Core Viewpoint - Atmos Energy reported quarterly earnings of $1.16 per share, missing the Zacks Consensus Estimate of $1.17 per share, but showing an increase from $1.08 per share a year ago, indicating a slight earnings surprise of -0.85% [1] - The company posted revenues of $838.77 million for the quarter, missing the Zacks Consensus Estimate by 10.55%, compared to $701.55 million in the same quarter last year [2] Group 1: Earnings Performance - Atmos Energy's earnings for the quarter were $1.16 per share, which is lower than the expected $1.17 per share, but higher than the previous year's $1.08 per share [1] - The company has surpassed consensus EPS estimates three times over the last four quarters [2] - The earnings surprise for the last quarter was -0.85%, while the previous quarter had a positive surprise of +3.77% [1][2] Group 2: Revenue Analysis - The reported revenue of $838.77 million for the quarter was below the consensus estimate by 10.55% and higher than the $701.55 million from the previous year [2] - Atmos Energy has only topped consensus revenue estimates once in the last four quarters [2] Group 3: Stock Performance and Outlook - Atmos shares have increased approximately 12.5% since the beginning of the year, outperforming the S&P 500's gain of 7.1% [3] - The company's future stock performance will largely depend on management's commentary during the earnings call and the earnings outlook [3][4] - The current consensus EPS estimate for the upcoming quarter is $0.87 on revenues of $886.32 million, and for the current fiscal year, it is $7.27 on revenues of $4.8 billion [7] Group 4: Industry Context - The Utility - Gas Distribution industry, to which Atmos belongs, is currently ranked in the top 25% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact Atmos's stock performance [5][6]
Atmos Energy (ATO) Misses Q3 Earnings and Revenue Estimates