Southern Company (SO)vsYum! Brands Inc (YUM)
SO
Southern Company
$94.61
+0.67%
UTILITIES · Cap: $105.91B
YUM
Yum! Brands Inc
$159.16
-0.17%
CONSUMER CYCLICAL · Cap: $44.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Southern Company generates 260% more annual revenue ($29.55B vs $8.21B). YUM leads profitability with a 19.0% profit margin vs 14.7%. YUM appears more attractively valued with a PEG of 1.96. YUM earns a higher WallStSmart Score of 59/100 (C).
SO
Buy54
out of 100
Grade: C-
YUM
Buy59
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
+38.8%
Fair Value
$259.74
Current Price
$159.16
$100.58 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 31.9%
Earnings expanding 27.7% YoY
Areas to Watch
Expensive relative to growth rate
Earnings declined 22.1%
Negative free cash flow — burning cash
Expensive relative to growth rate
Moderate valuation
ROE of 0.0% — below average capital efficiency
Weak financial health signals
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 : YUM
The strongest argument for YUM centers on Operating Margin, EPS Growth. Profitability is solid with margins at 19.0% and operating margin at 31.9%.
Bear Case : SO
The primary concerns for SO are PEG Ratio, EPS Growth, Free Cash Flow.
Bear Case : YUM
The primary concerns for YUM are PEG Ratio, P/E Ratio, Return on Equity.
Key Dynamics to Monitor
SO profiles as a value stock while YUM is a mature play — different risk/reward profiles.
YUM carries more volatility with a beta of 0.64 — expect wider price swings.
SO is growing revenue faster at 10.1% — sustainability is the question.
YUM generates stronger free cash flow (482M), providing more financial flexibility.
Bottom Line
YUM scores higher overall (59/100 vs 54/100), backed by strong 19.0% 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.
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.
Yum! Brands Inc
CONSUMER CYCLICAL · RESTAURANTS · USA
Yum! Brands, Inc. is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.
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