Cloudflare Inc (NET)vsSouthern Company (SO)
NET
Cloudflare Inc
$204.97
-3.30%
TECHNOLOGY · Cap: $72.88B
SO
Southern Company
$93.51
+3.41%
UTILITIES · Cap: $109.01B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 1263% more annual revenue ($29.55B vs $2.17B). SO leads profitability with a 14.7% profit margin vs -4.7%. NET appears more attractively valued with a PEG of 2.38. SO earns a higher WallStSmart Score of 54/100 (C-).
NET
Hold35
out of 100
Grade: F
SO
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-14.2%
Fair Value
$165.80
Current Price
$204.97
$39.17 premium
Margin of Safety
-35.0%
Fair Value
$71.61
Current Price
$93.51
$21.90 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 33.6% year-over-year
Large-cap with strong market position
Large-cap with strong market position
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
0.0% earnings growth
Trading at 49.4x book value
ROE of -8.2% — below average capital efficiency
Expensive relative to growth rate
Earnings declined 22.1%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : NET
The strongest argument for NET centers on Revenue Growth, Market Cap. Revenue growth of 33.6% demonstrates continued momentum.
Bull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book. Revenue growth of 10.1% demonstrates continued momentum.
Bear Case : NET
The primary concerns for NET are PEG Ratio, EPS Growth, Price/Book.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Key Dynamics to Monitor
NET profiles as a hypergrowth stock while SO is a value play — different risk/reward profiles.
NET carries more volatility with a beta of 1.88 — expect wider price swings.
NET is growing revenue faster at 33.6% — sustainability is the question.
NET generates stronger free cash flow (156M), providing more financial flexibility.
Bottom Line
SO scores higher overall (54/100 vs 35/100) and 10.1% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Cloudflare Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
CloudFlare, Inc. operates a cloud platform that offers a range of network services to companies around the world. The company is headquartered in San Francisco, California.
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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