profit Margin, Price/Book. Profitability is solid with margins at 27.6% and operating margin at 39.3%.

Bull Case : NJR

The strongest argument for NJR centers on Operating Margin, P/E Ratio, Price/Book. Profitability is solid with margins at 15.7% and operating margin at 32.0%.

Bear Case : ATO

The primary concerns for ATO are PEG Ratio, Revenue Growth, Piotroski F-Score.

Bear Case : NJR

The primary concerns for NJR are PEG Ratio, Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

ATO carries more volatility with a beta of 0.65 — expect wider price swings.

NJR is growing revenue faster at 2.9% — sustainability is the question.

NJR generates stronger free cash flow (366M), providing more financial flexibility.

Monitor UTILITIES - REGULATED GAS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ATO scores higher overall (62/100 vs 61/100), backed by strong 27.6% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Atmos Energy Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

Atmos Energy Corporation, headquartered in Dallas, Texas, is one of the United States' largest natural-gas-only distributors.

NewJersey Resources Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

New Jersey Resources Corporation, an energy services portfolio company, provides regulated gas distribution and retail and wholesale energy services. The company is headquartered in Wall, New Jersey.

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