WallStSmart

Pure Cycle Corporation (PCYO)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 89383% more annual revenue ($30.18B vs $33.73M). PCYO leads profitability with a 43.7% profit margin vs 15.4%. PCYO trades at a lower P/E of 18.3x. SO earns a higher WallStSmart Score of 66/100 (B-).

PCYO

Strong Buy

65

out of 100

Grade: B-

Growth: 8.0Profit: 8.0Value: 5.3Quality: 7.5
Piotroski: 3/9Altman Z: 4.77

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

Intrinsic value data unavailable for PCYO.

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

PCYO6 strengths · Avg: 9.3/10
Profit MarginProfitability
43.7%10/10

Keeps 44 of every $100 in revenue as profit

Revenue GrowthGrowth
60.0%10/10

Revenue surging 60.0% year-over-year

Debt/EquityHealth
0.0910/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7710/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.7%8/10

Strong operational efficiency at 25.7%

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

PCYO2 concerns · Avg: 3.0/10
Market CapQuality
$269.65M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

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 : PCYO

The strongest argument for PCYO centers on Profit Margin, Revenue Growth, Debt/Equity. Profitability is solid with margins at 43.7% and operating margin at 25.7%. Revenue growth of 60.0% 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 : PCYO

The primary concerns for PCYO are Market Cap, Piotroski F-Score.

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

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

PCYO carries more volatility with a beta of 1.23 — expect wider price swings.

PCYO is growing revenue faster at 60.0% — sustainability is the question.

PCYO generates stronger free cash flow (3M), providing more financial flexibility.

Bottom Line

SO scores higher overall (66/100 vs 65/100), backed by strong 15.4% 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.

Pure Cycle Corporation

UTILITIES · UTILITIES - REGULATED WATER · USA

Pure Cycle Corporation designs, builds, operates and maintains water and wastewater systems in the Denver metropolitan area and Colorado Front Range in the United States. The company is headquartered in Watkins, Colorado.

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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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