The Southern Company Stock 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 has a large dividend yield!
  • This company has amazingly consistent growth!
  • This company is very stable.
  • This stock looks overpriced.
  • 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)
$43.83
[?] SO Fair Price
(based on intrinsic value)
$31.35
[?] SO Safety Price (based on a variable margin of safety) $25.08
[?] PE Ratio versus Sector 254% higher than other Utilities stocks
[?] PE Ratio versus Industry 253% higher than other Utilities - Regulated Electric stocks
[?] Cash Yield 2.99%
[?] Free Cash Flow Jitter 6%
[?] 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.