ℹ️ How are these calculated?
🎯 Investment Thesis
Southern Company operates the only new nuclear plants built in the US in 30 years (Vogtle 3 & 4, now fully online). At 20x PE with a 3.3% dividend yield, it's the defensive grid play. 8% below ATH ($101). Regulated utility model provides predictable earnings. The Southeast is one of the fastest-growing regions for data center and population growth.
⚠️ Key Risk
Wells Fargo just downgraded to Underweight $84 — sees 10% downside. Barclays $88, Jefferies $93, JP Morgan $93 all neutral-to-bearish. Vogtle construction cost overruns ($35B vs $14B original estimate) damaged credibility. $60B+ debt makes SO extremely rate-sensitive. Dividend-focused investors may rotate to bonds if rates stay high.
By The Numbers
Event Impact
Utility serving Southeast US where data center demand is growing. Vogtle nuclear provides clean baseload.
Nuclear and gas generation insulated from oil disruption.
No quantum relevance.
Domestic regulated utility. No China exposure.
Capital-intensive regulated utility. $60B+ debt is massive. Higher rates increase financing costs. 3.3% dividend yield competes with bond yields.
Operates Vogtle Units 3 & 4 — only new nuclear plants built in US in 30 years. Natural gas pipeline network (Southern Gas). Regulated utility model provides predictable grid capacity.
Nuclear PTC preserved in OBBBA. Regulated utility model means rate recovery for capital investments. Infrastructure spending tailwind for gas pipeline.
Price Targets
Upcoming Catalysts
Competitive Landscape
Company Background
Founded 1945 in Atlanta. One of the largest US utilities. The Vogtle nuclear expansion was the most expensive US nuclear project ever — years late, billions over budget — but now provides 2.2 GW of carbon-free baseload power.