Is T or SO a better dividend investment in 2026?

T currently yields 6.24% with a -8.2% 5-year dividend growth rate. SO yields 3.42% with 3.1% growth. The better choice depends on your goal: T offers higher current income, while SO is better for long-term compounding. Use the DRIP calculator above to model your specific scenario.

What is the dividend yield difference between T and SO?

T has a forward dividend yield of 6.24% (1.11/share annually). SO yields 3.42% (2.88/share annually). The yield gap is 2.82 percentage points.

How much would $10,000 in T vs SO pay in dividends per year?

With $10,000 invested: T would pay approximately $624/year in dividends. SO would pay approximately $342/year. With DRIP reinvestment over 10 years, these amounts grow substantially due to compounding.

T vs SO Dividend Comparison 2026

Q: Does T or SO pay monthly dividends?

T pays quarterly dividends. SO pays quarterly dividends. Monthly payers are preferred by investors who want regular cash flow to cover living expenses.

T dividend yield: 6.24%. SO dividend yield: 3.42%. AT&T is one of the largest telecom companies in the US. After spinning off WarnerMedia in 2022 and cutting its dividend, AT&T has stabilized its payout at $1.11/year. High yield makes it attractive for pure income investors, though dividend growth has been absent. The company is focused on debt reduction and fiber network expansion. 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.

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T vs SO: Dividend Comparison 2026

T yields 6.24% · SO yields 3.42% · See full DRIP projection below

vsEnter any two US tickers

After 10 years · $10,000 invested · DRIP enabled

🏆 SO wins by $12.6K in total portfolio value

INVESTMENT

TIME HORIZON10 years

AT&T Inc.

6.24%

Share price

$17.80

Annual div

$1.11

5Y div CAGR

-8.2%

Payout ratio

58%

After 10 yrs · $10,000 · DRIP

Portfolio value

$9.1K

Annual income

$432.01

Full T calculator →

The Southern Company

3.42%

Share price

$84.20

Annual div

$2.88

5Y div CAGR

3.1%

Payout ratio

72%

After 10 yrs · $10,000 · DRIP

Portfolio value

$21.7K

Annual income

$613.85

Full SO calculator →

Portfolio growth — T vs SO

Annual dividend income

MetricTSO

Forward yield	6.24% ✓	3.42%
Annual dividend / share	$1.11	$2.88 ✓
Payout ratio	58% ✓	72%
1-year div growth	0%	3% ✓
5-year div CAGR	-8.2%	3.1% ✓
Portfolio after 10y	$9.1K	$21.7K ✓
Annual income after 10y	$432.01	$613.85 ✓
Total dividends collected	$5.0K ✓	$4.7K
Payment frequency	quarterly	quarterly
Sector	Telecom	Utilities

Year-by-year: T vs SO ($10,000, DRIP)

Year	T Portfolio	T Income/yr	SO Portfolio	SO Income/yr	Gap
1	$9,962	$572.46	$10,833	$352.65	$871.00 → SO
2	$9,912	$557.56	$11,728	$375.81	$1.8K → SO
3	$9,850	$542.34	$12,692	$400.29	$2.8K → SO
4	$9,776	$526.88	$13,727	$426.14	$4.0K → SO
5	$9,691	$511.23	$14,839	$453.42	$5.1K → SO
6	$9,595	$495.45	$16,034	$482.21	$6.4K → SO
7	$9,489	$479.58	$17,316	$512.58	$7.8K → SO
8	$9,374	$463.69	$18,692	$544.59	$9.3K → SO
9	$9,250	$447.82	$20,167	$578.32	$10.9K → SO
10	$9,118	$432.01	$21,749	$613.85	$12.6K → SO

T vs SO: Complete Analysis 2026

T — Telecom

AT&T is one of the largest telecom companies in the US. After spinning off WarnerMedia in 2022 and cutting its dividend, AT&T has stabilized its payout at $1.11/year. High yield makes it attractive for pure income investors, though dividend growth has been absent. The company is focused on debt reduction and fiber network expansion.

Full T Calculator →

SO — Utilities

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.

Full SO Calculator →

Frequently Asked Questions

Is T or SO better for dividend income in 2026?

T currently offers a 6.24% yield (1.11/share/year) while SO offers 3.42% (2.88/share/year). T provides higher current income. However, SO has grown its dividend faster (3.1% 5Y CAGR), which may lead to better long-term income through compounding.

How much would $10,000 in T vs SO earn per year?

With $10,000 invested today: T pays approximately $624/year. SO pays approximately $342/year. With DRIP reinvestment over 10 years, these grow to $432/year (T) and $614/year (SO).

Does T or SO pay monthly dividends?

T pays quarterly dividends. SO pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.

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⚠️ Educational purposes only. Not financial advice. All projections use historical data; actual results will vary.