Atmos Energy Corporation (NYSE: ATO), the largest local distribution company (LDC) in the US specializing in natural gas, has shown strong financial performance and stability. The company recently paid its 158th consecutive quarterly dividend and sports a dividend yield of 2.5%.
With a market capitalization of approximately $17 billion, Atmos Energy operates as the largest publicly traded fully regulated pure-play natural gas utility in the US. It serves over 3 million customers across several states, primarily earning two-thirds of its earnings from Texas.
Additionally, the company owns an interstate gas pipeline and multiple storage facilities. Founded in 1906 and headquartered in Dallas, Texas, Atmos Energy has established itself as a reputable and long-standing player in the natural gas industry.
During its fiscal 2023 Q2 earnings call, the company reported a year-to-date fiscal 2023 net income of $630 million or $4.40 per diluted share.
Company leaders highlighted strong customer growth, particularly in Texas. They discussed the addition of new industrial customers and a corresponding increase in anticipated annual load, highlighting the impact it would have on supporting growth and supply diversification.
The CEO also provided updates on ongoing projects, such as the Line S2 project and the installation of a 36-inch pipeline connecting to the Permian Highway Line.
Atmos emphasized its focus on enhancing the safety, reliability, versatility, and supply diversification of its natural gas system. The team also discussed efforts to reduce emissions and increase the use of renewable natural gas. This includes the addition of renewable natural gas (RNG) facilities and partnerships with organizations like Habitat for Humanity to build zero net energy homes.
The company offers convenient channels for customers to communicate and make payments, with a significant percentage of customers enrolled in electronic bill delivery and recurring auto draft. Plus, it supports energy assistance agencies and customers, helping over 35,000 customers receive over $14 million in funding assistance in the first six months of fiscal 2023.
Atmos Energy ranked first in customer satisfaction among energy utility providers, according to the American Customer Satisfaction Index Energy Utility study conducted in the previous year.
Unlocking European Opportunities
If you are seeking an alternative investment in the energy sector, a small-cap growth prospect may captivate your interest.
MCF Energy is an under-the-radar junior stock endowed with top-tier support. This company is armed with strategic natural gas assets and serious growth projections in Europe’s volatile energy sector.
With European energy supplies severely disrupted due to the war in Ukraine, MCF Energy has spotted a timely opportunity to capitalize. In doing so, MCF has acquired large-scale top-tier Austrian and German prospects with a clear path to market.
The German acquisition has positioned MCF Energy as a major player in natural gas exploration in the region, owning 100% of four licenses for exploration and development projects. This is particularly noteworthy since Germany is Europe's largest gas importer.
Meanwhile, the company is also evaluating other additional frontiers with huge expansion prospects. MCF Energy's modern technology, led by artificial intelligence expert Deborah Sacrey, plays a vital role in unlocking Europe's underexploited resources. Sacrey's extensive experience in oil and gas exploration, with nine discoveries under her belt using multi-attribute neural analysis, keeps the company at the cutting edge.
If you're in the process of evaluating investment opportunities within the energy sector, then you should carefully consider the potential of MCF Energy. It presents an exceptional opportunity in the European natural gas market, with multiple growth opportunities ahead.