Jefferies has downgraded Southern Co (SO) to a Hold rating from Buy, effective November 4, 2025. The current share price stands at $91.14.
This move underscores a growing caution regarding Southern Co's outlook, which may stem from competitive pressures, market conditions, or execution risks that could affect the company's future performance. As a major player in the utilities sector, Southern Co operates several electric utility companies, including Alabama Power, Georgia Power, and Mississippi Power, serving retail customers across three Southeastern states.
The company, headquartered in Atlanta, Georgia, boasts a market capitalization of $100.9 billion and has a P/E ratio of 22.63 with an EPS of 4.03. Its dividend yield is notably high at 325.6%. Upcoming earnings reports are anticipated on July 28, 2026, with an estimated EPS of $1.06 and revenue of $7.3 billion, as well as on April 28, 2026, where an EPS of $1.34 and revenue of $8.4 billion are expected.
Analyst ratings and price targets reflect professional opinions based on research and financial models. While these assessments can provide useful insights, they are based on assumptions that may not always materialize. Investment decisions should consider a variety of factors, including company fundamentals, competitive positioning, and industry trends. Analyst views should serve as one of many inputs rather than the sole basis for investment choices.
As of November 1, 2025, the analyst consensus for Southern Co includes 6 Strong Buy, 9 Buy, 17 Hold, 1 Sell, and 0 Strong Sell ratings, indicating a general preference for buying the stock among analysts. This recent downgrade follows several other analyst actions, including an initiation to Equal-Weight by Wells Fargo and a reiteration to Sector Perform by RBC Capital in late October.
The announcement highlights the importance of monitoring analyst ratings as they can change over time based on new information, with varying opinions emerging from different analysts regarding the same company.