Southern Story

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SO -- USA Stock  

USD 56.72  1.04  1.80%

Southern is scheduled to announce its earnings today. The next earnings report is expected on the 29th of April 2021. While many traders are getting carried away by overanalyzing utilities space, it is reasonable to outline Southern under the latest economic conditions. Should we be more optimistic in anticipation of a recovery?
Published over a week ago
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Will Southern (NYSE:SO) institutional investors continue to trust the experts consensus?
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Southern has an asset utilization ratio of 59.81 percent. This suggests that the company is making $0.6 for each dollar of assets. An increasing asset utilization means that Southern Company is more efficient with each dollar of assets it utilizes for everyday operations.
What is the right price you would pay to acquire a share of Southern? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated.
Please read more on our stock advisor page.

What is happening with Southern Company this year

Annual and quarterly reports issued by Southern Company are formal financial statements that are published yearly and quarterly and sent to Southern stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Southern often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.

How Southern utilizes its cash?

To perform a cash flow analysis of Southern, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Southern is receiving and how much cash it distributes out in a given period. The Southern cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Southern Net Cash Flow from Operations is quite stable at the moment as compared to the past year. The company's current value of Net Cash Flow from Operations is estimated at 5.96 Billion

Southern exotic insider transaction detected

Legal trades by Southern insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Southern insider trading alert for general transaction of southern company common stock by Cummiskey Christopher, EVP & CCCS Officer, on 22nd of February 2021. This event was filed by Southern Co with SEC on 2021-02-22. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is the case for Southern Investors

Earning per share calculations of the firm is based on official Zacks consensus of 4 analysts regarding Southern's future annual earnings. Given the historical accuracy of 89.47%, the future earnings per share of the company is estimated to be 3.1983 with the lowest and highest values of 3.16 and 3.22, respectively. Please note that this consensus of annual earnings estimates for Southern is an estimate of EPS before non-recurring items and including employee stock options expenses.

Is Southern a risky opportunity?

Let's check the volatility. Southern is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Southern (NYSE:SO) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. picking up a share of a Southern stock makes you a part-owner of that company.

Southern Company Current Consensus

Here is the latest trade recommendation based on an ongoing consensus estimate among financial analysis covering Southern. The Southern consensus assessment is calculated by taking the average estimates from all of the analysts covering Southern

Strong Buy
Strong Sell
Strong Buy750.0
Strong Sell428.57

Southern is expecting lower volatility in March

The variance is down to 1.64 as of today. Southern Company exhibits very low volatility with skewness of -0.46 and kurtosis of 0.64. However, we advise investors to further study Southern Company technical indicators to make sure all market info is available and is reliable.

The Current Takeaway on Southern Investment

Whereas some companies under the utilities?regulated electric industry are still a bit expensive, Southern may offer a potential longer-term growth to institutional investors. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to sell some or all of your Southern holdings as it seems the potential growth was already fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Southern.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Ellen Johnson do not own shares of Southern Company. Please refer to our Terms of Use for any information regarding our disclosure principles.

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