Southern Company (SO)vsWarner Bros Discovery Inc (WBD)
SO
Southern Company
$94.61
+0.67%
UTILITIES · Cap: $105.91B
WBD
Warner Bros Discovery Inc
$27.22
-0.22%
COMMUNICATION SERVICES · Cap: $67.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Warner Bros Discovery Inc generates 26% more annual revenue ($37.30B vs $29.55B). SO leads profitability with a 14.7% profit margin vs 1.9%. SO appears more attractively valued with a PEG of 2.67. SO earns a higher WallStSmart Score of 54/100 (C-).
SO
Buy54
out of 100
Grade: C-
WBD
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-254.9%
Fair Value
$26.66
Current Price
$94.61
$67.95 premium
Margin of Safety
-106.3%
Fair Value
$13.57
Current Price
$27.22
$13.65 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Large-cap with strong market position
Reasonable price relative to book value
Generating 1.4B in free cash flow
Areas to Watch
Expensive relative to growth rate
Earnings declined 22.1%
Negative free cash flow — burning cash
2.3% earnings growth
ROE of 2.1% — below average capital efficiency
1.9% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : SO
The strongest argument for SO centers on Market Cap, Price/Book. Revenue growth of 10.1% demonstrates continued momentum.
Bull Case : WBD
The strongest argument for WBD centers on Market Cap, Price/Book, Free Cash Flow.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Bear Case : WBD
The primary concerns for WBD are EPS Growth, Return on Equity, Profit Margin. A P/E of 94.1x leaves little room for execution misses. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
WBD carries more volatility with a beta of 1.68 — expect wider price swings.
SO is growing revenue faster at 10.1% — sustainability is the question.
WBD generates stronger free cash flow (1.4B), providing more financial flexibility.
Monitor UTILITIES - REGULATED ELECTRIC industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SO scores higher overall (54/100 vs 51/100) and 10.1% revenue growth. 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.
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.
Warner Bros Discovery Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Warner Bros. The company is headquartered in New York, New York.
Compare with Other UTILITIES - REGULATED ELECTRIC Stocks
Want to dig deeper into these stocks?