Duke Energy Corporation (DUK) vs Southern Company (The) (SO)

Duke Energy Corporation and Southern Company (The) are both Utilities Regulated Electric companies. Southern Company (The) is the larger, with a market value of $102.6B against $92.7B — 1.1× the size. Duke Energy Corporation trades at the lower P/E: 18.2× against 21.9×. Southern Company (The) grew revenue faster over the last twelve months: 6.40% against 6.33%. Duke Energy Corporation has the higher net margin (15.6% vs 15.4%) and the lower return on invested capital (3.97% vs 4.05%). Both pay a dividend; Duke Energy Corporation yields more (3.52% vs 3.29%). Across the 22 metrics below, Duke Energy Corporation leads on 12 and Southern Company (The) on 10.

Valuation

Metric DUK SO Utilities Regulated Electric median
P/E 18.24 21.87 19.47
P/S 2.85 3.44 2.78
P/B 1.69 2.45 1.77
Price to free cash flow n/m n/m 38.27
EV/EBITDA 10.77 12.76 12.25
EV/Sales 5.50 5.77 4.74
Earnings yield 5.48% 4.57% 5.02%
Free cash flow yield (4.52%) (3.15%) (5.09%)

Profitability

Metric DUK SO Utilities Regulated Electric median
Gross margin 71.37% 71.88% 66.28%
Operating margin 27.75% 24.21% 21.79%
Net margin 15.61% 15.43% 12.94%
Free cash flow margin (12.85%) (10.83%) (11.51%)
Return on equity 9.70% 11.69% 9.75%
Return on assets 2.66% 3.00% 2.75%
Return on invested capital 3.97% 4.05% 3.87%

Growth

Metric DUK SO Utilities Regulated Electric median
Revenue growth (TTM) 6.33% 6.40% 7.43%
EPS growth (last fiscal year) 10.51% (1.99%) 7.45%
Revenue growth, 5-year CAGR 6.65% 7.72% 6.75%
Net income growth, 5-year CAGR 31.07% 6.84% 6.44%

Health

Metric DUK SO Utilities Regulated Electric median
Debt to equity 1.56 1.73 1.53
Current ratio 0.66 0.79 0.81
Net debt to EBITDA 5.33 5.27 5.25

Dividend

Metric DUK SO Utilities Regulated Electric median
Dividend yield 3.52% 3.29% 3.29%
Payout ratio 0.64 0.72 0.66

Size

Metric DUK SO Utilities Regulated Electric median
Market cap 92.69b 102.59b 23.14b

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