Atmos Energy Corporation (ATO)vsTransAlta Corp (TAC)
ATO
Atmos Energy Corporation
$170.24
+1.36%
UTILITIES · Cap: $28.37B
TAC
TransAlta Corp
$12.68
-2.16%
UTILITIES · Cap: $4.23B
Smart Verdict
WallStSmart Research — data-driven comparison
Atmos Energy Corporation generates 121% more annual revenue ($4.88B vs $2.21B). ATO leads profitability with a 27.6% profit margin vs -7.7%. ATO appears more attractively valued with a PEG of 2.06. ATO earns a higher WallStSmart Score of 64/100 (C+).
ATO
Buy64
out of 100
Grade: C+
TAC
Avoid33
out of 100
Grade: F
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 39.3%
Keeps 28 of every $100 in revenue as profit
Reasonable price relative to book value
No standout strengths identified
Areas to Watch
Expensive relative to growth rate
0.6% revenue growth
Weak financial health signals
Negative free cash flow — burning cash
Trading at 11.3x book value
Weak financial health signals
Expensive relative to growth rate
ROE of -12.1% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull 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 : TAC
TAC has a balanced fundamental profile.
Bear Case : ATO
The primary concerns for ATO are PEG Ratio, Revenue Growth, Piotroski F-Score.
Bear Case : TAC
The primary concerns for TAC are Price/Book, Piotroski F-Score, PEG Ratio. Debt-to-equity of 3.17 is elevated, increasing financial risk.
Key Dynamics to Monitor
ATO profiles as a value stock while TAC is a turnaround play — different risk/reward profiles.
ATO carries more volatility with a beta of 0.60 — expect wider price swings.
ATO is growing revenue faster at 0.6% — sustainability is the question.
TAC generates stronger free cash flow (93M), providing more financial flexibility.
Bottom Line
ATO scores higher overall (64/100 vs 33/100), backed by strong 27.6% margins. Both earn "Buy" and "Avoid" 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.
TransAlta Corp
UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA
TransAlta Corporation owns, operates and develops a diverse fleet of electric power generation assets in Canada, the United States and Australia. The company is headquartered in Calgary, Canada.
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