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Mizuho maintains Outperform on Southern Co, sees Alabama utility bills unlikely to harm earnings.

Market News
27 Mar 2026
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Bullish
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Mizuho retains its Outperform rating on Southern Company after discussions indicated Alabama's competing utility bills (SB 360 and HB 475) will likely merge into a less restrictive single bill without the feared return on equity cap. This is significant because Alabama Power is a key earnings driver for Southern Company, and a regulatory cap could have limited its profitability. Southern Company showed strong 2025 financials, with revenue growth and steady earnings, supporting investor confidence despite legislative concerns. Investors should watch for the final Alabama bill and upcoming Q1 2026 earnings for further clarity.

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