ATO (Atmos Energy) Peter Lynch Fair Value: $74.71 (As of Jul. 15, 2026) — 2382% Above Median

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ATO Atmos Energy Corp ATO
84 GF Score
Price $175.32
GF Value $155.87
Valuation Modestly Overvalued
! 7 Warning Signs
View Full Analysis

What is Atmos Energy Peter Lynch Fair Value?

Atmos Energy ATO -1.76% 84 Peter Lynch Fair Value is $74.71 as of Jul. 15, 2026, which is 2382% above its 10-year median of 3.01. GuruFocus rates ATO with a GF Score™ of 84/100 and a GF Value™ of $155.87 (Modestly Overvalued). The stock has 7 warning signs investors should review. Among 188 Utilities - Regulated companies, Atmos Energy ranks worse than 77.66% on this metric.

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Here, as of today, Atmos Energy's PEG is 1. Atmos Energy's 5-Year TTM EBITDA Growth Rate is 9.19. Atmos Energy's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2026 was $8.13. Therefore, the Peter Lynch Fair Value for today is $74.71.

As of today (2026-07-15), Atmos Energy's share price is $175.315. Atmos Energy's Peter Lynch fair value is $74.71. Therefore, Atmos Energy's Price to Peter Lynch Fair Value Ratio for today is 2.35.


The historical rank and industry rank for Atmos Energy's Peter Lynch Fair Value or its related term are showing as below:

ATO' s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 2.35   Med: 3.01   Max: 4.61
Current: 2.35


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Atmos Energy was 4.61. The lowest was 2.35. And the median was 3.01.


ATO's Price-to-Peter-Lynch-Fair-Value is ranked worse than
77.66% of 188 companies
in the Utilities - Regulated industry
Industry Median: 1.19 vs ATO: 2.35

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


Atmos Energy  (NYSE:ATO) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 9.19 instead of 15 in this case.

Atmos Energy's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=175.315/74.71
=2.35

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Atmos Energy Peter Lynch Fair Value Related Terms


Atmos Energy Peter Lynch Fair Value Historical Data

* Premium members only.

The historical data trend for Atmos Energy's Peter Lynch Fair Value can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Atmos Energy Peter Lynch Fair Value Chart

Atmos Energy Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
Peter Lynch Fair Value
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 0.00 42.34 61.56

Atmos Energy Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Peter Lynch Fair Value Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 51.98 56.19 61.56 66.21 74.71

ATO vs NI, UGI, SWX: Peter Lynch Fair Value Comparison

For the Utilities - Regulated Gas subindustry, Atmos Energy's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Atmos Energy Price-to-Peter-Lynch-Fair-Value vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Atmos Energy's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where Atmos Energy's Price-to-Peter-Lynch-Fair-Value falls into.


ATO
84GF Score
Atmos Energy Corp ATO
Peter Lynch Fair Value is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Atmos Energy Peter Lynch Fair Value Calculation

Atmos Energy's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* 9.19 *8.13
=74.71

Atmos Energy's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $8.13.


* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.

Frequently Asked Questions Learn more about Peter Lynch Fair Value →
What does a Peter Lynch Fair Value of $74.71 mean?
Atmos Energy (ATO) has a Peter Lynch Fair Value of $74.71 as of Jul. 15, 2026. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Atmos Energy and its competitors. This is 2382% above median its historical median of 3.01. Over the past decade, Atmos Energy's Peter Lynch Fair Value has ranged from 2.35 to 4.61. According to the industry distribution chart, Atmos Energy ranks #146 out of 188 companies in the Utilities - Regulated industry, placing it in the top 77.7%.
Is Atmos Energy's Peter Lynch Fair Value too high?
Atmos Energy's current Peter Lynch Fair Value of $74.71 is 2382% above median its 10-year median of 3.01. Over the past 10 years, this metric has ranged from a low of 2.35 to a high of 4.61. The Utilities - Regulated industry median Peter Lynch Fair Value is 1.19. Atmos Energy's value of $74.71 is 6178.2% above this industry median. Based on the distribution chart, Atmos Energy ranks #146 out of 188 companies in the Utilities - Regulated industry, which is in the bottom quartile relative to peers. Overall, Atmos Energy has a GF Score™ of 84/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Atmos Energy's Peter Lynch Fair Value compare to NI and UGI?
According to the Utilities - Regulated industry distribution chart, Atmos Energy ranks #146 out of 188 companies for Peter Lynch Fair Value. This places Atmos Energy in the lower half of its industry. The industry median Peter Lynch Fair Value is 1.19. Atmos Energy's value of $74.71 is 6178.2% above this benchmark. Historically, Atmos Energy's own Peter Lynch Fair Value has ranged from 2.35 to 4.61 over the past decade. While the company's 10-year median is 3.01 vs. the industry median of 1.19, Atmos Energy has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Peter Lynch Fair Value for an Utilities - Regulated company?
The median Peter Lynch Fair Value among Utilities - Regulated companies is 1.19, based on 188 companies in the industry. Companies in the top quartile (top 25%) have a Peter Lynch Fair Value significantly above this median, while those in the bottom quartile fall well below. However, Peter Lynch Fair Value should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Atmos Energy's current Peter Lynch Fair Value of $74.71 is 6178.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Peter Lynch Fair Value mean?
A high Peter Lynch Fair Value can signal that a stock is expensive relative to its fundamentals. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Atmos Energy and its competitors. For the Utilities - Regulated industry, the median Peter Lynch Fair Value is 1.19 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Atmos Energy's current Peter Lynch Fair Value is $74.71, which is 2382% above median its own 10-year median of 3.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Atmos Energy stock overvalued right now?
Based on GuruFocus' analysis, Atmos Energy (ATO) is currently considered Modestly Overvalued. The stock's GF Value™ is $155.87, compared to a current price of $175.32 — trading 12.5% above its estimated fair value. The current Peter Lynch Fair Value is $74.71, which is 2382% above median its 10-year median of 3.01 and 6178.2% above the Utilities - Regulated industry median of 1.19. Atmos Energy's overall GF Score™ is 84/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Peter Lynch Fair Value calculated?
Peter Lynch Fair Value is calculated from a company's financial statements. For Atmos Energy (ATO), the current Peter Lynch Fair Value is $74.71 as of Jul. 15, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Atmos Energy (ATO) Overvalued in 2026?

Based on GuruFocus' analysis, Atmos Energy stock appears to be overvalued. The current stock price of $175.32 is trading 12.5% above its estimated GF Value™ of $155.87. GuruFocus considers Atmos Energy to be Modestly Overvalued.

Key valuation signals for ATO:

  • Peter Lynch Fair Value: $74.71 (2382% above median its 10-year median of 3.01)
  • GF Value™: $155.87 vs. price of $175.32 (12.5% above fair value)
  • GF Score™: 84/100 with 7 warning signs
  • Industry Position: 6178.2% above the Utilities - Regulated median (#146 of 188)

No single metric tells the full story. See the ATO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Atmos Energy Business Description

Address 5430 LBJ Freeway, Suite 1800, Three Lincoln Centre, Dallas, TX, USA, 75240
Atmos Energy is the largest publicly traded, fully regulated, pure-play natural gas utility in the United States, serving more than 3.3 million customers in Texas, Colorado, Kansas, Kentucky, Louisiana, Mississippi, Tennessee, and Virginia. About two thirds of its earnings come from Texas, where it distributes natural gas in northern Texas and owns an intrastate gas pipeline spanning several key shale gas formations and interconnected with five storage facilities.
84GF Score

Get the complete analysis for ATO

Peter Lynch Fair Value is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$175.32
Price
$155.87
GF Value