The Southern CompanyStock Price and Value Analysis

Should you buy The Southern Company stock? (NYSE:SO). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantages
  • This company is very stable.
  • This company has a large dividend yield!
  • This stock looks overpriced.
  • This company has wild ups and downs.
  • This company is making money at a modest rate.

SO Free Cash Flow Trend

Based on historical returns, we believe that The Southern Company can grow its free cash at a rate of about 1%. That's positive!

Free Cash Flow trendline for SO
Free Cash Flow trendline for The Southern Company

Inside the SO Numbers

SO Price
(The Southern Company stock price per share)
$51.06
[?] SO Fair Price
(based on intrinsic value)
$34.11
[?] SO Safety Price (based on a variable margin of safety) $27.29
[?] PE Ratio versus Sector 503% higher than other Utilities stocks
[?] PE Ratio versus Industry 501% higher than other Electric Utilities stocks
[?] Cash Yield 2.50%
[?] Free Cash Flow Jitter 44%
[?] Dividend Yield 5%

Is The Southern Company Stock on Sale?

We believe that The Southern Company may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

The Southern Company looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy SO Stock?

Does The Southern Company have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.