Southern Company (SO)vsWEC Energy Group Inc (WEC)
SO
Southern Company
$87.17
-0.66%
UTILITIES · Cap: $100.28B
WEC
WEC Energy Group Inc
$105.33
-0.02%
UTILITIES · Cap: $34.89B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 198% more annual revenue ($30.18B vs $10.14B). WEC leads profitability with a 16.7% 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-).
SO
Strong Buy66
out of 100
Grade: B-
WEC
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-40.5%
Fair Value
$62.06
Current Price
$87.17
$25.11 premium
Margin of Safety
-56.7%
Fair Value
$72.21
Current Price
$105.33
$33.12 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 29.6%
Earnings expanding 30.4% YoY
Reasonable price relative to book value
Strong operational efficiency at 21.8%
Areas to Watch
Expensive relative to growth rate
0.1% revenue growth
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
2.6% revenue growth
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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%.
Bull Case : WEC
The strongest argument for WEC centers on Price/Book, Operating Margin. Profitability is solid with margins at 16.7% and operating margin at 21.8%.
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.
Bear Case : WEC
The primary concerns for WEC are PEG Ratio, Revenue Growth, Debt/Equity. Debt-to-equity of 1.63 is elevated, increasing financial risk.
Key Dynamics to Monitor
WEC carries more volatility with a beta of 0.46 — expect wider price swings.
WEC is growing revenue faster at 2.6% — sustainability is the question.
WEC generates stronger free cash flow (-270M), providing more financial flexibility.
Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SO scores higher overall (66/100 vs 62/100), backed by strong 15.4% margins. 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.
WEC Energy Group Inc
UTILITIES · UTILITIES - REGULATED ELECTRIC · USA
WEC Energy Group, based in Milwaukee, Wisconsin, provides electricity and natural gas to 4.4 million customers across four states.
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