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In a remarkable display of market confidence, Atmos Energy (NYSE:ATO) Corp's stock has reached an all-time high, touching a price level of $132.38. This milestone underscores the company's robust performance and investor optimism in its growth prospects. Over the past year, Atmos Energy has witnessed a significant appreciation in its stock value, with a 1-year change showing an impressive 14.45% increase. This surge to record levels reflects the strong fundamentals of the company and the positive sentiment surrounding the energy sector, as investors continue to rally behind Atmos Energy's promising outlook.
In other recent news, Atmos Energy Corporation reported a significant increase in its fiscal 2024 third-quarter earnings, with diluted earnings per share (EPS) rising to $6 from $5.33 in the previous year. The company's robust performance was largely driven by regulatory outcomes, customer growth, and strong system revenues. Atmos Energy also added 57,000 new customers over the past 12 months, primarily in Texas, and 10 new industrial customers in the third quarter.
The company's capital expenditures rose to $2.1 billion, with a focus on safety and reliability improvements. However, the company also experienced a rise in operating and maintenance (O&M) expenses by approximately 3%, or $16 million, due to higher employee-related costs, insurance premiums, and IT software maintenance costs.
Atmos Energy expects EPS guidance for fiscal '24 to be at the higher end of the $6.70 to $6.80 range and projects a 6% to 8% EPS growth through fiscal '28. The company maintains a strong financial position with an equity capitalization of 61% and about $4.3 billion in liquidity. These are the recent developments in the company's performance and outlook.
InvestingPro Insights
In light of Atmos Energy Corp 's recent stock performance, InvestingPro data provides a deeper dive into the company's financial health and market position. With a market capitalization of $20.51B and a price-to-earnings (P/E) ratio of 19.35, the company trades at a valuation that suggests investor confidence. However, the P/E ratio adjusted for the last twelve months as of Q3 2024 is slightly higher at 19.97, indicating a premium on the company's earnings. Additionally, Atmos Energy's revenue for the same period was $4.09B, with a notable gross profit margin of 57.72%, showcasing the company's ability to retain a significant portion of its sales as earnings.
InvestingPro Tips highlight that Atmos Energy has a history of maintaining and raising its dividend, with 42 consecutive years of dividend payments and an 8.78% dividend growth in the last twelve months as of Q3 2024. This is a testament to the company's financial resilience and commitment to returning value to shareholders. Moreover, the stock's low price volatility and the fact that liquid assets exceed short-term obligations provide investors with a sense of stability and financial security. With analysts predicting profitability this year and a track record of profit over the last twelve months, Atmos Energy presents a compelling case for investors seeking a blend of growth and income.
For those interested in exploring further, there are additional InvestingPro Tips available at https://www.investing.com/pro/ATO, which can provide more insights into Atmos Energy's performance and potential investment opportunities.
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