Southern Co

Find Ratings Reports
SO : NYSE : Utilities
$53.26 | %
Today's Range: 0.00 - 0.00
Avg. Daily Volume: 5,692,600
07/28/16 - 4:02 PM ET

Financial Analysis


SOUTHERN CO's gross profit margin for the second quarter of its fiscal year 2016 has increased when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q2 FY16 Q2 FY15
Net Sales ($mil)4453.04337.0
EBITDA ($mil)1833.01621.0
EBIT ($mil)1264.01121.0
Net Income ($mil)650.0644.0


Balance Sheet Q2 FY16 Q2 FY15
Cash & Equiv. ($mil)0.0813.0
Total Assets ($mil)0.074181.0
Total Debt ($mil)0.027374.0
Equity ($mil)0.021264.0


Profitability Q2 FY16 Q2 FY15
Gross Profit Margin41.1637.38
EBITDA Margin41.1637.37
Operating Margin28.3925.85
Sales Turnover0.00.24
Return on Assets0.02.97
Return on Equity0.010.05
Debt Q2 FY16 Q2 FY15
Current Ratio0.00.76
Debt/Capital0.00.56
Interest Expense293.0180.0
Interest Coverage4.316.23


Share Data Q2 FY16 Q2 FY15
Shares outstanding (mil)942.0908.43
Div / share0.560.54
EPS0.680.69
Book value / share0.023.41
Institutional Own % n/a n/a
Avg Daily Volume5672591.05062298.0

Valuation


BUY. This stock's P/E ratio indicates a discount compared to an average of 22.20 for the Electric Utilities industry and a discount compared to the S&P 500 average of 25.07. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, SOUTHERN CO proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
SO 20.91 Peers 22.20   SO NA Peers 7.81

Average. An average P/E ratio can signify an industry neutral price for a stock and an average growth expectation.

SO is trading at a valuation on par with its peers.

 

Neutral. The P/CF ratio is the stock’s price divided by the sum of the company's cash flow from operations. It is useful for comparing companies with different capital requirements or financing structures.

Ratio not available.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
SO 17.97 Peers 17.67   SO 2.08 Peers 4.00

Average. An average price-to-projected earnings ratio can signify an industry neutral stock price and average future growth expectations.

SO is trading at a valuation on par with its peers.

 

Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

SO trades at a significant discount to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
SO NA Peers 1.79   SO 8.47 Peers 11.47

Neutral. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

Ratio not available.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, SO is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
SO 2.90 Peers 2.35   SO -2.74 Peers -5.64

Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

SO is trading at a premium to its industry on this measurement.

 

Higher. A sales growth rate that exceeds the industry implies that a company is gaining market share.

SO has a sales growth rate that significantly exceeds its peers.

 

 

Latest Stock Upgrades/Downgrades