SR vs. ATO: Which Stock Is the Better Value Option?

Core Viewpoint - Investors are evaluating which stock presents a better value opportunity between Spire (SR) and Atmos Energy (ATO) in the Utility - Gas Distribution sector [1] Group 1: Valuation Metrics - Both Spire and Atmos Energy currently hold a Zacks Rank of 2 (Buy), indicating positive earnings estimate revisions for both companies [3] - Spire has a forward P/E ratio of 15.68, while Atmos Energy has a forward P/E of 20.80, suggesting Spire may be undervalued compared to Atmos Energy [5] - The PEG ratio for Spire is 1.49, compared to Atmos Energy's PEG ratio of 2.61, indicating Spire's earnings growth is more favorably priced [5] - Spire's P/B ratio is 1.55, while Atmos Energy's P/B ratio is 1.97, further supporting the notion that Spire is a more attractive value option [6] Group 2: Value Grades - Based on various valuation metrics, Spire holds a Value grade of B, whereas Atmos Energy has a Value grade of D, highlighting Spire as the superior value option [6]