SOUTHERN CO - SO 6 1/2 03/15/2085 (SOJF) Stock Fundamental Analysis
USA - NYSE:SOJF - US8425878670
25.91 USD
-0.04 (-0.15%)
Overall SOJF gets a fundamental rating of 4 out of 10. We evaluated SOJF against 48 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 is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year SOJF was profitable.
SOJF had a positive operating cash flow in the past year.
SOJF had positive earnings in each of the past 5 years.
In the past 5 years SOJF always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.88%, SOJF perfoms like the industry average, outperforming 50.00% of the companies in the same industry.
SOJF's Return On Equity of 12.59% is fine compared to the rest of the industry. SOJF outperforms 72.92% of its industry peers.
SOJF has a Return On Invested Capital of 4.53%. This is in the better half of the industry: SOJF outperforms 64.58% 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 5.39%.
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's Profit Margin of 15.10% is fine compared to the rest of the industry. SOJF outperforms 64.58% 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 77.08% of its industry peers.
SOJF's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 89.14%, SOJF belongs to the best of the industry, outperforming 85.42% of the companies in the same industry.
In the last couple of years the Gross Margin of SOJF 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so SOJF is destroying value.
Compared to 1 year ago, SOJF has about the same amount of shares outstanding.
Compared to 5 years ago, SOJF has about the same amount of shares outstanding.
The debt/assets ratio for SOJF is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.60, we must say that SOJF is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of SOJF (0.60) is worse than 75.00% of its industry peers.
SOJF has a Debt/Equity ratio of 1.88. This is a high value indicating a heavy dependency on external financing.
SOJF's Debt to Equity ratio of 1.88 is on the low side compared to the rest of the industry. SOJF is outperformed by 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.88 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.6 |
ROIC/WACC0.89
WACC5.08%
2.3 Liquidity
A Current Ratio of 0.74 indicates that SOJF may have some problems paying its short term obligations.
With a Current ratio value of 0.74, SOJF is not doing good in the industry: 62.50% of the companies in the same industry are doing better.
SOJF has a Quick 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.
SOJF's Quick ratio of 0.53 is on the low side compared to the rest of the industry. SOJF is outperformed by 62.50% of its industry peers.
| 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%.
Measured over the past 5 years, SOJF 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, SOJF shows a quite strong growth in Revenue. The Revenue has grown by 8.53% in the last year.
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
SOJF is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.73% yearly.
The Revenue is expected to grow by 4.39% on average over the next years.
EPS Next Y8.18%
EPS Next 2Y7.75%
EPS Next 3Y7.5%
EPS Next 5Y6.73%
Revenue Next Year6.83%
Revenue Next 2Y5.74%
Revenue Next 3Y5.31%
Revenue Next 5Y4.39%
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 6.35 indicates a rather cheap valuation of SOJF.
79.17% of the companies in the same industry are more expensive than SOJF, based on the Price/Earnings ratio.
SOJF's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.06.
SOJF is valuated cheaply with a Price/Forward Earnings ratio of 5.50.
87.50% of the companies in the same industry are more expensive than SOJF, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.64. SOJF is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.35 | ||
| Fwd PE | 5.5 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SOJF indicates a somewhat cheap valuation: SOJF is cheaper than 75.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 7.5 |
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.
The decent profitability rating of SOJF may justify a higher PE ratio.
PEG (NY)0.78
PEG (5Y)1.16
EPS Next 2Y7.75%
EPS Next 3Y7.5%
5. Dividend
5.1 Amount
SOJF has a Yearly Dividend Yield of 5.37%, which is a nice return.
Compared to an average industry Dividend Yield of 3.82, SOJF pays a better dividend. On top of this SOJF pays more dividend than 83.33% of the companies listed in the same industry.
SOJF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
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
SOJF pays out 69.13% of its income as dividend. 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 2Y7.75%
EPS Next 3Y7.5%
SOUTHERN CO - SO 6 1/2 03/15/2085
NYSE:SOJF (9/26/2025, 11:15:10 AM)
25.91
-0.04 (-0.15%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners71.53%
Inst Owner ChangeN/A
Ins Owners0.09%
Ins Owner ChangeN/A
Market Cap28.50B
Analysts75.17
Price Target28.38 (9.53%)
Short Float %0.01%
Short Ratio2.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.37% |
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)6.56%
PT rev (3m)2.09%
EPS NQ rev (1m)0.29%
EPS NQ rev (3m)0.5%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.25%
Revenue NQ rev (1m)0.04%
Revenue NQ rev (3m)3.4%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)1.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.35 | ||
| Fwd PE | 5.5 | ||
| P/S | 1 | ||
| P/FCF | N/A | ||
| P/OCF | 3.09 | ||
| P/B | 0.84 | ||
| P/tB | 1 | ||
| EV/EBITDA | 7.5 |
EPS(TTM)4.08
EY15.75%
EPS(NY)4.71
Fwd EY18.19%
FCF(TTM)-0.98
FCFYN/A
OCF(TTM)8.38
OCFY32.35%
SpS25.78
BVpS30.92
TBVpS25.94
PEG (NY)0.78
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
WACC5.08%
ROIC/WACC0.89
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 Y8.18%
EPS Next 2Y7.75%
EPS Next 3Y7.5%
EPS Next 5Y6.73%
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 5Y4.39%
EBIT growth 1Y4.8%
EBIT growth 3Y10.62%
EBIT growth 5Y5.63%
EBIT Next Year84.71%
EBIT Next 3Y28.42%
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%