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Atmos Energy (ATO) to Post Q3 Earnings: What's in the Cards?

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Atmos Energy Corporation (ATO - Free Report) is set to report third-quarter fiscal 2022 results on Aug 3, after market close. The natural gas distribution company reported an average surprise of 1.14% in the last four quarters.

Let’s discuss the factors that are likely to get reflected in the upcoming quarterly results.

Factors at Play

Atmos Energy’s earnings in third-quarter fiscal 2022 are likely to have benefited from new rates worth $29.6 million completed through May 4, 2022. Atmos Energy’s fiscal third-quarter earnings are likely to have gained from greater demand from the expanding customer base in the distribution segment.

Increased operating expenses and share dilution are likely to have impacted fiscal third-quarter earnings.

Expectation

The Zacks Consensus Estimate for third-quarter fiscal 2022 earnings per share is pegged at 86 cents, which indicates an increase of 10.3% from the year-ago reported figure.

What Our Quantitative Model Predicts

Our proven model conclusively predicts an earnings beat for Atmos Energy this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is the case here, as you will see below. You can see the complete list of today’s Zacks #1 Rank stocks here.

Atmos Energy Corporation Price and EPS Surprise

 

Atmos Energy Corporation Price and EPS Surprise

Atmos Energy Corporation price-eps-surprise | Atmos Energy Corporation Quote

Earnings ESP: The company’s Earnings ESP is +1.35%.

You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Atmos Energy currently carries a Zacks Rank #2.

Other Stocks to Consider

Investors can consider a few other players from the same sector that also have the right combination of elements to post an earnings beat for the to-be-reported quarter.

WEC Energy Group (WEC - Free Report) is likely to come up with an earnings beat when it reports second-quarter results on Aug 2, before market open. WEC Energy has an Earnings ESP of +0.08% and a Zacks Rank #2 at present.

WEC Energy’s long-term (three to five years) earnings growth is pegged at 6.08%. The Zacks Consensus Estimate for WEC’s 2022 earnings per share suggests a year-over-year rise of 6.3%.

Entergy Corporation (ETR - Free Report) is likely to come up with an earnings beat when it reports second-quarter results on Aug 3. Entergy has an Earnings ESP of +0.35% and a Zacks Rank #3 at present.

Entergy’s long-term earnings growth is pegged at 6.7%. The Zacks Consensus Estimate for ETR’s 2022 earnings per share suggests a year-over-year rise of 5.6%.

Spire Inc. (SR - Free Report) is likely to come up with an earnings beat when it reports third-quarter fiscal 2022 results on Aug 4, before market open. Spire has an Earnings ESP of +6.66% and a Zacks Rank #3 at present.

Spire’s long-term (three to five years) earnings growth is pegged at 5%. The Zacks Consensus Estimate for SR’s fiscal 2023 earnings per share indicates 11.9% year-over-year growth.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

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