WallStSmart

RGC Resources Inc (RGCO)vsSouthern Company (SO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Southern Company generates 28068% more annual revenue ($30.18B vs $107.14M). SO leads profitability with a 15.4% profit margin vs 13.1%. RGCO appears more attractively valued with a PEG of 1.30. SO earns a higher WallStSmart Score of 66/100 (B-).

RGCO

Hold

47

out of 100

Grade: D+

Growth: 3.3Profit: 6.0Value: 6.3Quality: 3.5
Piotroski: 4/9Altman Z: 0.90

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 RGCO.

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

RGCO2 strengths · Avg: 8.0/10
P/E RatioValuation
16.2x8/10

Attractively priced relative to earnings

Price/BookValuation
1.8x8/10

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

RGCO4 concerns · Avg: 3.0/10
EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$228.50M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.213/10

Elevated debt levels

Revenue GrowthGrowth
-0.9%2/10

Revenue declined 0.9%

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 : RGCO

The strongest argument for RGCO centers on P/E Ratio, Price/Book. PEG of 1.30 suggests the stock is reasonably priced for its growth.

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 : RGCO

The primary concerns for RGCO are EPS Growth, Market Cap, Debt/Equity.

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

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

RGCO carries more volatility with a beta of 0.51 — expect wider price swings.

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

RGCO generates stronger free cash flow (-323,493), providing more financial flexibility.

Bottom Line

SO scores higher overall (66/100 vs 47/100), backed by strong 15.4% margins. Both earn "Strong 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.

RGC Resources Inc

UTILITIES · UTILITIES - REGULATED GAS · USA

RGC Resources, Inc. is an energy services company. The company is headquartered in Roanoke, Virginia.

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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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