Offering Potential To Outperform Peers? – The Southern Company (SO), Synchrony Financial (SYF)

Fundamentally, The Southern Company (NYSE:SO) looks appealing. Its stock trades at 2.24 times the company’s sales over the past 12 months. The broad Electric Utilities industry boasts an average P/S ratio of 3.06, which is significantly worse than the sector’s 2.61. In the past 13-year record, this ratio went down as low as 1.23 and as high as 2.89. Also, it is down from 59% of the total 628 rivals across the globe.

SO traded at an unexpectedly low level on 06/12/2017 when the stock experienced a 1.05% gain to a closing price of $50.89. The company saw 4.04 million shares trade hands over the course of the day. Given that its average daily volume over the 30 days has been 4.49 million shares a day, this signifies a pretty significant change over the norm.

The Southern Company (SO) Analyst Gushes

Analysts are speculating a 10.04% move, based on the high target price ($56) for the shares that is set to reach in the next 12 months. The analysts, on average, are forecasting a $51.75 price target, but the stock is already up 9.25% from its recent lows. However, the stock is trading at -4.9% versus recent highs ($53.51). Analysts believe that we could see stock price minimum in the $44 range (lowest target price), allowing for another -13.54% drop from its current position. Leading up to this report, we have seen a -1.47% fall in the stock price over the last 30 days and a 1.88% increase over the past 3 months. Overall, the share price is up 3.46% so far this year. Additionally, SO had a day price range of $50.42 to $50.95.

The Southern Company (SO) Price Potential

Heading into the stock price potential, The Southern Company needs to grow just 4.15% to cross its median price target of $53. In order to determine directional movement, the 50-day and 200-day moving averages for The Southern Company (NYSE:SO) are $51.7 and $49.83. Given that liquidity is king in short-term, SO is a stock with 1 billion shares outstanding that normally trades 2.22% of its float. The stock price recently experienced a 5-day loss of -0.39% with 0.64 average true range (ATR). SO has a beta of 0.16 and RSI is 47.17.

Investors also need to beware of the Synchrony Financial (NYSE:SYF) valuations. The stock trades on a P/S of 1.94, which suggests that the shares are attractive compared with peers. The broad Credit Services industry has an average P/S ratio of 8.57, which is significantly worse than the sector’s 6.05. In the past 6-year record, this ratio went down as low as 1.91 and as high as 3.06. Also, it is up from 67% of the total 401 rivals across the globe.

Synchrony Financial (SYF)’s Lead Over its Technicals

Synchrony Financial by far traveled 43.75% versus a 1-year low price of $26.01. The share price was last seen 0.21% higher, reaching at $37.39 on Jun. 12, 2017. At recent session, the prices were hovering between $37.04 and $37.6. This company shares are 1.63% off its target price of $38 and the current market capitalization stands at $29.44B. The recent change has given its price a 14.41% lead over SMA 50 and -1.75% deficit over its 52-week high. The stock witnessed 14.1% gains, 28.66% gains and 30.42% gains for the 1-month, 3-month and 6-month period, respectively. To measure price-variation, we found SYF’s volatility during a week at 2.89% and during a month it has been found around 2.2%.

Synchrony Financial (NYSE:SYF) Intraday Metrics

Synchrony Financial (SYF) exchanged hands at an unexpectedly low level of 5.71 million shares over the course of the day. Noting its average daily volume at 6.46 million shares each day over the month, this signifies a pretty significant change over the norm.

Synchrony Financial Target Levels

The market experts are predicting a 17.68% rally, based on the high target price ($44) for Synchrony Financial shares that is likely to be hit in the 52 weeks. Analysts anticipate that traders could see stock price minimum in the $33 range (lowest target price). If faced, it would be a -11.74% drop from its current position. Overall, the share price is up 3.09% year to date.

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