Southern (NYSE:SO) Releases FY 2028 Earnings Guidance

Southern (NYSE:SO) issued an update on its FY 2028 earnings guidance on Thursday morning. The company provided earnings per share guidance of 5.250-5.450 for the period, compared to the consensus earnings per share estimate of 5.250. The company issued revenue guidance of -. Southern also updated its FY 2026 guidance to 4.500-4.600 EPS.

Southern Stock Up 0.4%

Southern stock traded up $0.41 on Friday, hitting $94.75. 2,075,250 shares of the stock traded hands, compared to its average volume of 5,721,258. Southern has a 1 year low of $83.80 and a 1 year high of $100.83. The firm has a market cap of $106.81 billion, a P/E ratio of 24.12, a price-to-earnings-growth ratio of 1.85 and a beta of 0.34. The company has a current ratio of 0.65, a quick ratio of 0.45 and a debt-to-equity ratio of 1.68. The business’s fifty day simple moving average is $94.59 and its 200 day simple moving average is $93.99.

Southern (NYSE:SO) last released its earnings results on Thursday, July 30th. The utilities provider reported $1.13 earnings per share for the quarter, topping analysts’ consensus estimates of $1.01 by $0.12. The firm had revenue of $6.98 billion for the quarter, compared to the consensus estimate of $7.23 billion. Southern had a net margin of 14.46% and a return on equity of 12.64%. The company’s revenue was up .1% compared to the same quarter last year. During the same period in the prior year, the firm earned $0.79 EPS. As a group, sell-side analysts forecast that Southern will post 4.58 earnings per share for the current year.

Southern Dividend Announcement

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

Wall Street Analyst Weigh In

A number of brokerages have recently commented on SO. Seaport Research Partners cut Southern from a “buy” rating to a “neutral” rating in a research report on Monday, April 20th. Truist Financial reduced their price objective on Southern from $103.00 to $100.00 and set a “hold” rating for the company in a research report on Friday, May 29th. JPMorgan Chase & Co. lifted their price objective on Southern from $101.00 to $104.00 and gave the company a “neutral” rating in a research note on Thursday, July 16th. Raymond James Financial reissued an “outperform” rating and issued a $104.00 target price on shares of Southern in a report on Friday, May 1st. Finally, Wall Street Zen raised Southern from a “sell” rating to a “hold” rating in a research note on Saturday, June 20th. Seven research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, Southern presently has an average rating of “Hold” and a consensus price target of $100.26.

Key Headlines Impacting Southern

Here are the key news stories impacting Southern this week:

• Positive Sentiment: Second-quarter earnings beat estimates. Southern reported adjusted earnings of $1.13 per share, above the $1.01 analyst consensus and up from $0.91 a year earlier. The company’s reported net income increased to $1.2 billion, or $1.03 per share, from $0.9 billion, or $0.80 per share, in the prior-year quarter. Southern Co. Beats Q2 Earnings Estimates
• Positive Sentiment: AI and data-center demand offer a long-term growth catalyst. Southern is benefiting from large-load contracts, including a reported 25-year power agreement with OpenAI. Rising electricity demand could support regulated rate-base investment and future earnings growth. Southern Company AI Data Center Opportunity
• Positive Sentiment: Georgia Power is expanding generation and storage capacity. Planned investments at Plant Bowen include nearly 1,500 megawatts of new natural-gas generation and 500 megawatts of battery storage. The projects are intended to meet Georgia’s growing power needs and could expand Southern’s regulated asset base over time. Georgia Power Plant Bowen Investment
• Positive Sentiment: Battery-storage execution reinforces grid-investment momentum. Georgia Power completed the Moody Battery Energy Storage System, adding capacity to support solar deployment and grid reliability. Southern Completes Moody Battery Project
• Neutral Sentiment: Revenue fell short of expectations. Quarterly revenue was $6.98 billion versus the $7.23 billion consensus and increased only 0.1% year over year, tempering the impact of the EPS beat.
• Negative Sentiment: Near-term guidance was slightly cautious. Fiscal 2026 EPS guidance of $4.50–$4.60 brackets the $4.57 consensus, while third-quarter guidance of $1.65 is below the $1.67 estimate. Fiscal 2028 guidance of $5.25–$5.45 begins at consensus, offering longer-term support but limited immediate upside.

Hedge Funds Weigh In On Southern

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

About Southern

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.