Southern Company (SO)vsUbiquiti Networks Inc (UI)
SO
Southern Company
$94.61
+0.67%
UTILITIES · Cap: $105.91B
UI
Ubiquiti Networks Inc
$839.05
+0.55%
TECHNOLOGY · Cap: $50.50B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 894% more annual revenue ($29.55B vs $2.97B). UI leads profitability with a 29.9% profit margin vs 14.7%. UI appears more attractively valued with a PEG of 0.82. UI earns a higher WallStSmart Score of 73/100 (B).
SO
Buy54
out of 100
Grade: C-
UI
Strong Buy73
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-254.9%
Fair Value
$26.66
Current Price
$94.61
$67.95 premium
Margin of Safety
-4.0%
Fair Value
$685.62
Current Price
$839.05
$153.43 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Every $100 of equity generates 136 in profit
Strong operational efficiency at 35.9%
Revenue surging 35.8% year-over-year
Earnings expanding 70.8% YoY
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Earnings declined 22.1%
Negative free cash flow — burning cash
Premium valuation, high expectations priced in
Trading at 50.0x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book. Revenue growth of 10.1% demonstrates continued momentum.
Bull Case : UI
The strongest argument for UI centers on Return on Equity, Operating Margin, Revenue Growth. Profitability is solid with margins at 29.9% and operating margin at 35.9%. Revenue growth of 35.8% demonstrates continued momentum.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Bear Case : UI
The primary concerns for UI are P/E Ratio, Price/Book. A P/E of 57.0x leaves little room for execution misses.
Key Dynamics to Monitor
SO profiles as a value stock while UI is a growth play — different risk/reward profiles.
UI carries more volatility with a beta of 1.37 — expect wider price swings.
UI is growing revenue faster at 35.8% — sustainability is the question.
UI generates stronger free cash flow (259M), providing more financial flexibility.
Bottom Line
UI scores higher overall (73/100 vs 54/100), backed by strong 29.9% margins and 35.8% revenue growth. Both earn "Strong 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.
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.
Ubiquiti Networks Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Ubiquiti Inc. develops network technology for service providers, businesses and consumers. The company is headquartered in New York, New York.
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