The Southern Company (NYSE:SO) Stock Position Lessened by Planning Capital Management Corp
Planning Capital Management Corp has reduced its stake in The Southern Company (NYSE:SO) by 15.6% during the third quarter, according to a recent filing with the Securities and Exchange Commission (SEC). After selling 8,365 shares in the quarter, the fund still held 45,325 shares of the utilities provider’s stock. Southern represents 2.7% of Planning Capital Management Corp’s investment holdings, making it the fund’s 10th largest position. As of the most recent SEC filing, Planning Capital Management Corp’s holdings in Southern were valued at $4,087,000.
Various other large-scale investors have also been active in buying and selling shares of Southern. Notably, Vanguard Group Inc. increased its stake in Southern by 0.5% in the first quarter. After acquiring an additional 481,071 shares, Vanguard Group Inc. now controls 100,089,634 shares valued at $7,180,430,000. Capital International Investors also increased its stake by 45.9% in the first quarter, acquiring 7,550,570 additional shares, resulting in a total ownership of 23,994,733 shares valued at $1,721,382,000. Similarly, Raymond James & Associates expanded its holdings by 5.7% in the third quarter, owning shares worth $245,113,000 after acquiring an additional 145,810 shares.
In terms of stock performance, shares of Southern opened at $87.50 on Thursday. The Southern Company’s stock has experienced a twelve-month low of $65.80 and a high of $94.45. Its current market capitalization stands at $95.87 billion. The stock has a price-to-earnings ratio of 20.35, a PEG ratio of 3.12, and a beta of 0.52. Southern’s 50-day moving average price is $89.91, and its 200-day moving average price is $84.12. The company’s current ratio is 0.91, its quick ratio is 0.66, and it has a debt-to-equity ratio of 1.66.
Southern last released its quarterly earnings data on October 31, with an earnings report of $1.43 per share for the quarter, surpassing analysts’ consensus expectations of $1.33 by $0.10. The company reported revenue of $7.27 billion, exceeding analyst estimates of $7.14 billion. Southern’s net margin sits at 17.87%, and its return on equity stands at 12.78%. In the corresponding quarter of the previous year, Southern had posted earnings of $1.42 per share. Analysts predict that The Southern Company will achieve earnings of 4.04 per share for the current fiscal year.
The company recently declared a quarterly dividend, scheduled for payment on December 6. Shareholders on record as of November 18 will receive a dividend of $0.72, representing an annualized payout of $2.88 and yielding 3.29%. Currently, Southern’s payout ratio is 66.98%.
Within the firm, CEO James Y. Kerr II and Executive Vice President Bryan D. Anderson have sold shares of the company. Kerr sold 30,000 shares, valued at $2,689,200, on October 4, while Anderson sold 6,565 shares for $587,830.10 in early September. Despite these transactions, insider ownership remains at 0.18% of the company’s stock.
Several brokerages have recently published reports on Southern. Scotiabank increased their target price from $87.00 to $96.00, assigning a “sector outperform” rating. UBS Group also revised its target price from $90.00 to $91.00, issuing a “neutral” rating. Morgan Stanley raised its price target to $82.00, giving the stock an “equal weight” rating. Conversely, Mizuho downgraded its rating from “outperform” to “neutral,” setting the price objective at $90.00. Wolfe Research similarly revised its rating to “peer perform,” indicating a shift in analyst sentiment regarding the stock.
The Southern Company engages in the generation, transmission, and distribution of electricity through its subsidiaries. It also develops, constructs, and manages power generation assets, including those related to renewable energy, and sells electricity in the wholesale market. Additionally, Southern provides natural gas distribution in regions such as Illinois, Georgia, Virginia, and Tennessee, along with offering gas marketing services, distribution operations, and investments in gas pipeline operations.
