Jennison Associates LLC Reduces Holdings in Southern Company (The) $SO

Key Points

• Jennison Associates LLC cut its stake in Southern Company by 10.3%$139.19 million (≈0.14% ownership).
• Southern beat Q1 expectations, reporting adjusted EPS of $1.32 (vs. $1.22 est.) and revenue of $8.40B, with strong margins and analysts projecting roughly $4.58 EPS for the year.
• The company raised its quarterly dividend to $0.76 (annualized $3.04, ~3.2% yield; record date May 18, pay date June 8), while insiders including the CEO and an EVP executed equity sales that reduced their holdings.

Jennison Associates LLC decreased its position in shares of Southern Company (The) (NYSE:SO - Free Report) by 10.3% during the 4th quarter, according to the company in its most recent disclosure with the SEC. The fund owned 1,596,263 shares of the utilities provider's stock after selling 182,940 shares during the quarter. Jennison Associates LLC owned approximately 0.14% of Southern worth $139,194,000 as of its most recent filing with the SEC.

Several other hedge funds also recently made changes to their positions in SO. Empowered Funds LLC grew its holdings in shares of Southern by 17.5% during the first quarter. Empowered Funds LLC now owns 34,003 shares of the utilities provider's stock worth $3,127,000 after purchasing an additional 5,067 shares during the last quarter. Schnieders Capital Management LLC. grew its holdings in shares of Southern by 0.7% during the second quarter. Schnieders Capital Management LLC. now owns 59,217 shares of the utilities provider's stock worth $5,438,000 after purchasing an additional 393 shares during the last quarter. WINTON GROUP Ltd purchased a new position in shares of Southern during the second quarter worth about $655,000. Sei Investments Co. grew its holdings in shares of Southern by 11.5% during the second quarter. Sei Investments Co. now owns 449,960 shares of the utilities provider's stock worth $41,320,000 after purchasing an additional 46,504 shares during the last quarter. Finally, Treasurer of the State of North Carolina grew its holdings in shares of Southern by 2.7% during the second quarter. Treasurer of the State of North Carolina now owns 514,736 shares of the utilities provider's stock worth $47,268,000 after purchasing an additional 13,392 shares during the last quarter. Hedge funds and other institutional investors own 64.10% of the company's stock.

Southern Price Performance

Shares of NYSE:SO opened at $95.43 on Thursday. The company has a quick ratio of 0.47, a current ratio of 0.65 and a debt-to-equity ratio of 1.69. The company has a market cap of $107.68 billion, a P/E ratio of 24.29, a PEG ratio of 2.83 and a beta of 0.41. Southern Company has a 52 week low of $83.09 and a 52 week high of $100.83. The company has a 50-day moving average price of $95.86 and a 200 day moving average price of $92.09.

Southern (NYSE:SO - Get Free Report) last issued its earnings results on Wednesday, April 29th. The utilities provider reported $1.32 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.22 by $0.10. Southern had a net margin of 14.69% and a return on equity of 12.52%. The company had revenue of $8.40 billion during the quarter, compared to analysts' expectations of $8.26 billion. During the same period last year, the company posted $1.23 earnings per share. The firm's quarterly revenue was up 8.0% compared to the same quarter last year. Research analysts predict that Southern Company will post 4.58 earnings per share for the current year.

Southern Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, June 8th. Shareholders of record on Monday, May 18th will be issued a $0.76 dividend. This represents a $3.04 dividend on an annualized basis and a yield of 3.2%. This is a boost from Southern's previous quarterly dividend of $0.74. The ex-dividend date of this dividend is Monday, May 18th. Southern's dividend payout ratio is 75.32%.

Insider Transactions at Southern

In other Southern news, EVP Christopher Cummiskey sold 6,669 shares of the stock in a transaction dated Thursday, March 19th. The shares were sold at an average price of $96.55, for a total value of $643,891.95. Following the completion of the transaction, the executive vice president directly owned 30,800 shares of the company's stock, valued at approximately $2,973,740. This trade represents a 17.80% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CEO Kimberly S. Greene sold 25,000 shares of the stock in a transaction dated Monday, March 30th. The shares were sold at an average price of $96.67, for a total transaction of $2,416,750.00. Following the completion of the transaction, the chief executive officer directly owned 103,602 shares of the company's stock, valued at approximately $10,015,205.34. This trade represents a 19.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.16% of the company's stock.

Analysts Set New Price Targets

Several equities analysts have issued reports on the company. BMO Capital Markets reaffirmed an "outperform" rating on shares of Southern in a report on Friday, February 20th. Weiss Ratings reiterated a "buy (b)" rating on shares of Southern in a research note on Wednesday, January 21st. Evercore upgraded shares of Southern from an "in-line" rating to an "outperform" rating and set a $111.00 target price for the company in a research note on Thursday, March 5th. Royal Bank Of Canada reiterated a "sector perform" rating and set a $105.00 target price on shares of Southern in a research note on Friday, January 23rd. Finally, Wells Fargo & Company set a $96.00 target price on shares of Southern and gave the stock an "equal weight" rating in a research note on Friday, February 20th. Seven equities research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat.com, Southern currently has a consensus rating of "Hold" and an average target price of $99.08.

Key Southern News

Here are the key news stories impacting Southern this week:

• Positive Sentiment: Q1 results beat expectations: Southern reported adjusted Q1 EPS of $1.32 (GAAP $1.21) and revenue of $8.40B, topping consensus; management cited higher power demand as a driver. This beat and the demand pickup are supportive for earnings and cash flow. Article Title
• Positive Sentiment: Company press release confirms the beat: Southern reported $1.4B GAAP net income and $1.5B excluding certain items (adjusted $1.32/share), reinforcing the Reuters/market beat. Strong net margin (~14.7%) and ROE support fundamentals. Article Title
• Positive Sentiment: Analyst lift / favorable coverage: Erste Group nudged FY2026 EPS estimates slightly higher (to $4.57) and Wells Fargo recently raised its price target, signaling incremental analyst support for the stock’s valuation and outlook.
• Neutral Sentiment: Longer-term guidance in line: Southern provided FY2028 EPS guidance of $5.25–$5.45, which brackets the consensus and suggests management expects multi‑year earnings growth consistent with expectations.
• Neutral Sentiment: Sector note — utilities ETF context: Broader commentary on the Utilities Select Sector ETF (XLU) is available for investors considering sector exposure, but it’s not company-specific. Article Title
• Negative Sentiment: FY2026 guidance slightly conservative vs. consensus: Southern updated FY2026 EPS guidance to $4.50–$4.60 versus the $4.57 consensus — the midpoint is a touch below some estimates, which can temper near‑term upside expectations.
• Negative Sentiment: Q2 guide misses by a hair: Q2 EPS guidance was set at $1.00, below the ~$1.02 consensus. While small, this miss could prompt short‑term caution among traders focused on quarterly beats.
• Positive Sentiment: Investor commentary: Recent writeups highlight Southern’s strong profitability among renewable/utility peers and incremental analyst target raises, supporting investor interest in the name. Article Title

About Southern

Southern Company NYSE: SO is an Atlanta-based energy holding company that provides electric and gas utility services and owns power generation assets across the United States. Founded in 1945, the company operates a portfolio of regulated electric utilities and affiliated businesses that generate, transmit and distribute electricity to residential, commercial and industrial customers.

Southern's principal regulated electric subsidiaries include Georgia Power, Alabama Power and Mississippi Power, which serve large portions of the southeastern United States.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.