Southern (NYSE:SO) Stock Gets Price Target Reduction from KeyCorp

Southern (NYSE:SO) had its target price lowered by KeyCorp from $79.00 to $74.00 in a research note issued to investors on Tuesday morning, MarketBeat reports. The brokerage currently has an underweight rating on the utilities provider’s stock. KeyCorp also issued estimates for Southern’s Q3 2026 earnings at $1.74 EPS, Q4 2026 earnings at $0.42 EPS, FY2026 earnings at $4.60 EPS, FY2028 earnings at $5.37 EPS, FY2029 earnings at $5.77 EPS and FY2030 earnings at $6.19 EPS.

Several other brokerages have also recently issued reports on SO. Citigroup decreased their target price on shares of Southern from $114.00 to $104.00 and set a “buy” rating for the company in a report on Friday, September 25th. Barclays dropped their target price on shares of Southern from $99.00 to $98.00 and set an “equal weight” rating on the stock in a research note on Thursday, June 18th. JPMorgan Chase & Co. increased their price target on shares of Southern from $101.00 to $104.00 and gave the company a “neutral” rating in a report on Thursday, July 16th. BMO Capital Markets increased their price target on shares of Southern from $102.00 to $104.00 and gave the company an “outperform” rating in a report on Monday, July 27th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Southern in a research report on Wednesday, July 29th. Seven equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Southern currently has an average rating of “Hold” and a consensus target price of $99.03.

Southern Price Performance

Shares of NYSE:SO opened at $89.19 on Tuesday. The business has a fifty day moving average price of $87.74 and a 200-day moving average price of $92.18. The company has a debt-to-equity ratio of 1.62, a current ratio of 0.79 and a quick ratio of 0.59. The company has a market capitalization of $102.60 billion, a PE ratio of 19.43, a PEG ratio of 2.35 and a beta of 0.31. Southern has a 1-year low of $81.69 and a 1-year high of $100.83.

Southern (NYSE:SO) last announced its quarterly earnings results on Wednesday, July 29th. The utilities provider reported $1.13 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.01 by $0.12. Southern had a net margin of 15.43% and a return on equity of 12.93%. The company had revenue of $6.98 billion for the quarter, compared to analysts’ expectations of $7.23 billion. During the same quarter in the previous year, the business posted $0.79 EPS. Southern’s revenue was up .1% compared to the same quarter last year. As a group, equities analysts expect that Southern will post 4.59 EPS for the current fiscal year.

Southern Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Tuesday, September 8th. Stockholders of record on Monday, August 17th were issued a dividend of $0.76 per share. This represents a $3.04 dividend on an annualized basis and a dividend yield of 3.4%. The ex-dividend date of this dividend was Monday, August 17th. Southern’s dividend payout ratio is presently 72.90%.

Institutional Investors Weigh In On Southern

Several institutional investors have recently modified their holdings of the business. Evergreen Advisors LLC purchased a new position in Southern in the 1st quarter worth about $25,000. Scarborough Advisors LLC purchased a new stake in shares of Southern during the 1st quarter valued at about $25,000. Bullseye Investment Management LLC purchased a new stake in shares of Southern during the 2nd quarter valued at about $26,000. J.Safra Asset Management Corp purchased a new stake in shares of Southern during the 2nd quarter valued at about $30,000. Finally, Frazier Financial Advisors LLC bought a new stake in shares of Southern in the second quarter worth approximately $31,000. 64.10% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Southern

Here are the key news stories impacting Southern this week:

• Positive Sentiment: KeyCorp raised its 2026 full-year EPS estimate to $4.60 from $4.58 and increased its forecasts for 2028, 2029 and 2030 to $5.37, $5.77 and $6.19, respectively. The firm also lifted its third-quarter 2026 estimate to $1.74 from $1.66, suggesting some confidence in Southern’s longer-term earnings growth. KeyCorp Southern estimates
• Positive Sentiment: Zacks said Southern has a strong earnings-surprise history and favorable conditions for potentially exceeding estimates in its next quarterly report. A future earnings beat could support the stock, particularly after the company exceeded the prior quarter’s EPS consensus. Why Southern may beat earnings estimates
• Positive Sentiment: Southern continues to be highlighted by income-focused coverage as a utility with an attractive dividend profile, which may provide support among defensive and yield-oriented investors. Analyst views on high-dividend utilities
• Neutral Sentiment: Georgia Power, Southern’s subsidiary, is promoting rebates, payment options and energy-saving assistance during Energy Efficiency Month. The initiatives could support customer relationships and affordability but are unlikely to materially change near-term earnings. Georgia Power customer assistance resources
• Negative Sentiment: KeyCorp cut its fourth-quarter 2026 EPS forecast sharply to $0.42 from $0.60. Although the firm made small increases to several annual estimates, it retained an Underweight rating and a $74 price target, well below recent trading levels. KeyCorp cuts Southern price target
• Negative Sentiment: JPMorgan also lowered its expectations for Southern’s stock price, adding to the negative analyst sentiment. JPMorgan lowers Southern expectations
• Negative Sentiment: Recent commentary points to near-term cash-flow pressure, while a reported data breach involving Georgia Power, Alabama Power and Mississippi Power could create legal, remediation and reputational risks if customer claims develop. Southern Company utility data breach investigation

About Southern

Southern Company (NYSE:SO) is a diversified energy holding company headquartered in Atlanta, Georgia. Through its operating subsidiaries, the company generates, transmits, distributes and sells electricity, while also providing natural gas distribution and related energy services.

Southern’s regulated electric utilities include Alabama Power, Georgia Power and Mississippi Power, which serve residential, commercial and industrial customers across the southeastern United States. The company’s portfolio includes coal, natural gas, nuclear, hydroelectric and renewable generation assets.