WallStSmart

Emerson Electric Company (EMR)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 65% more annual revenue ($30.18B vs $18.32B). SO leads profitability with a 14.5% profit margin vs 13.4%. EMR appears more attractively valued with a PEG of 1.77. EMR earns a higher WallStSmart Score of 59/100 (C).

EMR

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 6.5Value: 4.3Quality: 5.3
Piotroski: 5/9Altman Z: 2.57

SO

Buy

56

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 3.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for EMR.

SOSignificantly Overvalued (-26.1%)

Margin of Safety

-26.1%

Fair Value

$73.33

Current Price

$91.80

$18.47 premium

UndervaluedFair: $73.33Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EMR3 strengths · Avg: 8.3/10
Market CapQuality
$79.02B9/10

Large-cap with strong market position

Operating MarginProfitability
24.2%8/10

Strong operational efficiency at 24.2%

EPS GrowthGrowth
27.9%8/10

Earnings expanding 27.9% YoY

SO3 strengths · Avg: 8.3/10
Market CapQuality
$103.49B9/10

Large-cap with strong market position

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.8%8/10

Strong operational efficiency at 25.8%

Areas to Watch

EMR3 concerns · Avg: 4.0/10
PEG RatioValuation
1.774/10

Expensive relative to growth rate

P/E RatioValuation
32.7x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

SO3 concerns · Avg: 2.0/10
PEG RatioValuation
2.662/10

Expensive relative to growth rate

EPS GrowthGrowth
-0.8%2/10

Earnings declined 0.8%

Free Cash FlowQuality
$-1.72B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : EMR

The strongest argument for EMR centers on Market Cap, Operating Margin, EPS Growth.

Bull Case : SO

The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin.

Bear Case : EMR

The primary concerns for EMR are PEG Ratio, P/E Ratio, Revenue Growth.

Bear Case : SO

The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.

Key Dynamics to Monitor

EMR carries more volatility with a beta of 1.25 — expect wider price swings.

SO is growing revenue faster at 8.0% — sustainability is the question.

EMR generates stronger free cash flow (694M), providing more financial flexibility.

Monitor SPECIALTY INDUSTRIAL MACHINERY industry trends, competitive dynamics, and regulatory changes.

Bottom Line

EMR scores higher overall (59/100 vs 56/100). Both earn "Buy" and "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.

Emerson Electric Company

INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA

Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.

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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