With a market cap of $109.7 billion, The Southern Company (SO) is one of the largest energy providers in the United States, serving around nine million customers across multiple states. Through its subsidiaries, the company generates, transmits, and distributes electricity and natural gas while also investing in renewable energy, distributed energy solutions, and digital infrastructure.
The Atlanta, Georgia-based company is expected to unveil its fiscal Q3 2025 results before the market opens on Thursday, Oct. 30. Before the event, analysts anticipate SO to report an adjusted EPS of $1.54, up 7.7% from $1.43 in the year-ago quarter. It has surpassed Wall Street's bottom-line estimates in three of the past four quarters while missing on another occasion.
For fiscal 2025, analysts expect the power company to report adjusted EPS of $4.27, a 5.4% rise from $4.05 in fiscal 2024. Moreover, adjusted EPS is projected to grow 7.3% year-over-year to $4.58 in fiscal 2026.
SO stock has gained 9.9% over the past 52 weeks, underperforming both the S&P 500 Index's ($SPX) 15.5% return and the Utilities Select Sector SPDR Fund's (XLU) 15.2% increase over the same period.
Despite Southern Company’s better-than-expected Q2 2025 adjusted EPS of $0.91 and revenue of $6.97 billion, shares fell marginally on Jul. 31 as investors focused on rising costs and spending. The company’s operating expenses surged 15.1% to $5.21 billion, offsetting revenue gains and raising concerns about margin pressure.
Analysts' consensus rating on SO stock is cautiously optimistic, with an overall "Moderate Buy" rating. Out of 21 analysts covering the stock, opinions include seven "Strong Buys," one "Moderate Buy," 12 "Holds," and one "Strong Sell." As of writing, the stock is trading above the average analyst price target of $99.44.
