Latest news with #SouthernCo
Yahoo
17 hours ago
- Business
- Yahoo
Southern Co. (SO) Exceeds Market Returns: Some Facts to Consider
Southern Co. (SO) ended the recent trading session at $95.85, demonstrating a +1.12% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 0.06% for the day. On the other hand, the Dow registered a gain of 0.41%, and the technology-centric Nasdaq decreased by 0.39%. Heading into today, shares of the power company had gained 4.54% over the past month, outpacing the Utilities sector's gain of 1.55% and lagging the S&P 500's gain of 5.88%. The investment community will be paying close attention to the earnings performance of Southern Co. in its upcoming release. The company is slated to reveal its earnings on July 31, 2025. The company's upcoming EPS is projected at $0.98, signifying a 10.09% drop compared to the same quarter of the previous year. Meanwhile, our latest consensus estimate is calling for revenue of $6.77 billion, up 4.8% from the prior-year quarter. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $4.28 per share and revenue of $28.46 billion. These totals would mark changes of +5.68% and +6.51%, respectively, from last year. Any recent changes to analyst estimates for Southern Co. should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system. The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% lower. Southern Co. is currently a Zacks Rank #3 (Hold). In terms of valuation, Southern Co. is currently trading at a Forward P/E ratio of 22.17. This indicates a premium in contrast to its industry's Forward P/E of 18.52. Investors should also note that SO has a PEG ratio of 3.28 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Utility - Electric Power stocks are, on average, holding a PEG ratio of 2.67 based on yesterday's closing prices. The Utility - Electric Power industry is part of the Utilities sector. This group has a Zacks Industry Rank of 81, putting it in the top 33% of all 250+ industries. The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Southern Company (The) (SO) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Associated Press
01-07-2025
- Business
- Associated Press
Regulators approve plan for Georgia Power to freeze base rates through 2028
ATLANTA (AP) — Utility regulators on Tuesday approved a plan for Georgia Power Co. to freeze base power rates through the end of 2028, although opponents argue that customers could face risks later if costs to serve new computer data centers pile up. The five Republicans on the Georgia Public Service Commission voted unanimously for the plan after regulatory staff and the company agreed to it earlier. 'Freezing these rates shows that we're listening to ratepayers and we're doing all we can to protect them and continue to grow this economy in this state,' Commissioner Tim Echols said after the vote. Rates could still go up next year when commissioners consider how customers will pay for $862 million in storm damage, mainly due to 2024's Hurricane Helene. In testimony, Georgia Power Chief Financial Officer Aaron Abramovitz said the company hopes any rate increase to repay the damage could be offset with a decrease in the charge customers have been paying since 2023 to make up for higher costs of buying natural gas and coal. Customers have seen bills rise six times in recent years because of higher natural gas costs and construction projects, including two new nuclear reactors at Plant Vogtle near Augusta. A typical Georgia Power residential customer now pays more than $175 a month, including taxes. The agreement allows Echols and Commissioner Fitz Johnson to seek reelection this year without a rate increase threatening their campaigns. Echols will face Democrat Alicia Johnson in November. Democrats Peter Hubbard and Keisha Sean Waites are vying in a July 15 runoff to face Fitz Johnson in the general election. Georgia Power CEO Kim Greene called the rate freeze a 'great result for customers, balancing the mutual benefits of extraordinary economic growth among all stakeholders and helping to ensure that we remain equipped to continue supporting growth in this state.' Opponents said the deal didn't do enough to contain the high profits of Georgia Power, a unit of Atlanta-based Southern Co, and doesn't provide enough scrutiny of the company's operations. Commissioner Lauren McDonald on Tuesday unsuccessfully attempted to limit how much the company can earn on the money it has invested — called return on equity — to 11.5% instead of 11.9%. Return on equity is the key driver of the company's profits. Georgia Power is the state's only privately owned electrical utility, serving 2.3 million customers statewide. Last year, Georgia Power collected $11.3 billion in revenue and contributed $2.5 billion in profit to Southern Co. The company predicts rapidly increasing demand from computer data centers. Georgia Power has said regular customers won't pay for power plants and transmission lines needed to electrify data centers, a pledge now backed by commission rules. But the company said in talks with commission staff that it could ask for a rate increase of up to $2.6 billion over three years. Instead, the company and staff hashed out a deal for the company to use tax credits and other financial maneuvers to boost its return on equity without raising rates. Opponents noted that the company had promised 'downward pressure' on rates last year when the commission approved an unusual request for Georgia Power to build more power plants outside the regular schedule. They asked why rates were staying flat instead of going down. John Wilson, an expert witness for the Southern Alliance for Clean Energy and other environmental groups, called it a 'rate increase hidden in the shadows.' Some advocates had called for Echols, McDonald and Commission Chair Jason Shaw to recuse themselves from the vote, saying they violated the commissioners' quasi-judicial role by supporting the deal before hearing evidence. Shaw and Echols spoke in favor of the agreement and McDonald appeared at a news conference but didn't speak. All three commissioners declined to recuse themselves, saying they had done nothing wrong. The deal comes even as commissioners are still considering Georgia Power's three-year plan to generate enough electricity to meet the state's needs. That plan foresees a very large increase in electrical demand, requiring new power plants or new purchases from existing plants. Typically, a rate plan is approved after the integrated resource plan, ensuring the utility can pay for improvements. Instead, Georgia Power will either absorb the costs or seek to pass them on to customers beginning in 2029.
Yahoo
24-06-2025
- Business
- Yahoo
Southern Co. (SO) Outpaces Stock Market Gains: What You Should Know
Southern Co. (SO) closed at $90.67 in the latest trading session, marking a +1.53% move from the prior day. The stock's change was more than the S&P 500's daily gain of 0.96%. Meanwhile, the Dow gained 0.89%, and the Nasdaq, a tech-heavy index, added 0.94%. Shares of the power company witnessed a loss of 0.38% over the previous month, beating the performance of the Utilities sector with its loss of 2.43%, and underperforming the S&P 500's gain of 0.5%. Investors will be eagerly watching for the performance of Southern Co. in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.99, indicating a 9.17% decline compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $6.76 billion, up 4.66% from the prior-year quarter. Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.28 per share and revenue of $28.23 billion, indicating changes of +5.68% and +5.64%, respectively, compared to the previous year. Investors might also notice recent changes to analyst estimates for Southern Co. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook. Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system. The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.02% higher. Southern Co. is holding a Zacks Rank of #3 (Hold) right now. Looking at its valuation, Southern Co. is holding a Forward P/E ratio of 20.88. This indicates a premium in contrast to its industry's Forward P/E of 17.76. It is also worth noting that SO currently has a PEG ratio of 3.19. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The average PEG ratio for the Utility - Electric Power industry stood at 2.58 at the close of the market yesterday. The Utility - Electric Power industry is part of the Utilities sector. Currently, this industry holds a Zacks Industry Rank of 83, positioning it in the top 34% of all 250+ industries. The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Be sure to follow all of these stock-moving metrics, and many more, on Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Southern Company (The) (SO) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
21-06-2025
- Business
- Yahoo
Why Southern, Fidelity National Financial, And Brookfield Infrastructure Are Winners For Passive Income
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Companies with a long history of paying dividends and consistently hiking them remain appealing to income-focused investors. Southern, Fidelity National Financial, and Brookfield Infrastructure Partners have rewarded shareholders for years and recently announced dividend increases. These companies currently offer dividend yields of around 3% to 5%. The Southern Co. (NYSE:SO) is an American electric and gas utility holding company. Southern has increased its dividends every year for the last 24 years. In its most recent dividend hike announcement on April 21, it raised the quarterly payout from $0.72 to $0.74, equal to an annual figure of $2.96 per share. Currently, the dividend yield is 3.28%. Don't Miss: Maker of the $60,000 foldable home has 3 factory buildings, 600+ houses built, and big plans to solve housing — Peter Thiel turned $1,700 into $5 billion—now accredited investors are eyeing this software company with similar breakout potential. Learn how you can Southern's annual revenue as of March 31 stood at $27.85 billion. In its Q1 2025 earnings report on May 1, the company posted revenues of $7.78 billion and EPS of $1.23, both coming in above the consensus estimates. Fidelity National Financial Inc. (NYSE:FNF) provides various insurance products in the U.S. Fidelity National Financial has raised its dividends every year for the last 13 years. In its most recent dividend hike announcement on Nov. 7, the company's board increased the quarterly payout by 4% to $0.50 per share, which is equal to an annual figure of $2 per share. More recently, in its dividend announcement on May 8, the company maintained the payout at the same level. The current dividend yield is 3.62%. The company's annual revenue as of March 31 stood at $12.78 billion. In its Q1 2025 earnings report on May 7, Fidelity posted revenues of $2.73 billion and EPS of $0.78, both coming in below the consensus expectations. Check out this article by Benzinga for Fidelity's price-over-earnings overview. Trending: Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Brookfield Infrastructure Partners L.P. (NYSE:BIP) engages in the utilities, transport, midstream, and data businesses. The company has raised its dividends consecutively for the last 16 years. In its most recent dividend hike announcement on Jan. 30, its board increased the quarterly payout by 6% to $0.43 per share, equaling an annual figure of $1.72 per share. More recently, in its dividend announcement on April 30, it maintained the payout at the same level. Currently, the dividend yield on the stock stands at 5.22%. Brookfield Infrastructure Partners' annual revenue as of March 31 stood at $21.24 billion. According to its Q1 2025 earnings report on April 30, the company posted revenues of $5.39 billion, beating consensus estimates, while EPS of $0.04 missed expectations. Southern, Fidelity National Financial, and Brookfield Infrastructure Partners are good choices for investors seeking reliable passive income. Their dividend yields of around 3% to 5% and long history of consistent hikes make them attractive to income-focused investors. Check out this article by Benzinga for three more stocks offering high dividend yields. Read Next: Maximize saving for your retirement and cut down on taxes: . 'Scrolling To UBI' — Deloitte's #1 fastest-growing software company allows users to earn money on their phones. You can Image: Shutterstock This article Why Southern, Fidelity National Financial, And Brookfield Infrastructure Are Winners For Passive Income originally appeared on
CNBC
19-05-2025
- Business
- CNBC
Best stocks: 2 stocks from the aerospace defense industry on the verge of breaking out
(This is The Best Stocks in the Market , brought to you by Josh Brown and Sean Russo of Ritholtz Wealth Management.) Josh here — In today's report we're going to talk about where the strength is in this market and, just as importantly, where it isn't. Industrials are on the leaderboard in a major way this week, thanks to aerospace and defense stocks breaking out to all-time highs. Some of the names in this group are already extended technically, but we'll show you two set-ups that aren't. Utilities are another story. Earlier this year the utility trade was working beautifully thanks to a combination of its defensive characteristics, as well as continued enthusiasm for the AI trend. But the market has changed character since the April low and these stocks have now fallen out of favor. Sean is going to show you what's happening broadly and dig into the rotation a bit. Then I'll chime in with a pair of defense companies worth keeping on your radar, pun intended. Sector Leaderboard As of 5/19/2025 morning, there are 102 names on The Best Stocks in the Market list Top Sector Ranking: Top Industries: Utilities falling off The Best Stocks List Removed: Duke Energy Corp (DUK), American Water Works Co Inc (AWK), Southern Co (SO), American Electric Power Co Inc (AEP), Consolidated Edison Inc (ED) Sean: Southern Co. (SO) and four other utility firms fell off our list last week — this is why we keep a dynamic list of stocks. The market is constantly rotating, and we just saw the early innings of a shift under the surface. During the first few iterations of the Best Stocks in the Market, the utilities sector was the most populous sector on our list. On May 5th and May 12th, there were 14 utility firms on the list, making them the first and second strongest sector for those weeks, respectively. Utilities are considered a defensive sector within portfolios because they provide essential services that customers would not (or cannot) turn off. Electricity, water, gas — consumers will continue to use regardless of economic conditions. You will be ditching Netflix, your car, McDonalds, and any other discretionary items before you cut off power or water. This consistent demand results in stable revenues and predictable cash flows, which often support reliable dividend payments, and as a result, utility stocks tend to exhibit lower volatility and higher yields. During periods of market stress or economic downturns, investors will often hide out in these names while chaos occurs in the more exciting, growth-oriented sectors of the market. That's what happened earlier this year, and that's what is currently happening on our list. From the first trading day of the year through April 3rd (Liberation Day) investors had been buyers of utilities and sellers of the S & P 500: At the bottom on April 8th, on a total return basis, utilities were down 3% for 2025 while the S & P 500 was down 15%. Being defensive paid off. However, from the bottom, we have seen a lightning fast V-shaped recovery, and momentum is swinging back to the higher growth categories. Tech is up an extraordinary 30% from April 8, while consumer discretionary stocks and industrials are up 22% from that date, rounding out the top 3 best performing sectors from the bottom. Digging into tech a bit further - from the market bottom, the VanEck Semiconductor ETF (SMH) was up 36.7%, marking the best 28-day return for the SMH since inception in 2011. This is a great example of momentum and an interesting use case for keeping a list of momentum-oriented names. This list gives us a market barometer, measuring what's going on under the surface. And right now, the market is rotating out of its defensive posture. On May 13 last week, five utility sector stocks fell below their 200 day moving average, removing them from our list: AEP, AWK, DUK, ED, SO. As it stands, industrials, tech, and financials are all flashing signs of momentum, while utilities have fallen to fourth on our sector dashboard. We aren't making predictions as to where the market will go next, but we are taking note as to what's working well and what isn't, and utilities are lagging while growth-oriented areas of the market are taking their leadership back. Best Stocks in the Aerospace & Defense industry: Josh: Now let's take a look at where the strength is. As Ed Yardeni wrote this week, President Trump has gone from "Tariff Man" to "Sales Man" during his whirlwind trip through the Middle East and a major airplane order was one of the highlights. UAE's Etihad Airlines committed to buying 28 wide-body Boeing aircraft with GE engines for $14.5 billion. In the table below, a list of the Aerospace & Defense names on the Best Stocks list at the moment. GE Aerospace, Boeing and Howmet Aerospace have been on a monster run but they look overdone in the short-term, with screaming-hot RSI readings approaching 80 (most technicians consider 70 or above to be overbought). But there are two names on our list that are just now breaking out and haven't gotten as far as the others yet: Axon Enterprise (AXON) Josh: First up, a company whose products you've heard of even if you don't know the name. Axon Enterprise (AXON) is a public safety technology company headquartered in Scottsdale, Arizona, best known for its TASER conducted energy weapons, body-worn cameras, in-car video systems, and cloud-based digital evidence management platform, Axon Evidence. Their products and services are primarily sold to law enforcement agencies, federal and military organizations, corrections departments, and increasingly to private sector clients in industries like retail and logistics. During its last earnings report, Axon raised revenue guidance for the full year to between $2.6 billion and $2.7 billion thanks to strong demand for both hardware and software from its customers. Risk Management: Josh: As you can see below, this is a breakout in progress. Short-term traders would use $700 as a pivot point. Investors may want to set a stop at the top of that gap around the $600 level. A pullback on light volume could help the stock work off its slightly overbought momentum and may provide a good entry. RTX Corp (RTX) Josh: I also want to show you RTX, which is the merged company formed when Raytheon acquired United Technologies back in 2023. RTX has three core businesses — Pratt & Whitney, Collins Aerospace, and Raytheon. They sell aircraft engines, avionics, missile defense systems, satellites as well as cybersecurity solutions. RTX's customers include government defense agencies, commercial airlines and space programs. This year they're projecting 2025 revenues of up to $84.0 billion and earnings per share between $6.00 to $6.15. RTX is on the verge of breaking out. As you can see below, the $135 level had been resistance this spring but the stock is back at that high and challenging. Momentum is solid on this retest and not yet overbought. Risk Management: Josh: I like the rising 200-day at $122 as a trailing stop. I would revisit it every Friday at the close. So long as the stock stays in that uptrend on a weekly closing basis, I think you can be long. DISCLOSURES: None All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL'S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. INVESTING INVOLVES RISK. EXAMPLES OF ANALYSIS CONTAINED IN THIS ARTICLE ARE ONLY EXAMPLES. THE VIEWS AND OPINIONS EXPRESSED ARE THOSE OF THE CONTRIBUTORS AND DO NOT NECESSARILY REFLECT THE OFFICIAL POLICY OR POSITION OF RITHOLTZ WEALTH MANAGEMENT, LLC. JOSH BROWN IS THE CEO OF RITHOLTZ WEALTH MANAGEMENT AND MAY MAINTAIN A SECURITY POSITION IN THE SECURITIES DISCUSSED. ASSUMPTIONS MADE WITHIN THE ANALYSIS ARE NOT REFLECTIVE OF THE POSITION OF RITHOLTZ WEALTH MANAGEMENT, LLC" TO THE END OF OR OUR DISCLOSURE. Click here for the full disclaimer.
