Overview Dividends

(SO) Southern - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US8425871071

Electricity, Natural Gas, Renewable Energy, Pipelines, Storage

SO EPS (Earnings per Share)

EPS Growth (3Y CAGR): 93.63%
EPS Trend (3Y Correlation): 52.9%

SO Revenue

Revenue Growth (3Y CAGR): 3.87%
Revenue Trend (3Y Correlation): 53.3%

Description: SO Southern September 25, 2025

The Southern Company (NYSE:SO) is a vertically integrated utility that generates, transmits, and distributes electricity through its subsidiaries, while also operating a natural-gas distribution and pipeline network across Illinois, Georgia, Virginia, and Tennessee.

Its asset base includes ownership of conventional and renewable generation facilities, roughly 78,500 mi of gas pipelines, 14 gas-storage sites, and a growing portfolio of distributed-energy, micro-grid, and digital-infrastructure services such as fiber-optic and wireless communications for commercial, industrial, and governmental customers.

Key recent metrics: FY 2023 adjusted earnings per share (EPS) were $6.31, driven by regulated utility earnings that are relatively insulated from wholesale price volatility; capital expenditures were $7.1 billion, with a stated target to add 3 GW of renewable capacity by 2030. The utility’s performance is highly sensitive to interest-rate trends (affecting cost of capital) and to regional RTO market dynamics, especially in the PJM and SERC interconnections where SO holds a significant generation footprint.

For a deeper, data-driven assessment of SO’s valuation assumptions and scenario analysis, you may find the research tools on ValueRay worth exploring.

SO Stock Overview

Market Cap in USD	103,548m
Sub-Industry	Electric Utilities
IPO / Inception	1981-12-31

SO Stock Ratings

Growth Rating	83.9%
Fundamental	57.9%
Dividend Rating	61.6%
Return 12m vs S&P 500	-6.38%
Analyst Rating	3.52 of 5

SO Dividends

Dividend Yield 12m	3.21%
Yield on Cost 5y	5.67%
Annual Growth 5y	3.01%
Payout Consistency	99.3%
Payout Ratio	69.2%

SO Growth Ratios

Growth Correlation 3m	38.1%
Growth Correlation 12m	89.6%
Growth Correlation 5y	92.4%
CAGR 5y	15.80%
CAGR/Max DD 3y (Calmar Ratio)	1.02
CAGR/Mean DD 3y (Pain Ratio)	3.67
Sharpe Ratio 12m	0.21
Alpha	-3.73
Beta	0.413
Volatility	18.72%
Current Volume	3833k
Average Volume 20d	5044.9k
Stop Loss	88.1 (-3.1%)
Signal	-0.36

Piotroski VR‑10 (Strict, 0-10) 3.0

Net Income (4.46b TTM) > 0 and > 6% of Revenue (6% = 1.73b TTM)

FCFTA 0.01 (>2.0%) and ΔFCFTA 0.68pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue -20.86% (prev -4.26%; Δ -16.61pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.06 (>3.0%) and CFO 9.38b > Net Income 4.46b (YES >=105%, WARN >=100%)

Net Debt (66.20b) to EBITDA (13.74b) ratio: 4.82 <= 3.0 (WARN <= 3.5)

Current Ratio 0.64 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (1.11b) change vs 12m ago 0.63% (target <= -2.0% for YES)

Gross Margin 49.10% (prev 49.83%; Δ -0.73pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 20.00% (prev 18.36%; Δ 1.64pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 2.67 (EBITDA TTM 13.74b / Interest Expense TTM 3.04b) >= 6 (WARN >= 3)

Altman Z'' 0.59

(A) -0.04 = (Total Current Assets 10.69b - Total Current Liabilities 16.73b) / Total Assets 145.18b

(B) 0.09 = Retained Earnings (Balance) 13.75b / Total Assets 145.18b

(D) 0.17 = Book Value of Equity 19.12b / Total Liabilities 114.97b

Total Rating: 0.59 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 57.91

1. Piotroski 3.0pt = -2.0

2. FCF Yield 0.83% = 0.41

3. FCF Margin 4.81% = 1.20

4. Debt/Equity 1.73 = 1.16

5. Debt/Ebitda 4.82 = -2.50

6. ROIC - WACC (= 1.53)% = 1.91

7. RoE 12.80% = 1.07

8. Rev. Trend 53.33% = 4.00

9. EPS Trend 52.94% = 2.65

What is the price of SO shares?

As of November 07, 2025, the stock is trading at USD 90.90 with a total of 3,832,991 shares traded.
Over the past week, the price has changed by -4.39%, over one month by -4.81%, over three months by -3.23% and over the past year by +7.46%.

Is Southern a good stock to buy?

Neither. Based on ValueRay´s Fundamental Analyses, Southern is currently (November 2025) neither a good nor a bad stock to buy. It has a ValueRay Fundamental Rating of 57.91 and therefor a neutral outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of SO is around 97.90 USD . This means that SO is currently overvalued and has a potential downside of 7.7%.

Is SO a buy, sell or hold?

Southern has received a consensus analysts rating of 3.52. Therefor, it is recommend to hold SO.

Strong Buy: 5
Buy: 4
Hold: 10
Sell: 1
Strong Sell: 1

What are the forecasts/targets for the SO price?

Issuer	Target	Up/Down from current
Wallstreet Target Price	100.8	10.9%
Analysts Target Price	100.8	10.9%
ValueRay Target Price	105.7	16.3%

SO Fundamental Data Overview November 01, 2025

Market Cap USD = 103.55b (103.55b USD * 1.0 USD.USD)
P/E Trailing = 23.393
P/E Forward = 20.4082
P/S = 3.5814
P/B = 3.0365
P/EG = 4.2523
Beta = 0.413
Revenue TTM = 28.91b USD
EBIT TTM = 8.11b USD
EBITDA TTM = 13.74b USD
Long Term Debt = 58.77b USD (from longTermDebt, last fiscal year)
Short Term Debt = 342.0m USD (from shortTermDebt, last quarter)
Debt = 66.20b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 66.20b USD (from netDebt column, last quarter)
Enterprise Value = 168.68b USD (103.55b + Debt 66.20b - CCE 1.07b)
Interest Coverage Ratio = 2.67 (Ebit TTM 8.11b / Interest Expense TTM 3.04b)
FCF Yield = 0.83% (FCF TTM 1.39b / Enterprise Value 168.68b)
FCF Margin = 4.81% (FCF TTM 1.39b / Revenue TTM 28.91b)
Net Margin = 15.42% (Net Income TTM 4.46b / Revenue TTM 28.91b)
Gross Margin = 49.10% ((Revenue TTM 28.91b - Cost of Revenue TTM 14.72b) / Revenue TTM)
Gross Margin QoQ = 55.02% (prev 50.05%)
Tobins Q-Ratio = 1.16 (Enterprise Value 168.68b / Total Assets 145.18b)
Interest Expense / Debt = 1.14% (Interest Expense 755.0m / Debt 66.20b)
Taxrate = 18.95% (400.0m / 2.11b)
NOPAT = 6.57b (EBIT 8.11b * (1 - 18.95%))
Current Ratio = 0.64 (Total Current Assets 10.69b / Total Current Liabilities 16.73b)
Debt / Equity = 1.73 (Debt 66.20b / totalStockholderEquity, last quarter 38.27b)
Debt / EBITDA = 4.82 (Net Debt 66.20b / EBITDA 13.74b)
Debt / FCF = 47.56 (Net Debt 66.20b / FCF TTM 1.39b)
Total Stockholder Equity = 34.83b (last 4 quarters mean from totalStockholderEquity)
RoA = 3.07% (Net Income 4.46b / Total Assets 145.18b)
RoE = 12.80% (Net Income TTM 4.46b / Total Stockholder Equity 34.83b)
RoCE = 8.67% (EBIT 8.11b / Capital Employed (Equity 34.83b + L.T.Debt 58.77b))
RoIC = 6.49% (NOPAT 6.57b / Invested Capital 101.28b)
WACC = 4.96% (E(103.55b)/V(169.75b) * Re(7.54%) + D(66.20b)/V(169.75b) * Rd(1.14%) * (1-Tc(0.19)))
Discount Rate = 7.54% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 8.05%
Shares Correlation 3-Years: 33.33 | Cagr: 0.52%
[DCF Debug] Terminal Value 80.11% ; FCFE base≈997.6m ; Y1≈1.14b ; Y5≈1.58b
Fair Price DCF = 24.84 (DCF Value 27.33b / Shares Outstanding 1.10b; 5y FCF grow 16.72% → 3.0% )
EPS Correlation: 52.94 | EPS CAGR: 93.63% | SUE: 0.76 | # QB: 0
Revenue Correlation: 53.33 | Revenue CAGR: 3.87% | SUE: -0.11 | # QB: 0

Additional Sources for SO Stock

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