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): -12.06%
EPS Trend (3Y Correlation): 24.2%

SO Revenue

Revenue Growth (3Y CAGR): -6.46%
Revenue Trend (3Y Correlation): -2.9%

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	105,473m
Sub-Industry	Electric Utilities
IPO / Inception	1981-12-31

SO Stock Ratings

Growth Rating	84.7%
Fundamental	47.9%
Dividend Rating	61.4%
Return 12m vs S&P 500	-8.53%
Analyst Rating	3.52 of 5

SO Dividends

Dividend Yield 12m	3.05%
Yield on Cost 5y	5.83%
Annual Growth 5y	3.01%
Payout Consistency	99.3%
Payout Ratio	72.1%

SO Growth Ratios

Growth Correlation 3m	44.7%
Growth Correlation 12m	85.9%
Growth Correlation 5y	92.4%
CAGR 5y	17.52%
CAGR/Max DD 3y (Calmar Ratio)	1.13
CAGR/Mean DD 3y (Pain Ratio)	4.10
Sharpe Ratio 12m	0.22
Alpha	-3.24
Beta	0.413
Volatility	16.96%
Current Volume	4352.8k
Average Volume 20d	4916.3k
Stop Loss	93 (-3%)
Signal	-0.35

Piotroski VR‑10 (Strict, 0-10) 3.0

Net Income (4.28b TTM) > 0 and > 6% of Revenue (6% = 1.70b TTM)

FCFTA -0.01 (>2.0%) and ΔFCFTA -0.21pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue -13.29% (prev -3.96%; Δ -9.33pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.06 (>3.0%) and CFO 9.22b > Net Income 4.28b (YES >=105%, WARN >=100%)

Net Debt (69.56b) to EBITDA (13.68b) ratio: 5.09 <= 3.0 (WARN <= 3.5)

Current Ratio 0.74 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (1.10b) change vs 12m ago 0.12% (target <= -2.0% for YES)

Gross Margin 48.81% (prev 49.63%; Δ -0.82pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 19.51% (prev 18.41%; Δ 1.10pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 2.73 (EBITDA TTM 13.68b / Interest Expense TTM 2.97b) >= 6 (WARN >= 3)

Altman Z'' 0.71

(A) -0.03 = (Total Current Assets 10.80b - Total Current Liabilities 14.57b) / Total Assets 148.85b

(B) 0.10 = Retained Earnings (Balance) 14.36b / Total Assets 148.85b

(D) 0.18 = Book Value of Equity 19.74b / Total Liabilities 111.51b

Total Rating: 0.71 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 47.94

1. Piotroski 3.0pt = -2.0

2. FCF Yield -0.62% = -0.31

3. FCF Margin -3.80% = -1.42

4. Debt/Equity 2.08 = 0.65

5. Debt/Ebitda 5.09 = -2.50

6. ROIC - WACC (= 1.17)% = 1.47

7. RoE 12.75% = 1.06

8. Rev. Trend -2.94% = -0.22

9. EPS Trend 24.19% = 1.21

What is the price of SO shares?

As of October 27, 2025, the stock is trading at USD 95.88 with a total of 4,352,794 shares traded.
Over the past week, the price has changed by -1.85%, over one month by +1.43%, over three months by +2.48% and over the past year by +7.95%.

Is Southern a good stock to buy?

No, based on ValueRay´s Fundamental Analyses, Southern (NYSE:SO) is currently (October 2025) a stock to sell. It has a ValueRay Fundamental Rating of 47.94 and therefor a negative outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of SO is around 104.35 USD . This means that SO is currently overvalued and has a potential downside of 8.83%.

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	100.5	4.8%
Analysts Target Price	100.5	4.8%
ValueRay Target Price	112.6	17.4%

SO Fundamental Data Overview October 27, 2025

Market Cap USD = 105.47b (105.47b USD * 1.0 USD.USD)
P/E Trailing = 24.7752
P/E Forward = 20.4082
P/S = 3.7187
P/B = 3.0365
P/EG = 4.2523
Beta = 0.413
Revenue TTM = 28.36b USD
EBIT TTM = 8.12b USD
EBITDA TTM = 13.68b USD
Long Term Debt = 62.98b USD (from longTermDebt, last quarter)
Short Term Debt = 6.55b USD (from shortTermDebt, last quarter)
Debt = 70.82b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 69.56b USD (from netDebt column, last quarter)
Enterprise Value = 175.03b USD (105.47b + Debt 70.82b - CCE 1.26b)
Interest Coverage Ratio = 2.73 (Ebit TTM 8.12b / Interest Expense TTM 2.97b)
FCF Yield = -0.62% (FCF TTM -1.08b / Enterprise Value 175.03b)
FCF Margin = -3.80% (FCF TTM -1.08b / Revenue TTM 28.36b)
Net Margin = 15.10% (Net Income TTM 4.28b / Revenue TTM 28.36b)
Gross Margin = 48.81% ((Revenue TTM 28.36b - Cost of Revenue TTM 14.52b) / Revenue TTM)
Gross Margin QoQ = 50.05% (prev 48.12%)
Tobins Q-Ratio = 1.18 (Enterprise Value 175.03b / Total Assets 148.85b)
Interest Expense / Debt = 1.23% (Interest Expense 874.0m / Debt 70.82b)
Taxrate = 25.31% (289.0m / 1.14b)
NOPAT = 6.07b (EBIT 8.12b * (1 - 25.31%))
Current Ratio = 0.74 (Total Current Assets 10.80b / Total Current Liabilities 14.57b)
Debt / Equity = 2.08 (Debt 70.82b / totalStockholderEquity, last quarter 34.01b)
Debt / EBITDA = 5.09 (Net Debt 69.56b / EBITDA 13.68b)
Debt / FCF = -64.59 (negative FCF - burning cash) (Net Debt 69.56b / FCF TTM -1.08b)
Total Stockholder Equity = 33.59b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.88% (Net Income 4.28b / Total Assets 148.85b)
RoE = 12.75% (Net Income TTM 4.28b / Total Stockholder Equity 33.59b)
RoCE = 8.41% (EBIT 8.12b / Capital Employed (Equity 33.59b + L.T.Debt 62.98b))
RoIC = 6.06% (NOPAT 6.07b / Invested Capital 100.19b)
WACC = 4.88% (E(105.47b)/V(176.30b) * Re(7.54%) + D(70.82b)/V(176.30b) * Rd(1.23%) * (1-Tc(0.25)))
Discount Rate = 7.54% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 8.05%
Shares Correlation 3-Years: 33.33 | Cagr: 0.30%
Fair Price DCF = unknown (Cash Flow -1.08b)
EPS Correlation: 24.19 | EPS CAGR: -12.06% | SUE: -2.55 | # QB: 0
Revenue Correlation: -2.94 | Revenue CAGR: -6.46% | SUE: 0.67 | # QB: 0

Additional Sources for SO Stock

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