Southern Co (SO)
Utilities · Electric Utilities · US stock · S&P 500 component
$93.82
▲ +3.43 (3.79%)
Fair valueFair
$81 −13.9% to fair value
$40fair band $69–$98$121
Day's range
$90.99 – $93.88
52-week range
$81.69 – $99.58
About Southern Co
Southern Company is a utility holding company that generates and delivers electricity and natural gas in the southeastern United States. Its electric utilities include Alabama Power, Georgia Power and Mississippi Power, while Southern Company Gas delivers natural gas to homes and businesses in several states, and Southern Power supplies electricity to wholesale customers. The group's fleet includes nuclear, gas, coal, hydro and renewable generation. Customers are households, businesses and industrial users whose rates are overseen by state regulators.
Revenue comes mainly from regulated electricity and gas charges, with rates set so the utilities can recover costs and earn an allowed return. Sales were $30.2 billion over the last twelve months, with growth of 0.3% a year across the last three years. The operating margin is 24.2%, and the business earns a profit of 5% on the capital invested in it. Net debt is 5.5 times EBITDA. The dividend yield is 3.2%. On the site's X-Ray Score it receives 45 out of 100.
SO news
All SO news →Price chart
52-wk range $81.69 – $99.58Volume 8,150,743Daily, split-adjusted
Vitals
Market cap$105.8B
52-week range$81.69 – $99.58
Volume (last day)8,150,743
P/E (TTM)23.9
EBIT / EV yield4.1%
Free-cash-flow yield-3.3%
Dividend yield3.2%
Revenue (TTM)$30.2B
Net income (TTM)$4.4B
Operating margin24.2%
Return on capital5.4%
Debt incl. leases$74.5B
Cash & securities$981M
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$81middle half of models $73 – $91
Fair
−13.9% to fair value
Average of the 13 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is High, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $94
Undervalued < $69Fair $69 – $98Overvalued > $98
P/E multiple
$93
P/B multiple
$90
P/S multiple
$86
EV/EBITDA multiple
$96
EV/EBIT multiple
$91
EV/revenue multiple
$89
10-year DCF, EBITDA exit
$53
5-year DCF, EBITDA exit
$76
10-year DCF, revenue exit
$53
5-year DCF, revenue exit
$75
10-year DCF, growth exit · not used
$22
5-year DCF, growth exit
$41
Dividend discount, stable
$134
Dividend discount, multi-stage · not used
$242
Earnings power value
$73
Growth the price implies
13.0%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Average business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Utilities peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Weak
34/100
Expensive against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield4.1%
Free-cash-flow yield-3.3%
Fair value vs price0.9×
Growth
Fair
54/100
Growing at a typical pace for its sector.
See the numbers →
Revenue growth (3y)0.3%
EPS growth (3y)6.3%
Growth consistency90%
Profitability
Fair
51/100
Returns on capital are typical for its sector.
See the numbers →
Return on invested capital5.4%
Operating margin24.2%
Financial health
Fair
51/100
Balance sheet is in typical shape for its sector.
See the numbers →
Piotroski F-Score4 / 9
Net debt / EBITDA5.5×
Interest coverNo interest cost
Dividends
Weak
25/100
Dividend is modest or less certain than peers.
See the numbers →
Dividend yield3.2%
Dividend growth1.2%
Quarterly results: last 6 quarters
+3.4%
Dec '24
+16.4%
Mar '25
+7.9%
Jun '25
+4.6%
Sep '25
+11.7%
Dec '25
+8.0%
Mar '26
Revenue against the same quarter a year earlier. Latest quarter revenue $8.4B, diluted EPS $1.20.
Compare with peers
EIX Edison International71 ES Eversource Energy65 EXC Exelon Corp62 DUK Duke Energy CORP58Other Electric Utilities companies by X-Ray Score.
SWOT analysis: Southern Co
Strengthsinside the company
- Operating profit covers interest 50x, so debt costs are a small drag.
Weaknessesinside the company
- Return on invested capital is only 5.4% (median 5.5% for industry peers), so the business earns little above its cost of capital.
- Free cash flow is negative, so spending or debt has to be financed from outside.
- Net debt is 5.5x EBITDA, above the 3x level that lenders usually watch.
Opportunitiesvaluation and setting
- Revenue growth picked up to 10.4% last year from 0.3% a year over three years.
- Price momentum is strong on the weekly and monthly signals (trends can reverse).
Threatsvaluation and setting
- Heavy debt makes profits sensitive to interest rates and refinancing conditions.
- Valuation uncertainty is high: the models give widely different values, so the fair value range is wide.
- Our Market Compass rates the backdrop for Utilities as unfavourable.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare SO with peers and sector
Medians of 14 Electric Utilities peers and of 30 Utilities stocks in our universe.
Largest peers (X-Ray Score): DUK 58, CEG 49, AEP 58, ETR 43, VST 53, EXC 62.
| Metric | SO | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 45 | 52 | 51 |
| Valuation | 34 | 50 | 50 |
| Growth | 53 | 58 | 53 |
| Profitability | 51 | 56 | 49 |
| Financial health | 51 | 55 | 52 |
| Dividends | 25 | 53 | 55 |
Sector leaders: highest X-Ray Score in Utilities
SO ranks #20 of 31 in Utilities and #11 of 15 in Electric Utilities by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for SO
Each factor is rated by where SO stands among the 31 Utilities stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 4 Good · 9 Average · 6 Bad of 19
Growth: 1 · 1 · 1
Profitability: 0 · 4 · 0
Financial strength: 2 · 0 · 2
Valuation: 1 · 1 · 3
Cash flow: 0 · 3 · 0
| Factor | SO | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +0.3% | Bad beats 25% | +3.4% | – | – |
| Revenue growth, last year | +10.4% | Good beats 68% | +9.6% | +10.4% | ≈ In line |
| EPS growth, 3 years a year | +6.3% | Average beats 39% | +8.1% | – | – |
| Profitability | |||||
| Operating margin | 24.2% | Average beats 65% | 22.9% | 23.1% | ≈ In line |
| Net margin | 14.5% | Average beats 52% | 14.4% | 14.7% | ≈ In line |
| Return on invested capital | 5.4% | Average beats 44% | 5.5% | – | – |
| Return on equity | 10.9% | Average beats 66% | 10.1% | 12.1% | ≈ In line |
| Financial strength | |||||
| Net debt / EBITDA | 5.5x | Good beats 75% | 5.8x | 5.7x | ≈ In line |
| Interest cover | 50.0x | Good beats 94% | 2.5x | – | – |
| Current ratio | 0.65 | Bad beats 31% | 0.78 | 0.67 | ≈ In line |
| Piotroski F-score | 4 / 9 | Bad beats 13% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 24.3x | Bad beats 27% | 21.8x | 22.3x | ≈ In line |
| Price / book | 2.7x | Bad beats 18% | 2.1x | 2.6x | ≈ In line |
| Price / sales | 3.5x | Bad beats 28% | 2.9x | 3.1x | ▼ Worse |
| EV / EBITDA | 13.3x | Average beats 60% | 14.0x | 12.8x | ≈ In line |
| Free cash flow yield | -3.3% | Good beats 69% | -4.9% | -2.0% | ▼ Worse |
| Cash flow | |||||
| Free cash flow margin | -11.5% | Average beats 38% | -9.1% | -6.0% | ▼ Worse |
| Cash from operations / net income | 2.24 | Average beats 56% | 2.20 | 2.22 | ≈ In line |
| Accruals (lower is better) | −3.4% | Average beats 66% | −3.3% | – | – |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 4 Good · ● 5 Average · ● 4 BadCash quality
Earnings backed by cashAverage
Free-cash-flow yieldGood
Risk models
Piotroski F-ScoreBad
Growth
EPS growth (3y)Average
Revenue growth (3y)Bad
Growth consistencyGood
Balance sheet
Current ratioBad
Net debt / EBITDAGood
Interest coverGood
Valuation
Fair value vs priceBad
EBIT / EV yieldAverage
Profitability
Return on invested capitalAverage
Operating marginAverage
Each check is graded against the company's sector, not a fixed number. Checklist score 50/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $23.5B | $29.3B | $25.3B | $26.8B | $29.6B |
| Operating income | $3.7B | $5.4B | $5.8B | $7.1B | $7.3B |
| Net income | $2.3B | $3.4B | $4.0B | $4.4B | $4.3B |
| Operating cash flow | $6.2B | $6.3B | $7.6B | $9.8B | $9.8B |
| Operating margin | 15.8% | 18.3% | 23.1% | 26.4% | 24.7% |
| Free cash flow | −$1.4B | −$1.6B | −$1.5B | $833M | −$2.9B |
| Diluted EPS | $2.24 | $3.26 | $3.62 | $3.99 | $3.92 |
Fiscal years, from SEC filings.
Technical summary
Daily
Bullish
12 bullish · 0 neutral · 4 bearish
Weekly
Strongly bullish
10 bullish · 1 neutral · 1 bearish
Monthly
Strongly bullish
7 bullish · 1 neutral · 0 bearish
Moving averages (daily)
| SMA 10 | 89.53 | Bullish |
| EMA 10 | 89.76 | Bullish |
| SMA 20 | 86.74 | Bullish |
| EMA 20 | 88.27 | Bullish |
| SMA 50 | 87.70 | Bullish |
| EMA 50 | 88.30 | Bullish |
| SMA 100 | 90.69 | Bullish |
| EMA 100 | 89.54 | Bullish |
| SMA 200 | 91.25 | Bullish |
| EMA 200 | 90.05 | Bullish |
Oscillators (daily)
| RSI (14) | 72.43 | Bearish |
| MACD (12, 26) | 1.33 | Bullish |
| Momentum (12) | 9.81 | Bullish |
| Stochastic %K (14) | 99.44 | Bearish |
| Williams %R (14) | -0.56 | Bearish |
| CCI (20) | 151.2 | Bearish |
Pivot points (classic, last session)
S3 89.02 | S2 90.01 | S1 91.91 | Pivot 92.90 | R1 94.80 | R2 95.79 | R3 97.69 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
3.00 USD
Yield on today's price
3.20%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 0.7600 | |
| 0.7600 | |
| 0.7400 | |
| 0.7400 | |
| 0.7400 | |
| 0.7400 | |
| 0.7200 | |
| 0.7200 | |
| 0.7200 | |
| 0.7200 | |
| 0.7000 | |
| 0.7000 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold SO
| ETF | Share of the fund |
|---|---|
| XLU Utilities Select Sector SPDR | 7.60% |
| FUTY Fidelity MSCI Utilities Index | 6.95% |
| VPU Vanguard Utilities | 6.67% |
| IDU iShares U.S. Utilities | 6.59% |
| IFRA iShares U.S. Infrastructure | 2.92% |
| IGF iShares Global Infrastructure | 2.83% |
| EMLP First Trust North American Energy Infr... | 2.66% |
| FDL First Trust Morningstar Dividend Leade... | 2.32% |
The eight funds with the largest weight in SO among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
SO stock splits
SO has split its stock once since 1994. The latest was a 2-for-1 split on 1 Mar 1994.
Full SO stock split history →SO SEC filings
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Current report
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Results of operations
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Other events
8-KSEC EDGAR
Shareholder vote results
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.