La Compagnie du Sud (NYSE:SO) is one of the Best Low-Risk Stocks for a Retirement Stock Portfolio.
Pixabay/Public domain
On January 23, RBC Capital analyst Stephen D’Ambrisi raised his price target on The Southern Company (NYSE: SO) from $99 to $105 and maintained a sector perform rating. The move is part of a broader note forecasting fourth-quarter results for the utilities sector. The analyst pointed out that the capital spending picture for utilities has been evolving for much of the last year and a half. With investment plans evolving more quickly than usual, several companies that typically wait until the fourth quarter to update their outlooks have instead shared early-cycle or off-cycle details on their investment plans. These disclosures prompted RBC to review and update its models within the group.
Southern Company’s operations are concentrated in the southeastern United States, although it also has wind, solar and gas assets elsewhere in the country. More than 90% of its profits come from state-regulated electric and gas utilities, keeping the business relatively stable and easy to track.
Through subsidiaries such as Alabama Power, Georgia Power and Mississippi Power, the company provides electricity and gas to customers in its service areas. Rates are set in coordination with regulators, with the goal of protecting consumers while allowing The Southern Company (NYSE: SO) to recover costs and invest in the maintenance and expansion of its infrastructure.
While we recognize SO’s potential as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for a hugely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the reshoring trend, check out our free report on the best AI stock in the short term.
READ NEXT: 15 Best S&P 500 Dividend Stocks to Buy in 2026 And 12 Most Profitable Dividend Stocks to Buy in 2026
Disclosure: None.
