WallStSmart

Edison International (EIX)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 55% more annual revenue ($30.18B vs $19.42B). EIX leads profitability with a 19.3% profit margin vs 15.4%. SO appears more attractively valued with a PEG of 2.07. EIX earns a higher WallStSmart Score of 71/100 (B).

EIX

Strong Buy

71

out of 100

Grade: B

Growth: 5.3Profit: 8.0Value: 5.3Quality: 3.0
Piotroski: 4/9Altman Z: 0.68

SO

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 7.5Value: 4.0Quality: 3.0
Piotroski: 2/9Altman Z: 0.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EIXOvervalued (-12.8%)

Margin of Safety

-12.8%

Fair Value

$59.45

Current Price

$56.00

$3.45 premium

UndervaluedFair: $59.45Overvalued
SOSignificantly Overvalued (-40.5%)

Margin of Safety

-40.5%

Fair Value

$62.06

Current Price

$87.02

$24.96 premium

UndervaluedFair: $62.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EIX5 strengths · Avg: 9.4/10
P/E RatioValuation
6.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
55.1%10/10

Earnings expanding 55.1% YoY

Return on EquityProfitability
21.9%9/10

Every $100 of equity generates 22 in profit

Operating MarginProfitability
26.9%8/10

Strong operational efficiency at 26.9%

SO4 strengths · Avg: 8.3/10
Market CapQuality
$100.28B9/10

Large-cap with strong market position

Price/BookValuation
2.5x8/10

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

EIX4 concerns · Avg: 2.0/10
PEG RatioValuation
2.522/10

Expensive relative to growth rate

Revenue GrowthGrowth
-4.1%2/10

Revenue declined 4.1%

Free Cash FlowQuality
$-576.00M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.682/10

Distress zone — elevated risk

SO4 concerns · Avg: 3.5/10
PEG RatioValuation
2.074/10

Expensive relative to growth rate

Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

Debt/EquityHealth
1.953/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : EIX

The strongest argument for EIX centers on P/E Ratio, Price/Book, EPS Growth. Profitability is solid with margins at 19.3% and operating margin at 26.9%.

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 : EIX

The primary concerns for EIX are PEG Ratio, Revenue Growth, Free Cash Flow. Debt-to-equity of 2.48 is elevated, increasing financial risk.

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.

Key Dynamics to Monitor

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

EIX carries more volatility with a beta of 0.61 — expect wider price swings.

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

SO generates stronger free cash flow (-293M), providing more financial flexibility.

Bottom Line

EIX scores higher overall (71/100 vs 66/100), backed by strong 19.3% margins. Both earn "Strong Buy" and "Strong 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.

Edison International

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

Edison International is a public utility holding company based in Rosemead, California. Its subsidiaries include Southern California Edison, and unregulated non-utility business assets Edison Energy.

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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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