The Southern Company

(New York Stock Exchange)
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Somewhat Bullish +35

Are Wall Street Analysts Bullish on Southern Company Stock?

Analyst upgrade Earnings report AI-generated analysis

πŸ“ˆ Southern Company reported Q3 revenue of $8.8 billion, representing a 13% increase from the prior-year period.

πŸ’° Adjusted earnings per share for the quarter reached $1.94, exceeding analyst consensus estimates.

🏭 Growth was driven by increased usage and customer growth among large commercial and industrial clients.

πŸ“‰ The stock has underperformed the S&P 500 over the past year, rising only 2.1% compared to the index's 8.2% gain.

🎯 Analysts maintain a consensus 'Hold' rating on Southern Company based on current market conditions.

πŸ’΅ The mean analyst price target of $96.71 suggests a 3.6% upside from current trading levels.

πŸš€ A Street-high price target of $112 implies a robust 20% upside potential for the stock.

πŸ“… Analysts expect diluted EPS to rise 6.7% in the current fiscal year to reach $4.59.

Bullish Signals
  • Southern Company delivered better-than-expected Q3 revenue of $8.8 billion, driven by increased usage and customer growth.
  • The company's adjusted EPS of $1.94 surpassed Wall Street consensus estimates for the quarter.
  • Analysts project a 6.7% year-over-year increase in diluted EPS to $4.59 for the current fiscal year.
  • Southern Company has successfully surpassed consensus estimates in three of its last four quarters.
Risk Factors
  • The stock has underperformed the broader S&P 500 Index over the past year, growing only 2.1% versus an 8.2% surge for the index.
  • Wall Street sentiment is cautious with a consensus 'Hold' rating among 24 analysts covering the company.
Full Analysis
Southern Company (SO) reported better-than-expected third-quarter earnings for the period ending in late 2026, with revenue rising nearly 13% year-over-year to $8.8 billion. This growth was driven by increased usage and customer expansion among large commercial and industrial clients, alongside higher earnings from its Southern Power subsidiary. The company's adjusted earnings per share reached $1.94, surpassing Wall Street consensus estimates. Analysts project SO's diluted EPS to increase 6.7% in the current fiscal year to $4.59. While the stock has underperformed the broader S&P 500 and the Utilities Select Sector SPDR ETF over the past year, it recently posted a solid gain of nearly 7% in 2026. The company maintains a market capitalization of approximately $107.1 billion. Wall Street sentiment remains mixed with a consensus 'Hold' rating among 24 analysts covering the stock. Price targets vary significantly, ranging from a Street-high target of $112 implying 20% upside to a mean target of $96.71 suggesting modest 3.6% potential gains. Recent analyst coverage includes a maintained 'Hold' rating with a $98 price target from RBC Capital.