The Southern Company (SO) Stock

The Southern Company (SO) is a Utilities stock trading at $95.31 (as of 2026-07-17), with a market capitalization of $107.44B and a trailing P/E of 20.7. Figures are sourced from first-party U.S. SEC EDGAR filings and market data.

The Southern Company, through its subsidiaries, produces and supplies electricity, including owning and operating power generation assets and selling electricity in the wholesale market. It also distributes natural gas in Illinois, Georgia, Virginia, and Tennessee through gas distribution, pipeline investment, wholesale gas services, and gas marketing activities for about 8.7 million utility customers.

Understand The Southern Company: how it makes money

The Southern Company generates, transmits, and distributes electricity, and it also distributes natural gas and offers gas pipeline investments, wholesale gas services, and gas marketing services, earning money through electricity activities (including selling electricity in the wholesale market) and through natural gas distribution and related wholesale and marketing services.

The profit engine is electricity plus natural gas, with revenue tied to both owning and managing power generation assets (and selling electricity in the wholesale market) and operating the natural gas value chain (distribution, pipeline investments, wholesale gas services, and gas marketing services).

Business quality (Solid): Clear business mix across electricity and gas services, but the provided facts do not include a segment revenue breakdown or operating KPI labels to track the most important drivers.

Valuation: At 25× earnings, SO trades 13% above the Utilities average (22×). Note: one-time items can distort reported P/E.

Bull case

Cross-utility and gas platform coverage: It operates across electricity generation, transmission, and distribution, and it also provides natural gas distribution and related services (gas pipeline investments, wholesale gas services, and gas marketing services).
Wholesale market participation: It develops, constructs, acquires, owns, and manages power generation assets, and sells electricity in the wholesale market.

Bear case

Sensitivity to wholesale electricity conditions: Because it sells electricity in the wholesale market, performance can be affected by conditions in that market.
Sensitivity to wholesale and marketing conditions in gas: It provides wholesale gas services and gas marketing services, so results can depend on conditions affecting those services.

Valuation — source: SEC EDGAR (first-party)
Price	$95.31
Market Cap	$107.44B
P/E Ratio	20.7
EV / EBITDA	12.9
Price / Book	2.69
Price / Sales	3.47
FCF Yield	-5.5%
DCF Value (model)	$150.93
DCF Upside vs Price	58.4%

Profitability & Growth — source: SEC EDGAR
Revenue (TTM)	$29.55B
Net Margin	14.7%
Revenue Growth (YoY)	10.6%
EPS Growth (YoY)	-2.0%
FCF Growth (YoY)	-452.3%

Financial Health — source: SEC EDGAR
Altman Z-Score	0.98 (distress)

Valuation vs Sector & Industry
Stock P/E	20.7
Sector P/E (Utilities)	21.4
Industry P/E (Utilities)	21.1
vs Sector	-3.3%
vs Industry	-2.0%

Smart-Money Activity — SEC Form 4 / 13F / Congressional disclosures
Top Institutional Holder	VANGUARD GROUP INC ($9.42B)
Institutional Holders Tracked	10
Congressional Trades (recent)	10

Company
Sector	Utilities
Industry	Utilities
CEO	Christopher C. Womack
Employees	28,314
Country	US
IPO Date	1981-12-31

Related Companies (Business model: Regulated Utility (Electric / Gas); 8 closest by market cap; US-domiciled)

Data as of 2026-07-17.

Figures sourced from U.S. Securities and Exchange Commission (SEC EDGAR) filings and market data. Not personalized investment advice.