American States Water Company (AWR)vsSouthern Company (SO)
AWR
American States Water Company
$86.48
-1.13%
UTILITIES · Cap: $3.50B
SO
Southern Company
$87.17
-0.66%
UTILITIES · Cap: $100.28B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 4227% more annual revenue ($30.18B vs $697.48M). AWR leads profitability with a 20.5% profit margin vs 15.4%. SO appears more attractively valued with a PEG of 2.07. SO earns a higher WallStSmart Score of 66/100 (B-).
AWR
Strong Buy66
out of 100
Grade: B-
SO
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-9.1%
Fair Value
$65.05
Current Price
$86.48
$21.43 premium
Margin of Safety
-40.5%
Fair Value
$62.06
Current Price
$87.17
$25.11 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 35.8%
Keeps 21 of every $100 in revenue as profit
Earnings expanding 25.8% YoY
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 29.6%
Earnings expanding 30.4% YoY
Areas to Watch
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
Expensive relative to growth rate
0.1% revenue growth
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : AWR
The strongest argument for AWR centers on Operating Margin, Profit Margin, EPS Growth. Profitability is solid with margins at 20.5% and operating margin at 35.8%. Revenue growth of 11.2% demonstrates continued momentum.
Bull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 15.4% and operating margin at 29.6%.
Bear Case : AWR
The primary concerns for AWR are PEG Ratio, Free Cash Flow, Altman Z-Score.
Bear Case : SO
The primary concerns for SO are PEG Ratio, Revenue Growth, Debt/Equity. Debt-to-equity of 1.95 is elevated, increasing financial risk.
Key Dynamics to Monitor
AWR profiles as a mature stock while SO is a value play — different risk/reward profiles.
AWR carries more volatility with a beta of 0.56 — expect wider price swings.
AWR is growing revenue faster at 11.2% — sustainability is the question.
AWR generates stronger free cash flow (-4M), providing more financial flexibility.
Bottom Line
AWR scores higher overall (66/100 vs 66/100), backed by strong 20.5% margins and 11.2% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
American States Water Company
UTILITIES · UTILITIES - REGULATED WATER · USA
American States Water Company provides water and electricity services to residential, commercial, industrial and other customers in the United States. The company is headquartered in San Dimas, California.
Visit Website →Southern Company
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
Southern Company is an American gas and electric utility holding company based in the southern United States. It is headquartered in Atlanta, Georgia, with executive offices also located in Birmingham, Alabama.
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