WallStSmart

Kenon Holdings (KEN)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 2436% more annual revenue ($30.18B vs $1.19B). SO leads profitability with a 15.4% profit margin vs 10.0%. SO trades at a lower P/E of 21.0x. SO earns a higher WallStSmart Score of 66/100 (B-).

KEN

Buy

54

out of 100

Grade: C-

Growth: 9.3Profit: 5.0Value: 4.3Quality: 6.0
Piotroski: 2/9Altman Z: 1.88

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

KENSignificantly Overvalued (-35.3%)

Margin of Safety

-35.3%

Fair Value

$56.39

Current Price

$65.89

$9.50 premium

UndervaluedFair: $56.39Overvalued
SOSignificantly Overvalued (-40.5%)

Margin of Safety

-40.5%

Fair Value

$62.06

Current Price

$87.17

$25.11 premium

UndervaluedFair: $62.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KEN3 strengths · Avg: 9.3/10
Revenue GrowthGrowth
93.4%10/10

Revenue surging 93.4% year-over-year

EPS GrowthGrowth
803.0%10/10

Earnings expanding 803.0% YoY

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

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

KEN4 concerns · Avg: 3.5/10
P/E RatioValuation
30.0x4/10

Moderate valuation

Altman Z-ScoreHealth
1.884/10

Grey zone — moderate risk

Return on EquityProfitability
4.2%3/10

ROE of 4.2% — below average capital efficiency

Debt/EquityHealth
1.643/10

Elevated debt levels

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 : KEN

The strongest argument for KEN centers on Revenue Growth, EPS Growth, Price/Book. Revenue growth of 93.4% demonstrates continued momentum.

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 : KEN

The primary concerns for KEN are P/E Ratio, Altman Z-Score, Return on Equity. Debt-to-equity of 1.64 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

KEN profiles as a growth stock while SO is a value play — different risk/reward profiles.

SO carries more volatility with a beta of 0.32 — expect wider price swings.

KEN is growing revenue faster at 93.4% — sustainability is the question.

KEN generates stronger free cash flow (-144M), providing more financial flexibility.

Bottom Line

SO scores higher overall (66/100 vs 54/100), 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.

Kenon Holdings

UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA

Kenon Holdings Ltd., is the owner, developer and operator of power generation facilities in Israel and internationally. The company is headquartered in Singapore.

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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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