Atlanta, Georgia-based The Southern Company (SO) generates, transmits, and distributes electricity. Valued at $105.6 billion by market cap, the company also offers wireless telecommunications services, provides businesses with two-way radio, telephone, paging, and internet access services, and wholesales fiber optic solutions.
Companies worth $10 billion or more are generally described as “large-cap stocks,” and SO definitely fits that description, with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the utilities - regulated electric industry. SO has a robust foundation, with strong finances, a skilled workforce, and extensive infrastructure, including power plants and transmission lines. The company's expertise in navigating complex regulatory environments and influencing energy policy is a key asset.
Despite its notable strength, SO slipped 4.5% from its 52-week high of $100.84, achieved on Oct. 16, 2025. Over the past three months, SO stock has gained 6.8%, outperforming the S&P 500 Index’s ($SPX) 1.4% gains during the same time frame.
Shares of SO rose 10.5% on a YTD basis, outperforming SPX’s YTD marginal gains. However, in the longer term, the stock climbed 8.6% over the past 52 weeks, underperforming SPX’s 16% returns over the last year.
To confirm the bullish trend, SO has been trading above its 50-day moving average since mid-January, with slight fluctuations. The stock is trading above its 200-day moving average since mid-February, with a minor fluctuation.
On Feb. 19, SO shares closed up more than 4% after reporting its Q4 results. Its adjusted EPS of $0.55 did not meet Wall Street expectations of $0.56. The company’s revenue was $7 billion, exceeding Wall Street forecasts of $6.9 billion.
In the competitive arena of utilities - regulated electric, Duke Energy Corporation (DUK) has lagged behind SO, showing resilience with a 10.3% uptick on a YTD basis, but outpaced the stock with a 11.1% gain over the past 52 weeks.
Wall Street analysts are cautious on SO’s prospects. The stock has a consensus “Hold” rating from the 24 analysts covering it, and the mean price target of $99.38 suggests a potential upside of 3.1% from current price levels.
