The Southern Company (SO) Price Target Lowered by Analysts

The Southern Company (NYSE:SO) is included among the 14 Best Utility Dividend Stocks to Buy Now.

The Southern Company (NYSE:SO) is one of the largest producers of electricity in the United States and the largest wholesale provider in the Southeast. Together with its subsidiaries, the company delivers clean, safe, reliable, and affordable energy to its 9 million customers.

The Southern Company (NYSE:SO) received a blow on November 20 when Barclays lowered the stock’s price target from $98 to $91, but kept an ‘Equal Weight’ rating on its shares, according to a report by The Fly.

On the same day, Morgan Stanley analyst David Arcaro also lowered the firm’s price target on The Southern Company (NYSE:SO) from $99 to $97, while maintaining an ‘Equal Weight’ rating on its shares. The adjustment is a part of the analyst firm updating its price targets for Regulated & Diversified Utilities / IPPs in North America under its coverage, highlighting that utilities underperformed the wider market last month.

The Southern Company (NYSE:SO) reported its Q3 results on October 30, with its adjusted earnings of $1.6 per share topping expectations by $0.09, primarily due to the ‘continued investment in its state-regulated utilities, along with strong customer growth and increased customer usage’. However, the company’s revenue of $7.82 billion fell below estimates by around $100 million, despite a 7.5% YoY increase. SO also declared a quarterly dividend of $0.74 per share last month and currently boasts an impressive annual dividend yield of 3.32%.

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