WallStSmart

Middlesex Water Company (MSEX)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 15055% more annual revenue ($30.18B vs $199.11M). MSEX leads profitability with a 22.1% profit margin vs 14.5%. SO appears more attractively valued with a PEG of 2.67. MSEX earns a higher WallStSmart Score of 59/100 (C).

MSEX

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 7.0Value: 3.3Quality: 3.0
Piotroski: 1/9Altman Z: 0.81

SO

Buy

56

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 3.3Quality: 2.5
Piotroski: 2/9Altman Z: 0.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MSEXSignificantly Overvalued (-24.5%)

Margin of Safety

-24.5%

Fair Value

$41.53

Current Price

$51.93

$10.40 premium

UndervaluedFair: $41.53Overvalued
SOSignificantly Overvalued (-48.3%)

Margin of Safety

-48.3%

Fair Value

$62.79

Current Price

$92.60

$29.81 premium

UndervaluedFair: $62.79Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MSEX3 strengths · Avg: 8.3/10
Profit MarginProfitability
22.1%9/10

Keeps 22 of every $100 in revenue as profit

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
29.3%8/10

Strong operational efficiency at 29.3%

SO3 strengths · Avg: 8.3/10
Market CapQuality
$106.32B9/10

Large-cap with strong market position

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.8%8/10

Strong operational efficiency at 25.8%

Areas to Watch

MSEX4 concerns · Avg: 2.5/10
Market CapQuality
$980.01M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
18.452/10

Expensive relative to growth rate

Free Cash FlowQuality
$-8.91M2/10

Negative free cash flow — burning cash

SO4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
2.672/10

Expensive relative to growth rate

EPS GrowthGrowth
-0.8%2/10

Earnings declined 0.8%

Free Cash FlowQuality
$-1.72B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : MSEX

The strongest argument for MSEX centers on Profit Margin, Price/Book, Operating Margin. Profitability is solid with margins at 22.1% and operating margin at 29.3%.

Bull Case : SO

The strongest argument for SO centers on Market Cap, Price/Book, Operating Margin.

Bear Case : MSEX

The primary concerns for MSEX are Market Cap, Piotroski F-Score, PEG Ratio.

Bear Case : SO

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

Key Dynamics to Monitor

MSEX profiles as a mature stock while SO is a value play — different risk/reward profiles.

MSEX carries more volatility with a beta of 0.78 — expect wider price swings.

MSEX is growing revenue faster at 10.0% — sustainability is the question.

MSEX generates stronger free cash flow (-9M), providing more financial flexibility.

Bottom Line

MSEX scores higher overall (59/100 vs 56/100), backed by strong 22.1% 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.

Middlesex Water Company

UTILITIES · UTILITIES - REGULATED WATER · USA

Middlesex Water Company owns and operates regulated water and wastewater utility systems. The company is headquartered in Iselin, New Jersey.

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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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