I keep hearing anecdotal stories of people using them but wonder if they are still considered a good way to buy bitcoin, given the steep fees these machines often charge.
In my opinion and understanding, Bitcoin ATMs can never be considered the best way to buy bitcoin. To start with, they have one of the worst fees when compared to what a normal bitcoin transaction fee should be, and their price is always, on the other hand, much higher than what Bitcoin is trading on the crypto market.
I believe Bitcoin ATMs are just means for those who are too lazy to do normal research on how to buy bitcoin online because they are just required to either use their card or pay with cash and their mobile number, and they are good to go. Most of them think it's an anonymous way of buying, which is far from that because the ATM captures their face and their mobile number is also taken.