SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SOJD - US8425878001
20.13 USD
-0.07 (-0.35%)
20.13 USD
0 (0%)
Taking everything into account, SOJD scores 5 out of 10 in our fundamental rating. SOJD was compared to 47 industry peers in the Electric Utilities industry. SOJD scores excellent on profitability, but there are concerns on its financial health. SOJD is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year SOJD was profitable.
In the past year SOJD had a positive cash flow from operations.
In the past 5 years SOJD has always been profitable.
SOJD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
SOJD has a Return On Assets of 2.91%. This is comparable to the rest of the industry: SOJD outperforms 59.57% of its industry peers.
The Return On Equity of SOJD (12.74%) is better than 76.60% of its industry peers.
Looking at the Return On Invested Capital, with a value of 4.62%, SOJD is in the better half of the industry, outperforming 72.34% of the companies in the same industry.
SOJD had an Average Return On Invested Capital over the past 3 years of 4.14%. This is in line with the industry average of 4.92%.
The last Return On Invested Capital (4.62%) for SOJD is above the 3 year average (4.14%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 12.74% | ||
| ROIC | 4.62% |
ROA(3y)2.83%
ROA(5y)2.58%
ROE(3y)12.5%
ROE(5y)11.4%
ROIC(3y)4.14%
ROIC(5y)4.02%
1.3 Margins
SOJD has a better Profit Margin (15.42%) than 72.34% of its industry peers.
In the last couple of years the Profit Margin of SOJD has declined.
Looking at the Operating Margin, with a value of 25.68%, SOJD belongs to the top of the industry, outperforming 80.85% of the companies in the same industry.
SOJD's Operating Margin has been stable in the last couple of years.
SOJD has a Gross Margin of 89.28%. This is amongst the best in the industry. SOJD outperforms 87.23% of its industry peers.
In the last couple of years the Gross Margin of SOJD has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.68% | ||
| PM (TTM) | 15.42% | ||
| GM | 89.28% |
OM growth 3Y5.39%
OM growth 5Y1.06%
PM growth 3Y16.73%
PM growth 5Y-5.73%
GM growth 3Y0.95%
GM growth 5Y0.39%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), SOJD is destroying value.
The number of shares outstanding for SOJD remains at a similar level compared to 1 year ago.
SOJD has about the same amout of shares outstanding than it did 5 years ago.
The debt/assets ratio for SOJD is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.57, we must say that SOJD is in the distress zone and has some risk of bankruptcy.
SOJD's Altman-Z score of 0.57 is on the low side compared to the rest of the industry. SOJD is outperformed by 80.85% of its industry peers.
A Debt/Equity ratio of 1.85 is on the high side and indicates that SOJD has dependencies on debt financing.
SOJD has a worse Debt to Equity ratio (1.85) than 80.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.57 |
ROIC/WACC0.95
WACC4.88%
2.3 Liquidity
SOJD has a Current Ratio of 0.75. This is a bad value and indicates that SOJD is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.75, SOJD is in line with its industry, outperforming 40.43% of the companies in the same industry.
SOJD has a Quick Ratio of 0.75. This is a bad value and indicates that SOJD is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.56, SOJD is doing worse than 63.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
SOJD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.19%.
The Earnings Per Share has been growing slightly by 5.48% on average over the past years.
Looking at the last year, SOJD shows a quite strong growth in Revenue. The Revenue has grown by 9.40% in the last year.
Measured over the past years, SOJD shows a small growth in Revenue. The Revenue has been growing by 4.53% on average per year.
EPS 1Y (TTM)1.19%
EPS 3Y5.99%
EPS 5Y5.48%
EPS Q2Q%11.89%
Revenue 1Y (TTM)9.4%
Revenue growth 3Y4.96%
Revenue growth 5Y4.53%
Sales Q2Q%7.55%
3.2 Future
The Earnings Per Share is expected to grow by 7.15% on average over the next years.
Based on estimates for the next years, SOJD will show a small growth in Revenue. The Revenue will grow by 6.35% on average per year.
EPS Next Y8.37%
EPS Next 2Y7.72%
EPS Next 3Y7.6%
EPS Next 5Y7.15%
Revenue Next Year7.63%
Revenue Next 2Y6.29%
Revenue Next 3Y5.88%
Revenue Next 5Y6.35%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 4.74, the valuation of SOJD can be described as very cheap.
Based on the Price/Earnings ratio, SOJD is valued cheaply inside the industry as 89.36% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of SOJD to the average of the S&P500 Index (26.31), we can say SOJD is valued rather cheaply.
A Price/Forward Earnings ratio of 4.27 indicates a rather cheap valuation of SOJD.
Based on the Price/Forward Earnings ratio, SOJD is valued cheaply inside the industry as 91.49% of the companies are valued more expensively.
SOJD is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.74 | ||
| Fwd PE | 4.27 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOJD is valued cheaply inside the industry as 87.23% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 6.9 |
4.3 Compensation for Growth
SOJD's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SOJD has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.57
PEG (5Y)0.86
EPS Next 2Y7.72%
EPS Next 3Y7.6%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.34%, SOJD has a reasonable but not impressive dividend return.
SOJD's Dividend Yield is comparable with the industry average which is at 3.39.
SOJD's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
5.2 History
The dividend of SOJD has a limited annual growth rate of 1.87%.
SOJD has been paying a dividend for over 5 years, so it has already some track record.
SOJD has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)1.87%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
67.01% of the earnings are spent on dividend by SOJD. This is not a sustainable payout ratio.
SOJD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP67.01%
EPS Next 2Y7.72%
EPS Next 3Y7.6%
20.13
-0.07 (-0.35%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners71.62%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap22.14B
Revenue(TTM)28.91B
Net Income(TTM)4.46B
Analysts72.12
Price Target22.72 (12.87%)
Short Float %0%
Short Ratio0.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
Yearly Dividend2.69
Dividend Growth(5Y)1.87%
DP67.01%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.4%
Min EPS beat(2)-0.3%
Max EPS beat(2)3.1%
EPS beat(4)1
Avg EPS beat(4)-0.4%
Min EPS beat(4)-4.33%
Max EPS beat(4)3.1%
EPS beat(8)5
Avg EPS beat(8)3.95%
EPS beat(12)9
Avg EPS beat(12)4.23%
EPS beat(16)11
Avg EPS beat(16)4.62%
Revenue beat(2)1
Avg Revenue beat(2)3.8%
Min Revenue beat(2)-0.17%
Max Revenue beat(2)7.77%
Revenue beat(4)3
Avg Revenue beat(4)4.4%
Min Revenue beat(4)-0.17%
Max Revenue beat(4)7.77%
Revenue beat(8)4
Avg Revenue beat(8)-1.23%
Revenue beat(12)6
Avg Revenue beat(12)-1.21%
Revenue beat(16)10
Avg Revenue beat(16)3.55%
PT rev (1m)3.23%
PT rev (3m)2.92%
EPS NQ rev (1m)-6.04%
EPS NQ rev (3m)-6.05%
EPS NY rev (1m)0.07%
EPS NY rev (3m)0.17%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)-2.86%
Revenue NY rev (1m)0.26%
Revenue NY rev (3m)0.76%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.74 | ||
| Fwd PE | 4.27 | ||
| P/S | 0.77 | ||
| P/FCF | N/A | ||
| P/OCF | 2.36 | ||
| P/B | 0.63 | ||
| P/tB | 0.75 | ||
| EV/EBITDA | 6.9 |
EPS(TTM)4.25
EY21.11%
EPS(NY)4.71
Fwd EY23.4%
FCF(TTM)-1.66
FCFYN/A
OCF(TTM)8.53
OCFY42.35%
SpS26.28
BVpS31.82
TBVpS26.85
PEG (NY)0.57
PEG (5Y)0.86
Graham Number55.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.91% | ||
| ROE | 12.74% | ||
| ROCE | 5.44% | ||
| ROIC | 4.62% | ||
| ROICexc | 4.74% | ||
| ROICexgc | 4.94% | ||
| OM | 25.68% | ||
| PM (TTM) | 15.42% | ||
| GM | 89.28% | ||
| FCFM | N/A |
ROA(3y)2.83%
ROA(5y)2.58%
ROE(3y)12.5%
ROE(5y)11.4%
ROIC(3y)4.14%
ROIC(5y)4.02%
ROICexc(3y)4.18%
ROICexc(5y)4.06%
ROICexgc(3y)4.38%
ROICexgc(5y)4.26%
ROCE(3y)4.95%
ROCE(5y)4.79%
ROICexgc growth 3Y6.47%
ROICexgc growth 5Y1.27%
ROICexc growth 3Y6.72%
ROICexc growth 5Y1.53%
OM growth 3Y5.39%
OM growth 5Y1.06%
PM growth 3Y16.73%
PM growth 5Y-5.73%
GM growth 3Y0.95%
GM growth 5Y0.39%
F-Score5
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 4.91 | ||
| Cap/Depr | 193.96% | ||
| Cap/Sales | 38.74% | ||
| Interest Coverage | 2.75 | ||
| Cash Conversion | 71.04% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | 0.57 |
F-Score5
WACC4.88%
ROIC/WACC0.95
Cap/Depr(3y)182.47%
Cap/Depr(5y)184.04%
Cap/Sales(3y)32.2%
Cap/Sales(5y)32.89%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.19%
EPS 3Y5.99%
EPS 5Y5.48%
EPS Q2Q%11.89%
EPS Next Y8.37%
EPS Next 2Y7.72%
EPS Next 3Y7.6%
EPS Next 5Y7.15%
Revenue 1Y (TTM)9.4%
Revenue growth 3Y4.96%
Revenue growth 5Y4.53%
Sales Q2Q%7.55%
Revenue Next Year7.63%
Revenue Next 2Y6.29%
Revenue Next 3Y5.88%
Revenue Next 5Y6.35%
EBIT growth 1Y6.57%
EBIT growth 3Y10.62%
EBIT growth 5Y5.63%
EBIT Next Year84.89%
EBIT Next 3Y28.4%
EBIT Next 5Y19.8%
FCF growth 1Y6.85%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y33.49%
OCF growth 3Y16.63%
OCF growth 5Y11.11%
SOUTHERN CO - SO 4.95 01/30/2080 / SOJD FAQ
What is the fundamental rating for SOJD stock?
ChartMill assigns a fundamental rating of 5 / 10 to SOJD.
Can you provide the valuation status for SOUTHERN CO - SO 4.95 01/30/2080?
ChartMill assigns a valuation rating of 7 / 10 to SOUTHERN CO - SO 4.95 01/30/2080 (SOJD). This can be considered as Undervalued.
How profitable is SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) stock?
SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) has a profitability rating of 7 / 10.
What is the valuation of SOUTHERN CO - SO 4.95 01/30/2080 based on its PE and PB ratios?
The Price/Earnings (PE) ratio for SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) is 4.74 and the Price/Book (PB) ratio is 0.63.
Can you provide the expected EPS growth for SOJD stock?
The Earnings per Share (EPS) of SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) is expected to grow by 8.37% in the next year.