SOUTHERN CO - SO 6 1/2 03/15/2085 (SOJF) Stock Fundamental Analysis
USA - NYSE:SOJF - US8425878670
25.87 USD
+0.04 (+0.15%)
Overall SOJF gets a fundamental rating of 4 out of 10. We evaluated SOJF against 47 industry peers in the Electric Utilities industry. While SOJF belongs to the best of the industry regarding profitability, there are concerns on its financial health. SOJF scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year SOJF was profitable.
In the past year SOJF had a positive cash flow from operations.
In the past 5 years SOJF has always been profitable.
In the past 5 years SOJF always reported a positive cash flow from operatings.
1.2 Ratios
SOJF has a Return On Assets of 2.88%. This is comparable to the rest of the industry: SOJF outperforms 55.32% of its industry peers.
Looking at the Return On Equity, with a value of 12.59%, SOJF is in the better half of the industry, outperforming 72.34% of the companies in the same industry.
The Return On Invested Capital of SOJF (4.53%) is better than 68.09% of its industry peers.
SOJF had an Average Return On Invested Capital over the past 3 years of 4.14%. This is in line with the industry average of 4.90%.
The last Return On Invested Capital (4.53%) for SOJF is above the 3 year average (4.14%), which is a sign of increasing profitability.
| 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
SOJF has a better Profit Margin (15.10%) than 63.83% of its industry peers.
SOJF's Profit Margin has declined in the last couple of years.
SOJF has a Operating Margin of 25.39%. This is in the better half of the industry: SOJF outperforms 76.60% of its industry peers.
In the last couple of years the Operating Margin of SOJF has remained more or less at the same level.
SOJF has a better Gross Margin (89.14%) than 85.11% of its industry peers.
SOJF's Gross Margin has been stable in the last couple of years.
| 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
SOJF has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
SOJF has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for SOJF remains at a similar level compared to 5 years ago.
The debt/assets ratio for SOJF is higher compared to a year ago.
2.2 Solvency
SOJF has an Altman-Z score of 0.60. This is a bad value and indicates that SOJF is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.60, SOJF is not doing good in the industry: 74.47% of the companies in the same industry are doing better.
SOJF has a Debt/Equity ratio of 1.88. This is a high value indicating a heavy dependency on external financing.
SOJF has a Debt to Equity ratio of 1.88. This is amonst the worse of the industry: SOJF underperforms 87.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.6 |
ROIC/WACC0.9
WACC5.04%
2.3 Liquidity
SOJF has a Current Ratio of 0.74. This is a bad value and indicates that SOJF is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.74, SOJF is not doing good in the industry: 61.70% of the companies in the same industry are doing better.
A Quick Ratio of 0.53 indicates that SOJF may have some problems paying its short term obligations.
With a Quick ratio value of 0.53, SOJF is not doing good in the industry: 61.70% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.53 |
3. Growth
3.1 Past
SOJF 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, SOJF 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.
The Revenue is expected to grow by 4.64% on average over the next years.
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
The Price/Earnings ratio is 6.34, which indicates a rather cheap valuation of SOJF.
Based on the Price/Earnings ratio, SOJF is valued a bit cheaper than the industry average as 78.72% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of SOJF to the average of the S&P500 Index (27.53), we can say SOJF is valued rather cheaply.
The Price/Forward Earnings ratio is 5.49, which indicates a rather cheap valuation of SOJF.
Based on the Price/Forward Earnings ratio, SOJF is valued cheaper than 87.23% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.04. SOJF is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.34 | ||
| Fwd PE | 5.49 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SOJF is valued cheaply inside the industry as 80.85% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.49 |
4.3 Compensation for Growth
SOJF's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
SOJF has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.77
PEG (5Y)1.16
EPS Next 2Y7.69%
EPS Next 3Y7.47%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.08%, SOJF has a reasonable but not impressive dividend return.
SOJF's Dividend Yield is comparable with the industry average which is at 3.40.
SOJF's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.08% |
5.2 History
The dividend of SOJF has a limited annual growth rate of 1.87%.
SOJF is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)1.87%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
69.13% of the earnings are spent on dividend by SOJF. This is not a sustainable payout ratio.
The dividend of SOJF is growing, but earnings are growing more, so the dividend growth is sustainable.
DP69.13%
EPS Next 2Y7.69%
EPS Next 3Y7.47%
SOUTHERN CO - SO 6 1/2 03/15/2085
NYSE:SOJF (10/16/2025, 4:10:02 PM)
25.87
+0.04 (+0.15%)
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 Cap28.46B
Analysts75.71
Price Target26.91 (4.02%)
Short Float %0.01%
Short Ratio1.36
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 Years0
Ex-DateN/A
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)-0.9%
PT rev (3m)-3.19%
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 | 6.34 | ||
| Fwd PE | 5.49 | ||
| P/S | 1 | ||
| P/FCF | N/A | ||
| P/OCF | 3.09 | ||
| P/B | 0.84 | ||
| P/tB | 1 | ||
| EV/EBITDA | 7.49 |
EPS(TTM)4.08
EY15.77%
EPS(NY)4.71
Fwd EY18.2%
FCF(TTM)-0.98
FCFYN/A
OCF(TTM)8.38
OCFY32.4%
SpS25.78
BVpS30.92
TBVpS25.94
PEG (NY)0.77
PEG (5Y)1.16
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 | 0.6 |
F-Score4
WACC5.04%
ROIC/WACC0.9
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%