Head to Head Analysis: Atmos Energy (NYSE:ATO) vs. Italgas (OTCMKTS:ITGGF)

Atmos Energy (NYSE:ATO) and Italgas (OTCMKTS:ITGGF) are both utilities companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, institutional ownership, earnings, analyst recommendations, valuation, profitability and risk.

Institutional and Insider Ownership

90.2% of Atmos Energy shares are held by institutional investors. 0.4% of Atmos Energy shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Atmos Energy and Italgas”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atmos Energy	$4.70 billion	5.99	$1.20 billion	$8.41	19.83
Italgas	N/A	N/A	N/A	N/A	N/A

Atmos Energy has higher revenue and earnings than Italgas.

Profitability

This table compares Atmos Energy and Italgas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atmos Energy	28.50%	9.67%	4.67%
Italgas	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings and target prices for Atmos Energy and Italgas, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atmos Energy	0	9	4	0	2.31
Italgas	0	1	3	0	2.75

Atmos Energy currently has a consensus price target of $187.73, indicating a potential upside of 12.57%. Given Atmos Energy’s higher possible upside, analysts clearly believe Atmos Energy is more favorable than Italgas.

Summary

Atmos Energy beats Italgas on 8 of the 9 factors compared between the two stocks.

About Atmos Energy

Atmos Energy Corporation, together with its subsidiaries, engages in the regulated natural gas distribution, and pipeline and storage businesses in the United States. It operates through two segments, Distribution, and Pipeline and Storage. The Distribution segment is involved in the regulated natural gas distribution and related sales operations in eight states. This segment distributes natural gas to approximately 3.3 million residential, commercial, public authority, and industrial customers; and owned 73,689 miles of underground distribution and transmission mains. The Pipeline and Storage segment engages in the pipeline and storage operations. This segment transports natural gas for third parties and manages five underground storage facilities in Texas; provides ancillary services customary to the pipeline industry, including parking arrangements, lending, and inventory sales; and owned 5,645 miles of gas transmission lines. Atmos Energy Corporation was founded in 1906 and is headquartered in Dallas, Texas.

About Italgas

Italgas S.p.A., together with its subsidiaries, engages in the distribution of natural gas in Italy. It is involved in the transportation of gas to households, enterprises, etc. The company operated a distribution network of 81,309 kilometers. It also engages in metering activities; and distributes and sells water. Italgas S.p.A. was founded in 1837 and is based in Milan, Italy.