SONEUTRAL

SO Return on Equity (ROE) Analysis

11.5%

Updated 987h ago·SEC filings & market data

Key Takeaway

Return on equity (ROE) measures how efficiently a company turns shareholder investment into profit, and at 11.5% means The Southern Company generates $11.50 of profit for every $100 of equity.

Sector Performance

44th percentile

SO

11.5%

Sector Median

13.2%

Sector Avg

16.4%

Prior Period

11.0%(Jul 2026)

↑ Improving
📊

Deep Analysis

Return on equity (ROE) measures how efficiently a company turns shareholder investment into profit, and at 11.5% means The Southern Company generates $11.50 of profit for every $100 of equity.

That level sits below the sector median of 13.2%, placing Southern at the 44th percentile among its peers, so slightly under half of comparable firms post higher returns. The metric is increasing, with the latest quarter up 4.5% from the prior reading of 11.0%, though a year-over-year change is not reported. This combination of below-median returns with an upward short-term trend implies a moderate risk profile: profitability trails the pack but is improving. The improvement reduces some downside concern, yet the persistent gap to the

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about SO?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

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SO

11.5%

Sector Median

13.2%

Sector Avg

16.4%

How SO's Return on Equity (ROE) compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.