NYSE
SOJD
Last Price
US $18.45
KEY FIGURES
MKT CAP
$20.7B
EPS
TTM
$4.10
PEG
TTM
N/M
P/E
TTM
4.50x
P/S
TTM
0.70x
YIELD
16.15%
GROWTH
Revenue Y/Y
7.72%
(FY vs FY)
EBITDA Y/Y
Cash Flow (DCF)
Fair Value
Market $18.45
—
Default assumptions
EBITDA Multiple
Fair Value
Market $18.45
28.89%
Default assumptions
Valuation
Financial
Performance
Financial risk - Cash flow debt coverage.
Southern Company (The) Series 2 cash flow to debt ratio of 13.01% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.
Financial risk - Healthy cash flow growth.
Southern Company (The) Series 2's free cash flow has decreased -1.89K% from $201.00M last year to $-3.59G, signaling decreasing performance
Financial risk - Healthy debt to equity ratio.
Southern Company (The) Series 2's debt to equity ratio is 1.95, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial stability - Healthy debt to equity ratio development.
Southern Company (The) Series 2's debt has decreased relative to shareholder equity from 2.00 last year to 1.95 today, signaling strengthened financials
Financial risk - Net debt/EBITDA.
Southern Company (The) Series 2 has a net debt to EBITDA ratio of 5.14x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk
Financial stability - ICR.
Southern Company (The) Series 2's interest coverage ratio of 2.22 indicates that earnings with margin can cover interest payments on company debt
Financial risk - Profit margin growth.
Southern Company (The) Series 2's profit margin has decreased (-6.29%) in the last year from 16.47% to 15.43%, signaling decreasing performance
Financial risk - Short term assets vs short term liabilities.
Southern Company (The) Series 2's short-term liabilities of $16.89G exceed its short-term assets of $10.92G, signaling financial risk
Decreasing performance - ROA.
Southern Company (The) Series 2's return on assets of 2.87% is lower than the 5.00% threshold, indicating inefficient asset utilization
Decreasing performance - Absolute return on equity.
Southern Company (The) Series 2's return on equity of 12.61%, is lower than 15.00%, indicating bad performance
Increasing performance - Earnings quality.
Southern Company (The) Series 2's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Southern Company (The) Series 2 had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Decreasing performance - Free cash flow.
Southern Company (The) Series 2 has negative free cash flow, indicating the company is burning cash rather than generating it
Decreasing performance - FCF yield.
Southern Company (The) Series 2 has negative free cash flow, indicating cash burn
Decreasing performance - Healthy earnings growth.
Southern Company (The) Series 2's yearly earnings has decreased -1.36% since last year from $4.40G to $4.34G, signaling decreasing performance
Increasing performance - Healthy revenue growth.
Southern Company (The) Series 2's yearly revenue has increased 10.59% since last year from $26.72G to $29.55G, signaling increasing performance
Decreasing performance - ROIC.
ROIC 4.14% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.
Increasing performance - 3-year revenue CAGR.
Southern Company (The) Series 2's 3-year revenue CAGR of 0.31% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Southern Company (The) Series 2 had revenue growth in 4.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Southern Company (The) Series 2 had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
Southern Company (The) Series 2 has insufficient data to evaluate this check.
Undervalued - Earnings yield.
Southern Company (The) Series 2 has an earnings yield of 22.20%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Undervalued - EBITDA valuation.
Southern Company (The) Series 2 is undervalued relative to its fair value price of 23.78 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Southern Company (The) Series 2 has an EV/EBITDA ratio of 6.58x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Southern Company (The) Series 2 has a PEG-ratio over 1 which is considered overvalued
Undervalued - P/B ratio.
Southern Company (The) Series 2 has a price-to-book ratio of 0.50x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value
Undervalued - P/S ratio.
Southern Company (The) Series 2 has a price-to-sales ratio of 0.70x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
12.61%
Return on equity
ROIC: 4.14%
Valuation History
22.2X
Price to Earnings
EV/EBITDA: 12.7X
Cash flow
Profit margin
9.42%
(FY vs FY)
Cash flow Y/Y
-20.98%
(FY vs FY)
EARNINGS FV (GRAHAM)
Fair Value
Market $18.45
607.10%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.