
Southern Company (SO) Stock Forecast & Price Target
Southern Company (SO) Analyst Ratings
Bulls say
Southern is positioned for growth due to a projected 8% electric load increase from 2025 to 2029, driven by in-migration, data centers, and manufacturing activities within its service regions. The company also boasts a strong balance sheet, with a current funds from operations to debt (FFO/debt) ratio of approximately 15.3%, with a management goal to enhance this to 17% by the end of the forecast period, placing it among industry leaders. This combination of robust demand forecasts and financial stability contributes to a favorable outlook for Southern's stock.
Bears say
The analysis points out that Southern's dividend growth rate of approximately 2.5% is significantly lower than the 5.5% growth rate seen among its peers, indicating a lag in shareholder returns. Furthermore, the company's yield midpoint of 6% falls below the average of its coverage, which raises concerns regarding its premium valuation in the market. These factors contribute to a negative outlook, as they suggest potential challenges in maintaining competitive performance and investor appeal.
This aggregate rating is based on analysts' research of Southern Company and is not a guaranteed prediction by Public.com or investment advice.
Southern Company (SO) Analyst Forecast & Price Prediction
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