The Southern Company (SO)
The Southern Company is a massive American utility business that keeps the lights on and the air conditioning running for millions of homes and businesses.
Is The Southern Company a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: Provides an essential service that people need regardless of the economy. Worth weighing: Growth is typically slow and steady rather than explosive. Below, we lay out what it does, what its numbers mean, and the honest risks, so you can decide for yourself.
Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has The Southern Company actually fallen?
Over the last 2 years of daily prices, The Southern Company fell as much as −16% from a high to a later low. Drops of this size are a normal part of owning a share - worth knowing in advance, so a dip doesn't come as a shock.
Worst peak-to-trough fall in the daily closing price over the period we hold. Past falls are not a forecast - it can fall further, or recover.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
A successful transition to a cleaner energy mix boosts long-term efficiency.
Major regulatory shifts or climate-related disasters force massive, unplanned spending.
What does The Southern Company do?
Think of The Southern Company as the backbone of the power grid in the Southeastern United States, generating electricity and distributing: A 'Dist' (or 'Inc') fund pays its dividends out to you as cash rather than reinvesting them. natural gas. Charging customers for the energy they use is what brings in the money, and it tends to be a very steady and predictable way to earn a crust. The main thing to keep an eye on is how they manage the massive costs of building and maintaining their power plants, especially as they shift toward cleaner energy sources.
On our factor screen it looks strongest on income and momentum, and weakest on growth.
- ✓Pays a dividend - about 3.2% a year
- ✓Very profitable - turns about 15% of sales into profit
- !Carries a lot of debt - roughly 1.8x its equity
- Provides an essential service that people need regardless of the economy.
- Has a long history of paying out dividends to shareholders.
- Very low volatility compared to the rest of the stock market.
- Extreme weather events can damage equipment and lead to high repair costs.
- Rising interest rates make the company's debt more expensive to service.
- Strict government regulations could limit how much profit they are allowed to make.
What do The Southern Company's numbers mean?
How much money does The Southern Company make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Does The Southern Company pay a dividend?
Yes - The Southern Company currently pays a dividend of about 3.2% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.
What do the numbers say about The Southern Company's dividend?
There's no rating here, and we don't judge whether the dividend will continue - that would be advice. Here are the figures income investors usually look at, and what each one means, so you can weigh it up yourself.
Figures are from the latest available data and can be distorted by one-off results. Past payments don't predict future ones, and a dividend can be cut at any time. This lays out the numbers to help you understand them - it is not a view on what will happen.
When does The Southern Company report earnings, and how did recent quarters go?
The Southern Company is next scheduled to report on about 2026-10-29 - dates can move, and we don't predict results; this just tells you when to look.
Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-07-30 | $1.01 | $1.13 | Beat +12% |
| 2026-04-30 | $1.21 | $1.32 | Beat +9% |
| 2026-02-19 | $0.56 | $0.55 | Missed -1% |
| 2025-10-30 | $1.51 | $1.60 | Beat +6% |
| 2025-07-31 | $0.88 | $0.92 | Beat +5% |
| 2025-05-01 | $1.19 | $1.23 | Beat +3% |
Across the last 6 quarters here, The Southern Company came in ahead of what analysts expected 5 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.
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Eversource EnergyWhat are the scenarios for The Southern Company?
An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.
What are the pros and cons of The Southern Company?
How many points the write-up makes each way — a balance check, not a score or verdict.
- Provides an essential service that people need regardless of the economy.
- Has a long history of paying out dividends to shareholders.
- Very low volatility compared to the rest of the stock market.
- Growth is typically slow and steady rather than explosive.
- Heavy reliance on regulatory approval to raise prices for customers.
- Requires constant, expensive investment in physical infrastructure.
- Extreme weather events can damage equipment and lead to high repair costs.
- Rising interest rates make the company's debt more expensive to service.
- Strict government regulations could limit how much profit they are allowed to make.
The write-up's own warning lights — if these start happening, the case above changes.
- A sudden, permanent drop in electricity demand across their service area.
- A major change in government policy that prevents the company from passing costs to customers.
Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.