Southern (NYSE:SO) Releases Earnings Results, Beats Expectations By $0.12 EPS

Southern (NYSE:SO) posted its quarterly earnings data on Wednesday. The utilities provider reported $1.13 EPS for the quarter, topping analysts’ consensus estimates of $1.01 by $0.12, FiscalAI reports. The company had revenue of $6.98 billion for the quarter, compared to the consensus estimate of $7.23 billion. Southern had a return on equity of 12.64% and a net margin of 14.46%.The company’s quarterly revenue was up .1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.79 EPS.

Southern Stock Down 1.9%

Shares of SO stock traded down $1.81 during trading on Thursday, hitting $94.24. 6,392,187 shares of the company were exchanged, compared to its average volume of 5,747,137. The company has a debt-to-equity ratio of 1.68, a quick ratio of 0.45 and a current ratio of 0.65. The firm has a market capitalization of $106.24 billion, a price-to-earnings ratio of 23.98, a P/E/G ratio of 1.86 and a beta of 0.34. The business’s 50-day simple moving average is $94.59 and its 200 day simple moving average is $93.99. Southern has a twelve month low of $83.80 and a twelve month high of $100.83.

Southern Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 8th. Stockholders of record on Monday, August 17th will be given a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date of this dividend is Monday, August 17th. Southern’s dividend payout ratio is 77.35%.

Southern News Roundup

Here are the key news stories impacting Southern this week:

• Positive Sentiment: Southern raised or maintained longer-term growth expectations, issuing 2028 EPS guidance of $5.25-$5.45 versus a $5.25 analyst consensus. Six-month 2026 earnings also increased to $2.24 per share from $2.01 in the prior-year period. Southern Company Reports Second-Quarter 2026 Earnings
• Positive Sentiment: Georgia Power completed the Moody Battery Energy Storage System, supporting grid reliability and renewable-energy deployment. Southern is also expanding storage projects across Georgia, which could strengthen its regulated utility investment base over time. Southern Completes Moody Battery Project
• Positive Sentiment: Investors continue to view Southern as a potential beneficiary of rising electricity demand from artificial-intelligence data centers. Large-load contracts and a reported 25-year power agreement with OpenAI provide a potential long-term growth catalyst, although the financial impact will develop gradually. Southern Company as an AI Data Center Play
• Neutral Sentiment: Full-year 2026 EPS guidance of $4.50-$4.60 broadly brackets the $4.57 consensus, suggesting no meaningful change to near-term expectations. Southern Earnings Report
• Negative Sentiment: Third-quarter EPS guidance of $1.65 is below the $1.67 consensus, while the quarterly revenue miss highlights continued pressure on near-term growth. The modest outlook reduction may weigh on the stock because SO already trades at a relatively demanding utility valuation.

Analyst Ratings Changes

A number of research analysts recently issued reports on the company. Raymond James Financial reaffirmed an “outperform” rating and set a $104.00 target price on shares of Southern in a report on Friday, May 1st. Wall Street Zen raised shares of Southern from a “sell” rating to a “hold” rating in a report on Saturday, June 20th. Truist Financial cut their target price on shares of Southern from $103.00 to $100.00 and set a “hold” rating for the company in a research note on Friday, May 29th. Citigroup restated a “buy” rating on shares of Southern in a report on Friday, April 10th. Finally, BMO Capital Markets upped their price target on Southern from $102.00 to $104.00 and gave the company an “outperform” rating in a report on Monday. Seven analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of “Hold” and a consensus price target of $100.21.

Institutional Investors Weigh In On Southern

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in SO. T. Rowe Price Investment Management Inc. raised its holdings in shares of Southern by 55.0% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 30,300 shares of the utilities provider’s stock worth $2,643,000 after acquiring an additional 10,748 shares in the last quarter. Compound Planning Inc. grew its stake in Southern by 11.0% in the fourth quarter. Compound Planning Inc. now owns 23,553 shares of the utilities provider’s stock valued at $2,054,000 after purchasing an additional 2,333 shares in the last quarter. Axxcess Wealth Management LLC increased its position in Southern by 5.7% in the 4th quarter. Axxcess Wealth Management LLC now owns 17,848 shares of the utilities provider’s stock worth $1,556,000 after purchasing an additional 962 shares during the last quarter. Corient Private Wealth LLC increased its position in Southern by 41.7% in the 4th quarter. Corient Private Wealth LLC now owns 345,270 shares of the utilities provider’s stock worth $30,108,000 after purchasing an additional 101,605 shares during the last quarter. Finally, Strive Financial Group LLC purchased a new stake in shares of Southern during the 4th quarter worth about $48,000. Hedge funds and other institutional investors own 64.10% of the company’s stock.

Southern Company Profile

Southern Company (NYSE: SO) is an Atlanta-based energy holding company that provides electric and gas utility services and owns power generation assets across the United States. Founded in 1945, the company operates a portfolio of regulated electric utilities and affiliated businesses that generate, transmit and distribute electricity to residential, commercial and industrial customers.

Southern’s principal regulated electric subsidiaries include Georgia Power, Alabama Power and Mississippi Power, which serve large portions of the southeastern United States.