Southern Company (SO) exhibits 45.0% gross margins and 6.9% return on invested capital within Utilities (Electric Utilities: Central), balanced against a 8.5x enterprise multiple and 4.8% implied options volatility.
Sustained 45.0% gross profitability converts into 24.7% operating margin and 6.9% ROIC, outpacing sector cost of capital.
ROIC: 6.9% // GM: 45.0%YoY revenue trajectory of +10.6% paired with -2.74% free cash flow yield supports self-funded R&D and capital return.
REV YOY: +10.6% // FCF YLD: -2.74%Altman Z-Score of 0.98 and Piotroski F-Score of 5/9 indicate low near-term refinancing stress.
ALTMAN Z: 0.98 // F-SCORE: 5/9Trading at 24.6x trailing P/E (22.9x Fwd P/E) leaves valuation vulnerable if real 10Y TIPS yields spike.
P/E: 24.6x // EV/EBITDA: 8.5xOptions market prices a ±5.2% implied move with a 0.85 put/call ratio around $93.71 max pain.
IMPL MOVE: ±5.2% // P/C: 0.85Elevated industry capital intensity and customer concentration in Electric Utilities: Central require continuous execution to defend 14.7% net margins.
NET MARGIN: 14.7% // D/E: 1.36x| FILER | SIDE | $ VALUE |
|---|---|---|
| INSPECT FULL OWNERSHIP LEDGER IN OWN <GO> | ||
| STRIKE / EXP | TYPE | PREMIUM |
|---|---|---|
| INSPECT GEX & CHAIN IN OPT <GO> | ||
Unblur the exact $50,000 delta-adjusted ETF/options hedge ratio for SO & activate live FRED threshold breach alerts.