The Southern Company (SO) — Free Cash Flow Yield

Utilities

The Southern Company, through its subsidiaries, engages in the sale of electricity. The company offers electric service to retail customers and wholesale customers; and energy-related products and services to natural gas choice markets. It also develops, constructs, acquires, owns, operates, and manages power generation assets, as well as battery energy storage projects; sells electricity at market-based rates in the wholesale market; and deploys microgrids for commercial, industrial, governmental, and utility customers. In addition, the company is involved in the distribution of natural gas in Illinois, Georgia, Virginia, and Tennessee; distributes energy and resilience solutions; and invests in telecommunications. The Southern Company was incorporated in 1945 and is headquartered in Atlanta, Georgia.

MetricValue
FCF Yield-2.8%
Utilities Sector Avg FCF Yield-4.3%
Annual Free Cash Flow$-2.9B
Market Cap$106.8B
P/E Ratio22.4x

The Southern Company's FCF yield of -2.8% is above the Utilities sector average (-4.3%).

Frequently Asked Questions

What is The Southern Company's (SO) free cash flow yield?

The Southern Company's (SO) free cash flow yield is -2.8%. That is above the Utilities sector average (-4.3%).

Is SO's free cash flow yield good?

At -2.8%, SO's free cash flow yield is considered weak — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.

How much free cash flow does The Southern Company generate?

The Southern Company generated $-2.9B in free cash flow, against a market cap of $106.8B.

How is free cash flow yield calculated?

Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.

Data from public filings. Not investment advice. Calculate your own FCF yield →