SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) Stock Fundamental Analysis
USA - NYSE:SOJD - US8425878001
20.29 USD
+0.02 (+0.1%)
20.27 USD
-0.02 (-0.1%)
SOJD gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 47 industry peers in the Electric Utilities industry. While SOJD has a great profitability rating, there are quite some concerns on its financial health. SOJD may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year SOJD was profitable.
SOJD had a positive operating cash flow in the past year.
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
The Return On Assets of SOJD (2.91%) is comparable to the rest of the industry.
SOJD has a better Return On Equity (12.74%) than 76.60% of its industry peers.
SOJD's Return On Invested Capital of 4.62% is fine compared to the rest of the industry. SOJD outperforms 70.21% of its industry peers.
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 5.02%.
The 3 year average ROIC (4.14%) for SOJD is below the current ROIC(4.62%), indicating increased profibility in the last year.
| 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
With a decent Profit Margin value of 15.42%, SOJD is doing good in the industry, outperforming 76.60% of the companies in the same industry.
SOJD's Profit Margin has declined in the last couple of years.
The Operating Margin of SOJD (25.68%) is better than 78.72% of its industry peers.
In the last couple of years the Operating Margin of SOJD has remained more or less at the same level.
SOJD has a Gross Margin of 89.28%. This is amongst the best in the industry. SOJD outperforms 89.36% 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
SOJD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, SOJD has about the same amount of shares outstanding.
SOJD has about the same amout of shares outstanding than it did 5 years ago.
SOJD has a worse debt/assets ratio than last year.
2.2 Solvency
SOJD has an Altman-Z score of 0.57. This is a bad value and indicates that SOJD is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.57, SOJD is not doing good in the industry: 80.85% of the companies in the same industry are doing better.
SOJD has a Debt/Equity ratio of 1.85. This is a high value indicating a heavy dependency on external financing.
SOJD's Debt to Equity ratio of 1.85 is on the low side compared to the rest of the industry. SOJD is outperformed by 80.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.57 |
ROIC/WACC0.94
WACC4.9%
2.3 Liquidity
A Current Ratio of 0.75 indicates that SOJD may have some problems paying its short term obligations.
SOJD has a Current ratio of 0.75. This is comparable to the rest of the industry: SOJD outperforms 42.55% of its industry peers.
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.
The Quick ratio of SOJD (0.56) is worse than 61.70% of its industry peers.
| 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.
SOJD shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.53% yearly.
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
Based on estimates for the next years, SOJD will show a small growth in Earnings Per Share. The EPS will grow by 7.15% on average per year.
The Revenue is expected to grow by 6.35% on average over the next years.
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
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
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
SOJD is valuated cheaply with a Price/Earnings ratio of 4.77.
Based on the Price/Earnings ratio, SOJD is valued cheaper than 91.49% of the companies in the same industry.
SOJD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.89.
The Price/Forward Earnings ratio is 4.31, which indicates a rather cheap valuation of SOJD.
Compared to the rest of the industry, the Price/Forward Earnings ratio of SOJD indicates a rather cheap valuation: SOJD is cheaper than 91.49% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 34.59. SOJD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.77 | ||
| Fwd PE | 4.31 |
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.
The decent profitability rating of SOJD may justify a higher PE ratio.
PEG (NY)0.57
PEG (5Y)0.87
EPS Next 2Y7.72%
EPS Next 3Y7.6%
5. Dividend
5.1 Amount
SOJD has a Yearly Dividend Yield of 3.26%.
SOJD's Dividend Yield is comparable with the industry average which is at 3.22.
SOJD's Dividend Yield is a higher than the S&P500 average which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.26% |
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
SOJD pays out 67.01% of its income as dividend. This is not a sustainable payout ratio.
The dividend of SOJD is growing, but earnings are growing more, so the dividend growth is sustainable.
DP67.01%
EPS Next 2Y7.72%
EPS Next 3Y7.6%
20.29
+0.02 (+0.1%)
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 Cap22.32B
Revenue(TTM)28.91B
Net Income(TTM)4.46B
Analysts72.12
Price Target23.06 (13.65%)
Short Float %0%
Short Ratio0.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.26% |
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)4.73%
PT rev (3m)8.94%
EPS NQ rev (1m)-7.1%
EPS NQ rev (3m)-7.53%
EPS NY rev (1m)0.12%
EPS NY rev (3m)-0.08%
Revenue NQ rev (1m)-2.96%
Revenue NQ rev (3m)0.24%
Revenue NY rev (1m)0.75%
Revenue NY rev (3m)2.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.77 | ||
| Fwd PE | 4.31 | ||
| P/S | 0.77 | ||
| P/FCF | N/A | ||
| P/OCF | 2.38 | ||
| P/B | 0.64 | ||
| P/tB | 0.76 | ||
| EV/EBITDA | 6.9 |
EPS(TTM)4.25
EY20.95%
EPS(NY)4.71
Fwd EY23.22%
FCF(TTM)-1.66
FCFYN/A
OCF(TTM)8.53
OCFY42.02%
SpS26.28
BVpS31.82
TBVpS26.85
PEG (NY)0.57
PEG (5Y)0.87
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
WACC4.9%
ROIC/WACC0.94
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 4.77 and the Price/Book (PB) ratio is 0.64.
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.