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AEE vs SO
Which Stock Would AI Choose? Ameren Corporation (AEE) vs. The Southern Company (SO) Stock Comparison
Key Takeaways
- AEE is a smaller, Midwest-focused regulated utility, while SO is a larger Southeast utility holding company with a more diversified gas and unregulated power mix.
- Both companies are riding a surge in electricity demand from data centers, but SO has contracted a materially larger pipeline of large-load demand.
- AEE recently received an analyst upgrade and trades below its average price target, while SO screens more fully valued after strong earnings beats.
- Both stocks have delivered solid earnings growth, but their recent share-price momentum has diverged from underlying fundamentals.
- The comparison hinges on a trade-off between valuation and dividend visibility versus scale and demand visibility.
Introduction
Investors evaluating regulated utilities increasingly face a single question: which operators are best positioned to convert accelerating electricity demand into durable earnings growth. This stock comparison examines AEE (Ameren Corporation) and SO (The Southern Company), two prominent electric utilities at different stages of the same growth narrative. Both serve growing regions, both are expanding generation capacity to meet data center and industrial load, and both offer income-oriented investors a dividend. Yet their scale, geographic footprint, regulatory environments, and valuations differ meaningfully. For income-focused investors and traders tracking relative performance and market positioning, understanding these contrasts is essential to evaluating which name offers the more compelling risk-reward profile today.
AEE Overview and Recent Performance
Ameren Corporation (AEE) is a St. Louis-based public utility holding company serving electric and natural gas customers in Missouri and Illinois. The company is executing a multi-gigawatt generation buildout, advancing more than 5 gigawatts (GW) of new energy and capacity resources planned to enter service through 2030, alongside significant transmission investment.
Recent market activity has been mixed for AEE. The company reported first-quarter earnings that beat analyst expectations, supported by infrastructure investments across its Ameren Missouri, Illinois Electric Distribution, Illinois Natural Gas, and Transmission segments. Management reaffirmed full-year 2026 earnings per share (EPS) guidance of $5.25 to $5.45. A key catalyst has been large-load demand: Ameren has signed 2.2 GW of electric service agreements (ESAs) with data center hyperscalers and holds additional construction agreements, with further gigawatts under engineering study. Sentiment improved after a prominent sell-side upgrade to Overweight, and the stock traded below its average analyst price target in recent weeks even as its near-term price momentum cooled. A recently declared quarterly dividend of $0.75 per share underscores the company's income appeal.
SO Overview and Recent Performance
The Southern Company (SO) is one of the largest utilities in the United States, serving roughly 9 million customers through regulated electric utilities in Georgia, Alabama, and Mississippi and natural gas distribution businesses in four states. Its footprint also includes Southern Power, an unregulated wholesale generation subsidiary.
SO has delivered consecutive quarterly earnings beats, with adjusted EPS rising 7.3% in the first quarter and 22.8% in the second quarter year over year. Management now expects full-year 2026 results near or at the top of its $4.50 to $4.60 guidance range. Demand growth has been the defining theme: weather-normalized retail electricity sales posted their strongest half-year growth in nearly two decades, and data center usage surged more than 40% year over year. The company reports more than 17 GW of contracted large-load demand and a prospective pipeline exceeding 75 GW. Notably, Southern secured $26.5 billion in U.S. Department of Energy (DOE) loan agreements, expected to generate substantial long-term customer savings, and raised its dividend for a 25th consecutive year. Despite this strength, the stock trades at a premium valuation, and its share price has pulled back from earlier highs.
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Head-to-Head Comparison
Although both are regulated utilities benefiting from rising electricity demand, AEE and SO differ sharply in scale and structure. SO is a far larger, more diversified operator with a roughly $95 billion market capitalization, a gas distribution business, and unregulated Southern Power exposure, whereas AEE is a concentrated two-state electric and gas utility with a smaller footprint.
On growth drivers, SO holds the larger contracted data center backlog and a broader economic base in the fast-growing Southeast. AEE offers a more focused transmission and generation story concentrated in Missouri and Illinois, where its ESG-driven buildout and ESA conversions provide a clearer near-term catalyst. On valuation, AEE trades below its average analyst price target after a recent upgrade, while SO carries a premium multiple that leaves less margin for execution missteps. Risk profiles also differ: SO faces scrutiny over affordability and potential stranded generation, while AEE is more sensitive to data center buildout timing and Illinois regulatory outcomes.
Tickeron AI Verdict
Based on observable factors, Tickeron's AI would likely lean toward AEE in the current environment. The stock exhibits a clearer relative setup: an upward analyst revision, a price trading below consensus targets, and a defined catalyst path tied to ESA conversions and a multi-year generation and transmission investment cycle. While SO demonstrates stronger demand visibility and a longer dividend-growth track record, its premium valuation and recent share-price softness suggest a less favorable risk-reward for new positioning at present. This assessment is probabilistic rather than definitive; relative performance could shift quickly with changes in regulatory outcomes, load-contract timing, or broader interest-rate dynamics.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is AEE is a Buy and SO is a Buy.
AEE in upward trend: 10-day moving average moved above 50-day moving average on October 21, 2026
The 10-day moving average for AEE crossed bullishly above the 50-day moving average on October 21, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 11 of 17 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 65%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 06, 2026. You may want to consider a long position or call options on AEE as a result. In 53 of 100 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 53%.
The Moving Average Convergence Divergence (MACD) for AEE just turned positive on October 06, 2026. Looking at past instances where AEE's MACD turned positive, the stock continued to rise in 26 of 48 cases over the following month. The odds of a continued upward trend are 54%.
AEE moved above its 50-day moving average on October 20, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a +2.55% 3-day Advance, the price is estimated to grow further. Considering data from situations where AEE advanced for three days, in 155 of 327 cases, the price rose further within the following month. The odds of a continued upward trend are 47%.
Bearish Trend Analysis
The RSI Indicator demonstrated that the stock has entered the overbought zone. This may point to a price pull-back soon.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 11 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The 50-day moving average for AEE moved below the 200-day moving average on September 29, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where AEE declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 38%.
AEE broke above its upper Bollinger Band on October 22, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for AEE entered a downward trend on October 12, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 29 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 52, placing this stock better than average.
The Tickeron Seasonality Score of 50 (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 51 (best 1 - 100 worst), indicating steady price growth. AEE’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 64 (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 64 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 78 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.154) is normal, around the industry mean (2.074). P/E Ratio (18.615) is within average values for comparable stocks, (14.519). Projected Growth (PEG Ratio) (2.457) is also within normal values, averaging (1.785). Dividend Yield (0.028) settles around the average of (0.052) among similar stocks. P/S Ratio (3.248) is also within normal values, averaging (187.392).
SO in upward trend: 10-day moving average moved above 50-day moving average on October 19, 2026
The 10-day moving average for SO crossed bullishly above the 50-day moving average on October 19, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 10 of 14 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 71%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 06, 2026. You may want to consider a long position or call options on SO as a result. In 52 of 92 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 57%.
The Moving Average Convergence Divergence (MACD) for SO just turned positive on October 02, 2026. Looking at past instances where SO's MACD turned positive, the stock continued to rise in 22 of 39 cases over the following month. The odds of a continued upward trend are 56%.
SO moved above its 50-day moving average on October 13, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a +2.69% 3-day Advance, the price is estimated to grow further. Considering data from situations where SO advanced for three days, in 164 of 330 cases, the price rose further within the following month. The odds of a continued upward trend are 50%.
Bearish Trend Analysis
The RSI Indicator demonstrated that the stock has entered the overbought zone. This may point to a price pull-back soon.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 11 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The 50-day moving average for SO moved below the 200-day moving average on September 22, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where SO declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 40%.
SO broke above its upper Bollinger Band on October 22, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for SO entered a downward trend on October 08, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is 13 (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 52, placing this stock better than average.
The Tickeron Price Growth Rating for this company is 52 (best 1 - 100 worst), indicating steady price growth. SO’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 58 (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 62 (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of 68 (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.628) is normal, around the industry mean (2.074). P/E Ratio (21.676) is within average values for comparable stocks, (14.519). Projected Growth (PEG Ratio) (1.946) is also within normal values, averaging (1.785). Dividend Yield (0.034) settles around the average of (0.052) among similar stocks. P/S Ratio (3.207) is also within normal values, averaging (187.392).
AEE | SO | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 43 | 40 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 78 Overvalued | 68 Overvalued | |
PROFIT vs RISK RATING 1..100 | 29 | 13 | |
SMR RATING 1..100 | 64 | 62 | |
PRICE GROWTH RATING 1..100 | 51 | 52 | |
P/E GROWTH RATING 1..100 | 64 | 58 | |
SEASONALITY SCORE 1..100 | 50 | 50 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
SO's Valuation (68) in the Electric Utilities industry is in the same range as AEE (78). This means that SO’s stock grew similarly to AEE’s over the last 12 months.
SO's Profit vs Risk Rating (13) in the Electric Utilities industry is in the same range as AEE (29). This means that SO’s stock grew similarly to AEE’s over the last 12 months.
SO's SMR Rating (62) in the Electric Utilities industry is in the same range as AEE (64). This means that SO’s stock grew similarly to AEE’s over the last 12 months.
AEE's Price Growth Rating (51) in the Electric Utilities industry is in the same range as SO (52). This means that AEE’s stock grew similarly to SO’s over the last 12 months.
SO's P/E Growth Rating (58) in the Electric Utilities industry is in the same range as AEE (64). This means that SO’s stock grew similarly to AEE’s over the last 12 months.
| AEE | SO | |
|---|---|---|
| RSI ODDS (%) | 1 day ago 32% | 1 day ago 36% |
| Stochastic ODDS (%) | 1 day ago 43% | 1 day ago 34% |
| Momentum ODDS (%) | 1 day ago 53% | 1 day ago 57% |
| MACD ODDS (%) | 1 day ago 54% | 1 day ago 56% |
| TrendWeek ODDS (%) | 1 day ago 50% | 1 day ago 52% |
| TrendMonth ODDS (%) | 1 day ago 47% | 1 day ago 50% |
| Advances ODDS (%) | 1 day ago 47% | 9 days ago 50% |
| Declines ODDS (%) | 29 days ago 38% | 25 days ago 40% |
| BollingerBands ODDS (%) | 1 day ago 34% | 1 day ago 37% |
| Aroon ODDS (%) | 1 day ago 47% | 1 day ago 32% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
AEE’s FA Score shows that 1 FA rating(s) are green while SO’s FA Score has 1 green FA rating(s).
- AEE’s FA Score: 1 green, 4 red.
- SO’s FA Score: 1 green, 4 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
AEE’s TA Score shows that 5 TA indicator(s) are bullish while SO’s TA Score has 5 bullish TA indicator(s).
- AEE’s TA Score: 5 bullish, 6 bearish.
- SO’s TA Score: 5 bullish, 6 bearish.
Price Growth
AEE (@Electric Utilities) experienced а +1.82% price change this week, while SO (@Electric Utilities) price change was +1.13% for the same time period.
The average weekly price growth across all stocks in the @Electric Utilities industry was +1.30%. For the same industry, the average monthly price growth was +1.40%, and the average quarterly price growth was -9.42%.
Reported Earning Dates
AEE is expected to report earnings on Nov 05, 2026.
SO is expected to report earnings on Nov 05, 2026.
Industries' Descriptions
@Electric Utilities (+1.30% weekly)Electric utilities companies generate, transmit and distribute electricity to businesses/offices and residences. Companies may be owned by the government or investors or public shareholders, or a combination thereof. The industry also includes firms that buy and sell electricity. Companies in this industry typically require significant investments in infrastructure. Many firms in this industry pay substantial and regular dividends to shareholders. However, changes in interest rates (and their impact on debt burdens), natural disasters and changing commodity prices could be factors affecting energy utilities’ profit margins. NextEra Energy, Inc., Duke Energy Corporation, Dominion Energy Inc. and Southern Company are among U.S. electric utilities companies with the largest market capitalizations.
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AEE and
Correlation & Price change
A.I.dvisor indicates that over the last year, AEE has been closely correlated with WEC. These tickers have moved in lockstep 87% of the time. This A.I.-generated data suggests there is a high statistical probability that if AEE jumps, then WEC could also see price increases.
SO and
Correlation & Price change
A.I.dvisor indicates that over the last year, SO has been closely correlated with DUK. These tickers have moved in lockstep 86% of the time. This A.I.-generated data suggests there is a high statistical probability that if SO jumps, then DUK could also see price increases.