Southern (SO) Declares $0.70 Dividend

Southern said on July 17, 2023 that its board of directors declared a regular quarterly dividend of $0.70 per share ($2.80 annualized). Previously, the company paid $0.70 per share.

Shares must be purchased before the ex-div date of August 18, 2023 to qualify for the dividend. Shareholders of record as of August 21, 2023 will receive the payment on September 6, 2023.

At the current share price of $73.06 / share, the stock's dividend yield is 3.83%.

Looking back five years and taking a sample every week, the average dividend yield has been 4.28%, the lowest has been 3.39%, and the highest has been 5.74%. The standard deviation of yields is 0.50 (n=236).

The current dividend yield is 0.89 standard deviations below the historical average.

Additionally, the company's dividend payout ratio is 0.88. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company's 3-Year dividend growth rate is 0.06%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 2522 funds or institutions reporting positions in Southern. This is a decrease of 113 owner(s) or 4.29% in the last quarter. Average portfolio weight of all funds dedicated to SO is 0.40%, an increase of 20.28%. Total shares owned by institutions increased in the last three months by 0.77% to 787,444K shares. The put/call ratio of SO is 0.43, indicating a bullish outlook.

Analyst Price Forecast Suggests 2.61% Upside

As of July 6, 2023, the average one-year price target for Southern is 74.97. The forecasts range from a low of 60.60 to a high of $84.00. The average price target represents an increase of 2.61% from its latest reported closing price of 73.06.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Southern is 26,553MM, a decrease of 8.79%. The projected annual non-GAAP EPS is 3.88.

What are Other Shareholders Doing?

Price T Rowe Associates holds 61,473K shares representing 5.64% ownership of the company. In it's prior filing, the firm reported owning 60,189K shares, representing an increase of 2.09%. The firm decreased its portfolio allocation in SO by 7.39% over the last quarter.

VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 33,717K shares representing 3.09% ownership of the company. In it's prior filing, the firm reported owning 33,098K shares, representing an increase of 1.84%. The firm decreased its portfolio allocation in SO by 8.35% over the last quarter.

Massachusetts Financial Services holds 27,377K shares representing 2.51% ownership of the company. In it's prior filing, the firm reported owning 26,559K shares, representing an increase of 2.99%. The firm decreased its portfolio allocation in SO by 1.53% over the last quarter.

VFINX - Vanguard 500 Index Fund Investor Shares holds 25,403K shares representing 2.33% ownership of the company. In it's prior filing, the firm reported owning 25,167K shares, representing an increase of 0.93%. The firm decreased its portfolio allocation in SO by 8.79% over the last quarter.

Geode Capital Management holds 19,364K shares representing 1.78% ownership of the company. In it's prior filing, the firm reported owning 19,514K shares, representing a decrease of 0.78%. The firm decreased its portfolio allocation in SO by 10.79% over the last quarter.

Southern Background Information
(This description is provided by the company.)

Southern Company brings energy to homes and businesses across the country. The company mades its name as a leading producer of clean, safe, reliable and affordable energy, and it approaches each day as a vital step in building the future of energy. It's always looking ahead, and innovations in the industry—from new nuclear to deployment of electric transportation and renewables —helps brighten the lives and businesses of millions of customers nationwide.

Additional reading:

• THE SOUTHERN COMPANY COMPUTERSHARE TRUST COMPANY, N.A., TWENTY-EIGHTH SUPPLEMENTAL INDENTURE DATED AS OF MAY 18, 2023 SERIES 2023B 4.85% SENIOR NOTES DUE JUNE 15, 2028 TABLE OF CONTENTS1
• THE SOUTHERN COMPANY COMPUTERSHARE TRUST COMPANY, N.A., TWENTY-NINTH SUPPLEMENTAL INDENTURE DATED AS OF MAY 18, 2023 SERIES 2023C 5.20% SENIOR NOTES DUE JUNE 15, 2033 TABLE OF CONTENTS1
• May 18, 2023
• May 18, 2023
• Power of Attorney of Moses H. Feagin.

This story originally appeared on Fintel.