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. While SOJD belongs to the best of the industry regarding profitability, there are 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
In the past year SOJD was profitable.
In the past year SOJD had a positive cash flow from operations.
SOJD had positive earnings in each of the past 5 years.
Each year in the past 5 years SOJD had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 2.91%, SOJD is in line with its industry, outperforming 59.57% of the companies in the same industry.
The Return On Equity of SOJD (12.74%) is better 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 72.34% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SOJD is in line with the industry average of 4.92%.
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
SOJD has a Profit Margin of 15.42%. This is in the better half of the industry: SOJD outperforms 72.34% of its industry peers.
In the last couple of years the Profit Margin of SOJD has declined.
SOJD's Operating Margin of 25.68% is amongst the best of the industry. SOJD outperforms 80.85% of its industry peers.
In the last couple of years the Operating Margin of SOJD has remained more or less at the same level.
The Gross Margin of SOJD (89.28%) is better than 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.
SOJD has about the same amout of shares outstanding than it did 1 year ago.
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
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.
The Altman-Z score of SOJD (0.57) is worse than 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 Debt to Equity ratio of 1.85. This is amonst the worse of the industry: SOJD underperforms 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
A Current Ratio of 0.75 indicates that SOJD may have some problems paying its short term obligations.
SOJD has a Current ratio (0.75) which is comparable to the rest of the industry.
A Quick Ratio of 0.56 indicates that SOJD may have some problems paying its short term obligations.
SOJD's Quick ratio of 0.56 is on the low side compared to the rest of the industry. SOJD is outperformed by 63.83% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.75 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 1.19% over the past year.
Measured over the past 5 years, SOJD shows a small growth in Earnings Per Share. The EPS has been growing by 5.48% on average per year.
Looking at the last year, SOJD shows a quite strong growth in Revenue. The Revenue has grown by 9.40% in the last year.
The Revenue has been growing slightly by 4.53% on average over the past years.
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.
SOJD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.35% yearly.
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
A Price/Earnings ratio of 4.74 indicates a rather cheap valuation of SOJD.
Based on the Price/Earnings ratio, SOJD is valued cheaply inside the industry as 89.36% of the companies are valued more expensively.
SOJD is valuated cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
SOJD is valuated cheaply with a Price/Forward Earnings ratio of 4.27.
Based on the Price/Forward Earnings ratio, SOJD is valued cheaper than 91.49% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, SOJD is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 4.74 | ||
| Fwd PE | 4.27 |
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 | 6.9 |
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)0.57
PEG (5Y)0.86
EPS Next 2Y7.72%
EPS Next 3Y7.6%
5. Dividend
5.1 Amount
SOJD has a Yearly Dividend Yield of 3.28%. Purely for dividend investing, there may be better candidates out there.
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 | 3.28% |
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%
20.13
-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 Cap22.17B
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 | 3.28% |
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.