Argus Raises Atmos Energy (ATO) PT to $165 on Strong Fundamentals

On Wednesday, Argus raised its price target for Atmos Energy Corporation (NYSE:ATO) to $165 from $155, while maintaining a Buy rating. This adjustment reflects the company’s solid fundamentals and the stock’s appeal within the Utilities sector during a period of declining interest rates.

A close up of a regulator valve being connected to a pipeline.

Atmos Energy reported a diluted EPS of $3.03 for the FQ2 2025, which marked a 6.3% year-over-year increase from $2.85. For H1 2025, diluted EPS reached $5.26, which was up 6.7% from the prior year. The company has updated its FY2025 EPS guidance to a range of $7.20 to $7.30, which is up from the previous range of $7.05 to $7.25.

The company also added ~59,000 new customers in the 12 months ended March 31, with 46,000 in Texas alone. Atmos Energy’s Pipeline & Storage revenue particularly increased by $11.4 million, which reflected a 10% increase in volumes transported. Atmos Energy Corporation (NYSE:ATO) regulates natural gas distribution and pipeline & storage businesses in the US. It operates through two segments: Distribution and Pipeline & Storage.

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Disclosure: None. This article is originally published at Insider Monkey.