WallStSmart

Southern Company (SO)vsAT&T Inc (TBB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

SO leads profitability with a 14.7% profit margin vs 0.0%. TBB trades at a lower P/E of 4.2x. SO earns a higher WallStSmart Score of 54/100 (C-).

SO

Buy

54

out of 100

Grade: C-

Growth: 6.0Profit: 6.0Value: 4.7Quality: 5.0

TBB

Avoid

25

out of 100

Grade: F

Growth: 6.0Profit: 4.5Value: 6.7Quality: 5.0
Piotroski: 5/9Altman Z: 0.87
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SOSignificantly Overvalued (-254.9%)

Margin of Safety

-254.9%

Fair Value

$26.66

Current Price

$94.61

$67.95 premium

UndervaluedFair: $26.66Overvalued

Intrinsic value data unavailable for TBB.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SO2 strengths · Avg: 8.5/10
Market CapQuality
$105.91B9/10

Large-cap with strong market position

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

TBB3 strengths · Avg: 9.0/10
P/E RatioValuation
4.2x10/10

Attractively priced relative to earnings

Market CapQuality
$132.50B9/10

Large-cap with strong market position

Free Cash FlowQuality
$4.54B8/10

Generating 4.5B in free cash flow

Areas to Watch

SO3 concerns · Avg: 2.0/10
PEG RatioValuation
2.672/10

Expensive relative to growth rate

EPS GrowthGrowth
-22.1%2/10

Earnings declined 22.1%

Free Cash FlowQuality
$-1.86B2/10

Negative free cash flow — burning cash

TBB4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

Comparative Analysis Report

WallStSmart Research

Bull Case : SO

The strongest argument for SO centers on Market Cap, Price/Book. Revenue growth of 10.1% demonstrates continued momentum.

Bull Case : TBB

The strongest argument for TBB centers on P/E Ratio, Market Cap, Free Cash Flow.

Bear Case : SO

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

Bear Case : TBB

The primary concerns for TBB are Revenue Growth, EPS Growth, Profit Margin. Debt-to-equity of 1.57 is elevated, increasing financial risk.

Key Dynamics to Monitor

SO is growing revenue faster at 10.1% — sustainability is the question.

TBB generates stronger free cash flow (4.5B), providing more financial flexibility.

Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SO scores higher overall (54/100 vs 25/100) and 10.1% revenue growth. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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.

AT&T Inc

· · USA

AT&T Inc. provides digital entertainment communications and services. The company is headquartered in Dallas, Texas.

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