WallStSmart

Ameren Corp (AEE)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 249% more annual revenue ($29.55B vs $8.47B). AEE leads profitability with a 17.2% profit margin vs 14.7%. SO appears more attractively valued with a PEG of 2.67. AEE earns a higher WallStSmart Score of 60/100 (C+).

AEE

Buy

60

out of 100

Grade: C+

Growth: 4.7Profit: 7.0Value: 7.3Quality: 5.0

SO

Buy

54

out of 100

Grade: C-

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AEEUndervalued (+47.9%)

Margin of Safety

+47.9%

Fair Value

$203.30

Current Price

$106.06

$97.24 discount

UndervaluedFair: $203.30Overvalued
SOSignificantly Overvalued (-250.3%)

Margin of Safety

-250.3%

Fair Value

$26.66

Current Price

$93.39

$66.73 premium

UndervaluedFair: $26.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AEE2 strengths · Avg: 8.0/10
Price/BookValuation
2.2x8/10

Reasonable price relative to book value

Operating MarginProfitability
24.6%8/10

Strong operational efficiency at 24.6%

SO2 strengths · Avg: 8.5/10
Market CapQuality
$104.54B9/10

Large-cap with strong market position

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Areas to Watch

AEE3 concerns · Avg: 2.0/10
PEG RatioValuation
2.712/10

Expensive relative to growth rate

Revenue GrowthGrowth
-8.8%2/10

Revenue declined 8.8%

Free Cash FlowQuality
$-80.00M2/10

Negative free cash flow — burning cash

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

Comparative Analysis Report

WallStSmart Research

Bull Case : AEE

The strongest argument for AEE centers on Price/Book, Operating Margin. Profitability is solid with margins at 17.2% and operating margin at 24.6%.

Bull Case : SO

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

Bear Case : AEE

The primary concerns for AEE are PEG Ratio, Revenue Growth, Free Cash Flow.

Bear Case : SO

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

Key Dynamics to Monitor

AEE profiles as a declining stock while SO is a value play — different risk/reward profiles.

AEE carries more volatility with a beta of 0.53 — expect wider price swings.

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

AEE generates stronger free cash flow (-80M), providing more financial flexibility.

Bottom Line

AEE scores higher overall (60/100 vs 54/100), backed by strong 17.2% margins. 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.

Ameren Corp

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Ameren Corporation is an American power company created December 31, 1997, by the merger of St. Louis, Missouri's Union Electric Company (formerly NYSE: UEP) and the neighboring Central Illinois Public Service Company (CIPSCO Inc. holding, formerly NYSE: CIP) of Springfield, Illinois. It is now a holding company for several power companies and energy companies.

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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