WallStSmart

DTE Energy Company (DTE)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 83% more annual revenue ($30.18B vs $16.46B). SO leads profitability with a 15.4% profit margin vs 8.0%. DTE appears more attractively valued with a PEG of 1.97. SO earns a higher WallStSmart Score of 66/100 (B-).

DTE

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 5.5Value: 4.0Quality: 3.0
Piotroski: 5/9Altman Z: 0.71

SO

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 7.5Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: 0.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DTESignificantly Overvalued (-61.2%)

Margin of Safety

-61.2%

Fair Value

$86.69

Current Price

$139.87

$53.18 premium

UndervaluedFair: $86.69Overvalued
SOSignificantly Overvalued (-50.6%)

Margin of Safety

-50.6%

Fair Value

$61.82

Current Price

$92.69

$30.87 premium

UndervaluedFair: $61.82Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DTE2 strengths · Avg: 8.0/10
Price/BookValuation
2.4x8/10

Reasonable price relative to book value

EPS GrowthGrowth
22.4%8/10

Earnings expanding 22.4% YoY

SO4 strengths · Avg: 8.3/10
Market CapQuality
$107.10B9/10

Large-cap with strong market position

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
29.6%8/10

Strong operational efficiency at 29.6%

EPS GrowthGrowth
30.4%8/10

Earnings expanding 30.4% YoY

Areas to Watch

DTE4 concerns · Avg: 2.5/10
PEG RatioValuation
1.974/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.5%2/10

Revenue declined 1.5%

Free Cash FlowQuality
$-321.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.712/10

Distress zone — elevated risk

SO4 concerns · Avg: 3.3/10
PEG RatioValuation
2.414/10

Expensive relative to growth rate

Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-1.72B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : DTE

The strongest argument for DTE centers on Price/Book, EPS Growth.

Bull 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%.

Bear Case : DTE

The primary concerns for DTE are PEG Ratio, Revenue Growth, Free Cash Flow. Debt-to-equity of 2.19 is elevated, increasing financial risk.

Bear Case : SO

The primary concerns for SO are PEG Ratio, Revenue Growth, Piotroski F-Score. Debt-to-equity of 2.05 is elevated, increasing financial risk.

Key Dynamics to Monitor

DTE carries more volatility with a beta of 0.38 — expect wider price swings.

SO is growing revenue faster at 0.1% — sustainability is the question.

DTE generates stronger free cash flow (-321M), providing more financial flexibility.

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

Bottom Line

SO scores higher overall (66/100 vs 59/100), 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.

DTE Energy Company

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

DTE Energy (formerly Detroit Edison until 1996) is a Detroit-based diversified energy company involved in the development and management of energy-related businesses and services in the United States and Canada.

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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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