Morgan Stanley raised its price target on The Southern Company from $87 to $89 while maintaining an Underweight rating. The new target still implies a downside of more than 8% from the current share price. The adjustment came as part of the firm's monthly update for North American Regulated and Diversified Utilities and IPPs, noting the overall utilities sector fell 5.5% in May, underperforming the S&P 500's roughly 5.1% gain. Southern Company has paid a quarterly dividend for 79 consecutive years and increased payouts for 25 straight years, with a current annual dividend yield of 3.13%.
Southern CompanyMorgan Stanley maintains Underweight rating and price target implies >8% downside