About The Southern Company (SO) — Dividend Analysis 2026
Southern Company is a Dividend Aristocrat with 23+ consecutive years of increases. It serves 9M+ customers across Georgia, Alabama, and Mississippi through its regulated electric and gas utilities. Vogtle Unit 4 nuclear plant completion in 2024 adds decades of low-carbon baseload generation capacity.
Is SO a good dividend investment in 2026?
SO offers a 3.42% forward yield with a 72% payout ratio. With a safety score of 85/100, the dividend appears very safe. The 5-year dividend CAGR of 3.1% is modest — investors should weigh current income against growth alternatives.
SO DRIP calculator — what's the difference?
With DRIP on a $10,000 investment over 10 years, your SO portfolio grows to $21.7K vs $20.0K without reinvestment — a DRIP bonus of $1.7K. This is the compound interest effect in action.
SO dividend growth history & forecast
SO has grown its dividend by 3% over the last year and 3.1% annually over 5 years. At this pace, an investor who holds for 10+ years will see their yield on cost grow substantially above the current 3.42% — illustrating why dividend growth stocks are powerful long-term wealth builders.
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🌍 SO Yield by Country & Account Type
Real after-tax yield depends on where you live and how you hold SO.
Gross yield
3.42%
Tax rate
15.00%
After-tax yield
2.91%
Real yield (−CPI)
0.11%
Account/Country
Tax Rate
After-tax Yield
Real Yield
$10K Annual Income
🇺🇸 Roth IRA / 401k
0%
3.42%
0.62%
$342 / yr
🇺🇸 US Taxable (15%) ✓
15%
2.91%
0.11%
$291 / yr
🇺🇸 US Taxable (20%)
20%
2.74%
-0.06%
$274 / yr
🇬🇧 UK ISA
0%
3.42%
0.62%
$342 / yr
🇬🇧 UK Taxable
8.75%
3.12%
0.32%
$312 / yr
🇨🇦 TFSA
0%
3.42%
0.62%
$342 / yr
🇨🇦 CA Taxable
25%
2.56%
-0.23%
$257 / yr
🇦🇺 Super (pension)
15%
2.91%
0.11%
$291 / yr
🇦🇺 AU Taxable
30%
2.39%
-0.41%
$239 / yr
🇩🇪 DE Taxable
26.375%
2.52%
-0.28%
$252 / yr
🇫🇷 FR Taxable
30%
2.39%
-0.41%
$239 / yr
Real yield = after-tax yield minus US CPI of 2.8%. Click any row to select. US withholding tax (30%, reducible by treaty) applies to non-US residents holding US stocks in taxable accounts.
🎯 SO Income Goal & Break-Even
Dividend Break-Even
24yr
Years for dividends to repay your full SO investment price of $84.20/share (🇺🇸 US Taxable (15%) · 15.00% tax)
$10K invested · 10 Years
Dividends earned (DRIP)
$3.9K
Lost to inflation (~2.8% CPI)
−$2.5K
Real purchasing power gain
$1.5K
How much do I need to invest in SO for:
Shares needed
9,804
Capital required
$825,497
Monthly income
$2,000
Based on current dividend of $2.88/share/yr · 🇺🇸 US Taxable (15%) · static projection (no growth assumed).
📅 SO Dividend Payment Schedule
SO pays quarterly — 4 times per year. Next ex-div: Feb 6, 2026.
Jan
Feb
💰
Mar
Apr
May
💰
Jun
Jul
Aug
💰
Sep
Oct
Nov
💰
Dec
10 shares
$6.12 / payment
$24.48 / year after tax
100 shares
$61.20 / payment
$244.80 / year after tax
1,000 shares
$612.00 / payment
$2448.00 / year after tax
📊 SO vs Utilities Sector Benchmarks
How SO compares to typical Utilities sector averages.
Dividend YieldSO: +3.42% vs sector avg 3.80% ↓ Below avg
Payout RatioSO: 72.00% vs sector avg 68.00% ↓ Below avg
SO━━ Utilities avg: 68.00%
⚠️ Disclaimer: All projections are for educational purposes only. Dividend payments, stock prices, and growth rates are estimates based on historical data. Past performance does not guarantee future results. This is not financial advice — consult a qualified financial professional before investing. Data sourced from public financial records and updated regularly.