SOUTHERN CO - SO 4.95 01/30/2080 (SOJD) Stock Fundamental Analysis
USA - NYSE:SOJD - US8425878001
21.03 USD
+0.16 (+0.77%)
20.906 USD
-0.12 (-0.59%)
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. A decent growth rate in combination with a cheap valuation! Better keep an eye on SOJD.
1. Profitability
1.1 Basic Checks
SOJD had positive earnings in the past year.
In the past year SOJD had a positive cash flow from operations.
SOJD had positive earnings in each of the past 5 years.
SOJD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.88%, SOJD is in line with its industry, outperforming 59.57% of the companies in the same industry.
SOJD has a Return On Equity of 12.59%. This is in the better half of the industry: SOJD outperforms 76.60% of its industry peers.
The Return On Invested Capital of SOJD (4.53%) is better than 72.34% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for SOJD is in line with the industry average of 4.90%.
The 3 year average ROIC (4.14%) for SOJD is below the current ROIC(4.53%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.88% | ||
| ROE | 12.59% | ||
| ROIC | 4.53% |
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 15.10%, SOJD is doing good in the industry, outperforming 68.09% of the companies in the same industry.
SOJD's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 25.39%, SOJD belongs to the best 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.
With an excellent Gross Margin value of 89.14%, SOJD belongs to the best of the industry, outperforming 89.36% of the companies in the same industry.
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 | 25.39% | ||
| PM (TTM) | 15.1% | ||
| GM | 89.14% |
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.
SOJD has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for SOJD remains at a similar level compared to 5 years ago.
Compared to 1 year ago, SOJD has a worse debt to assets ratio.
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 has a Altman-Z score of 0.57. This is amonst the worse of the industry: SOJD underperforms 80.85% of its industry peers.
SOJD has a Debt/Equity ratio of 1.88. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of SOJD (1.88) is worse than 82.98% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.57 |
ROIC/WACC0.94
WACC4.81%
2.3 Liquidity
SOJD has a Current Ratio of 0.74. This is a bad value and indicates that SOJD is not financially healthy enough and could expect problems in meeting its short term obligations.
SOJD's Current ratio of 0.74 is in line compared to the rest of the industry. SOJD outperforms 42.55% of its industry peers.
A Quick Ratio of 0.53 indicates that SOJD may have some problems paying its short term obligations.
The Quick ratio of SOJD (0.53) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
SOJD shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.63%.
The Earnings Per Share has been growing slightly by 5.48% on average over the past years.
The Revenue has grown by 8.53% in the past year. This is quite good.
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)-2.63%
EPS 3Y5.99%
EPS 5Y5.48%
EPS Q2Q%-16.36%
Revenue 1Y (TTM)8.53%
Revenue growth 3Y4.96%
Revenue growth 5Y4.53%
Sales Q2Q%7.89%
3.2 Future
The Earnings Per Share is expected to grow by 6.85% on average over the next years.
SOJD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.64% yearly.
EPS Next Y8.23%
EPS Next 2Y7.69%
EPS Next 3Y7.47%
EPS Next 5Y6.85%
Revenue Next Year6.83%
Revenue Next 2Y5.74%
Revenue Next 3Y5.31%
Revenue Next 5Y4.64%
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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 5.15 indicates a rather cheap valuation of SOJD.
87.23% of the companies in the same industry are more expensive than SOJD, based on the Price/Earnings ratio.
SOJD is valuated cheaply when we compare the Price/Earnings ratio to 27.49, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 4.47, which indicates a rather cheap valuation of SOJD.
91.49% of the companies in the same industry are more expensive than SOJD, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.99. SOJD is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.15 | ||
| Fwd PE | 4.47 |
4.2 Price Multiples
SOJD's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. SOJD is cheaper than 87.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.06 |
4.3 Compensation for Growth
The 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)0.63
PEG (5Y)0.94
EPS Next 2Y7.69%
EPS Next 3Y7.47%
5. Dividend
5.1 Amount
SOJD has a Yearly Dividend Yield of 3.08%.
SOJD's Dividend Yield is comparable with the industry average which is at 3.40.
SOJD's Dividend Yield is a higher than the S&P500 average which is at 2.43.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
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 69.13% of its income as dividend. This is not a sustainable payout ratio.
SOJD's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP69.13%
EPS Next 2Y7.69%
EPS Next 3Y7.47%
SOUTHERN CO - SO 4.95 01/30/2080
NYSE:SOJD (10/15/2025, 4:29:14 PM)
After market: 20.906 -0.12 (-0.59%)21.03
+0.16 (+0.77%)
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 Cap23.13B
Analysts75.71
Price Target22.01 (4.66%)
Short Float %0.02%
Short Ratio2.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
Yearly Dividend2.69
Dividend Growth(5Y)1.87%
DP69.13%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.19%
Min EPS beat(2)-0.3%
Max EPS beat(2)-0.07%
EPS beat(4)1
Avg EPS beat(4)-0.26%
Min EPS beat(4)-4.33%
Max EPS beat(4)3.64%
EPS beat(8)5
Avg EPS beat(8)4.09%
EPS beat(12)8
Avg EPS beat(12)3.62%
EPS beat(16)10
Avg EPS beat(16)4.3%
Revenue beat(2)2
Avg Revenue beat(2)6.53%
Min Revenue beat(2)5.3%
Max Revenue beat(2)7.77%
Revenue beat(4)3
Avg Revenue beat(4)3.67%
Min Revenue beat(4)-3.09%
Max Revenue beat(4)7.77%
Revenue beat(8)4
Avg Revenue beat(8)-3.54%
Revenue beat(12)7
Avg Revenue beat(12)0.31%
Revenue beat(16)10
Avg Revenue beat(16)3.47%
PT rev (1m)-0.3%
PT rev (3m)3.39%
EPS NQ rev (1m)0.38%
EPS NQ rev (3m)0.32%
EPS NY rev (1m)0.05%
EPS NY rev (3m)-0.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.98%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.15 | ||
| Fwd PE | 4.47 | ||
| P/S | 0.82 | ||
| P/FCF | N/A | ||
| P/OCF | 2.51 | ||
| P/B | 0.68 | ||
| P/tB | 0.81 | ||
| EV/EBITDA | 7.06 |
EPS(TTM)4.08
EY19.4%
EPS(NY)4.71
Fwd EY22.39%
FCF(TTM)-0.98
FCFYN/A
OCF(TTM)8.38
OCFY39.85%
SpS25.78
BVpS30.92
TBVpS25.94
PEG (NY)0.63
PEG (5Y)0.94
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.88% | ||
| ROE | 12.59% | ||
| ROCE | 5.36% | ||
| ROIC | 4.53% | ||
| ROICexc | 4.57% | ||
| ROICexgc | 4.76% | ||
| OM | 25.39% | ||
| PM (TTM) | 15.1% | ||
| GM | 89.14% | ||
| 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%
ROICexcg growth 3Y6.47%
ROICexcg 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-Score4
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.02 | ||
| Cap/Depr | 185.4% | ||
| Cap/Sales | 36.3% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | 72.29% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.53 | ||
| Altman-Z | 0.57 |
F-Score4
WACC4.81%
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)-2.63%
EPS 3Y5.99%
EPS 5Y5.48%
EPS Q2Q%-16.36%
EPS Next Y8.23%
EPS Next 2Y7.69%
EPS Next 3Y7.47%
EPS Next 5Y6.85%
Revenue 1Y (TTM)8.53%
Revenue growth 3Y4.96%
Revenue growth 5Y4.53%
Sales Q2Q%7.89%
Revenue Next Year6.83%
Revenue Next 2Y5.74%
Revenue Next 3Y5.31%
Revenue Next 5Y4.64%
EBIT growth 1Y4.8%
EBIT growth 3Y10.62%
EBIT growth 5Y5.63%
EBIT Next Year84.89%
EBIT Next 3Y28.4%
EBIT Next 5Y16.78%
FCF growth 1Y63.92%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y63.97%
OCF growth 3Y16.63%
OCF growth 5Y11.11%