Southern Company (The) (SO) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Southern Company (The)

NYSE•Utilities•Utilities - Regulated Electric

$86.22-0.01(<0.01%)Market open

Market Cap

$97.24B

P/E

20.6x

P/S

3.2x

P/B

2.3x

The Southern Company, through its subsidiaries, engages in the sale of electricity. The company offers electric service to retail customers and wholesale customers; and energy-related products and services to natural gas choice markets. It also develops, constructs, acquires, owns, operates, and manages power generation assets, as well as battery energy storage projects; sells electricity at market-based rates in the wholesale market; and deploys microgrids for commercial, industrial, governmental, and utility customers. In addition, the company is involved in the distribution of natural gas in Illinois, Georgia, Virginia, and Tennessee; distributes energy and resilience solutions; and invests in telecommunications. The Southern Company was incorporated in 1945 and is headquartered in Atlanta, Georgia.

How this company scores

AverageMetricSide Score: 54/100

Strongest: Profitability (23/25); weakest: Cash & Earnings Quality (2/25).

Profitability23/25

Growth17/25

Balance Sheet & Red Flags12/25

Cash & Earnings Quality2/25

Strengths

Strong marginsProfit converts from growthConsistent growthImproving margins

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 20.6x5y range 18.9x – 35.1x

Currently near its 20-quarter median.

P/S · 3.2x5y range 2.6x – 3.7x

Currently near its 20-quarter median.

P/B · 2.3x5y range 2.0x – 2.7x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Earnings Quality

Red Flag

Free cash flow has been negative in 6 of the last 8 quarters — earnings are not translating to cash.

Cash Burn

Watch

6 of the last 8 quarters had negative FCF — inconsistent cash generation raises sustainability concerns.

Price & Volume

Market Cap $97.24B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $30.18B
Q. Revenue: $6.98B
TTM EBITDA: $13.65B
TTM Op. Income: $7.30B
Q. Op. Income: $1.78B
TTM Net Income: $4.72B
Q. Net Income: $1.17B
EPS: $1.03
Shares Out.: $1.14B

$30.18B in TTM revenue grew 6.4% YoY, reaching $6.98B last quarter. TTM EBITDA of $13.65B and TTM operating income of $7.30B show growth is flowing through to the bottom line. TTM net income of $4.72B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 48.3%
Op. Margin: 25.5%
Net Margin: 16.8%

Op. margin of 25.5% is up 0.2% YoY — cost efficiency is improving. Net margin at 16.8% Across the last 8 quarters, operating margin has risen for 2 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 20.6x
P/S Ratio: 3.2x
P/B Ratio: 2.3x

At 20.6x P/E, the stock trades within typical market levels. P/S of 3.2x and P/B of 2.3x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 15% — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $162.03B
Cash: $2.98B
Long-Term Debt: $68.76B
Book Value: $42.34B
D/E Ratio: 1.6
Debt/EBITDA: 20.4

With $162.03B in assets and $68.76B in long-term debt, D/E is 1.6and book value is $42.34B — moderate leverage. Across the last 8 quarters, debt/equity has fallen for 2 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $3.05B
TTM Free Cash Flow: $-3.49B
FCF Margin: -11.6%
FCF / Net Income: -0.7

TTM FCF of $-3.49B on $3.05B in operating cash flow. The FCF / Net Income ratio of -0.7x means the business consumes cash — it is not yet self-funding. Across the last 8 quarters, free cash flow has fallen for 6 consecutive quarters — a weakening trend.