Southern Company (SO): analysis in plain words
Is Southern Company cheap or expensive? How it makes money, whether it grows and its risks, explained in plain words and with its official accounts.
Southern Company (SO) is listed on the NYSE and we classify it in utilities and renewables. Below are its key dated figures, how it makes money, how it compares with its sector, what works for and against Southern Company according to those figures, and the questions people ask most about the stock. No buy or sell tips.
Southern Company (SO) key figures as of November 4, 2026
| Figure | Value | What it measures |
|---|---|---|
| Share price | $93.12 | Last price on November 4, 2026 |
| P/E ratio (TTM) | 22.4x | Price over earnings per share |
| Revenue growth | +0.1% | Latest quarter vs the same quarter a year earlier |
| Net margin (TTM) | 15.4% | Profit for every 100 of sales |
| Net debt / EBITDA | 5.2x | Years of operating profit to repay debt |
| Dividend yield | 3.24% | Annual dividend over price |
| Market cap | $107.1 billion | What the stock market values it at |
The Southern Company figures come from Yahoo Finance, the same source the Fintols analysis uses, retrieved on November 4, 2026. Any SO figure that is not available shows as N/A: we do not estimate it.
How Southern Company makes money
Southern Company owns regulated utilities in the U.S. Southeast: Georgia Power, the largest, Alabama Power and Mississippi Power, which charge rates set by regulators. Southern Power sells electricity wholesale, and Southern Company Gas distributes natural gas through companies like Nicor Gas and Atlanta Gas Light.
Over the last 12 months, Southern Company brought in revenue of $30.2 billion. For every 100 it sells, Southern Company keeps 48.3 after the direct cost of what it sells (gross margin) and 29.6 after all operating costs (operating margin).
Southern Company against its sector
To know whether a Southern Company figure is high or low you have to put it next to similar companies. This table compares Southern Company with the median of the 14 utilities and renewables companies Fintols covers, with data as of November 4, 2026.
| Figure | Southern Company | utilities and renewables median |
|---|---|---|
| P/E | 22.4x | 19.9x (14) |
| Revenue growth | +0.1% | +8.8% (14) |
| Net margin | 15.4% | 14.5% (14) |
| Dividend yield | 3.24% | 3.16% (14) |
| Net debt / EBITDA | 5.2x | 4.6x (14) |
In short, against the typical utilities and renewables company, Southern Company grows more slowly. By size, Southern Company ranks number 2 of 6 utilities and renewables companies quoted in USD on Fintols.
The bull case for Southern Company
What works in favour of Southern Company, according to its figures as of November 4, 2026:
- For income seekers, Southern Company pays a dividend yielding 3.24% at today's price, using 72% of its profit to fund it.
- Analysts expect Southern Company earnings to rise: its P/E on the next 12 months of estimated earnings is 18.9x, below the current 22.4x.
The main risk for Southern Company
Debt is heavy: Southern Company carries net debt equal to 5.2x its annual EBITDA. With high interest rates or a weak year, interest payments eat into what it can invest or pay out.
On top of that: southern Company is burning cash: its free cash flow over the last 12 months is negative (-$3.9 billion).
And, like the rest of utilities and renewables, Southern Company is exposed to interest rates (it funds grids and plants with a lot of debt) and changes in how its tariffs are regulated.
Frequently asked questions about Southern Company
Is it a good time to buy Southern Company stock?
Fintols does not tell you whether to buy or sell Southern Company, and nobody knows what the price will do tomorrow. What we can show you is where it stands today. As of November 4, 2026, Southern Company stock trades at $93.12, 6% below its 52-week high ($99.58) and 14% above its low ($81.69). Its P/E is 22.4x against a utilities and renewables median of 19.9x, and 18.9x on the earnings analysts expect over the next 12 months. With Southern Company, as with any stock, timing matters less than understanding the business, investing for the long run and not betting everything on a single company.
Does Southern Company pay a dividend?
Yes. As of November 4, 2026, Southern Company pays $3.04 per share a year, which at today's price is a yield of 3.24%. It uses 72% of its profit to pay it.
Is Southern Company stock expensive?
It depends on what you compare it with. On P/E, Southern Company trades at 22.4x its last 12 months of earnings: in line with the utilities and renewables median (19.9x). Including its debt, Southern Company is valued at 13.0x its EBITDA (EV/EBITDA). A high P/E alone does not make Southern Company expensive: it can be justified if earnings grow fast, and a low one can reflect a business in trouble.
Who are Southern Company's competitors?
On Fintols we compare Southern Company with Duke Energy, NextEra Energy and Constellation Energy, which are also in utilities and renewables. As of November 4, 2026, Duke Energy is worth $101.0 billion and trades on a P/E of 19.5; NextEra Energy is worth $185.5 billion and trades on a P/E of 15.9; Constellation Energy is worth $87.1 billion and trades on a P/E of 24.0. Each has a side-by-side comparison with Southern Company below.
Southern Company competitors
- Duke Energy (DUK) analysis · Southern Company vs Duke Energy comparison
- NextEra Energy (NEE) analysis · Southern Company vs NextEra Energy comparison
- Constellation Energy (CEG) analysis · Southern Company vs Constellation Energy comparison
To understand Southern Company better
- Dividend Growth Investing: FCF Payout Ratio and Compounding
- How to Read a Balance Sheet: A Beginner's Guide
More companies like Southern Company: utilities and renewables stocks, S&P 500 companies and S&P 100 companies. Open the full SO analysis with its valuation and scenarios. Educational content about Southern Company, not investment advice.