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SO vs WEC
Which Stock Would AI Choose? Southern Company (SO) vs. WEC Energy Group (WEC) Stock Comparison
Key Takeaways
- Both SO and WEC are large-cap, regulated electric and gas utilities with defensive, dividend-paying profiles.
- Southern Company leans on faster data center-driven electricity demand in the Southeast, while WEC Energy offers a more diversified multi-state footprint with steadier growth.
- SO trades at a premium valuation with a consensus "Hold," whereas WEC carries a "Buy" consensus and a higher average price-target upside.
- Both stocks face interest-rate headwinds that pressured the utilities sector during recent quarters.
- SO has displayed stronger recent relative momentum, while WEC offers a lower beta and faster dividend growth.
Introduction
Investors evaluating regulated utilities often weigh growth potential against stability and valuation. This stock comparison examines SO (The Southern Company) and WEC (WEC Energy Group), two of the largest electric and gas utilities in the United States. Both appeal to income-focused and defensive investors, yet they differ meaningfully in geography, demand drivers, and market positioning. This analysis is relevant for traders and long-term investors assessing relative performance, sector exposure, and how each name responds to interest rates and electricity-demand trends.
SO Overview and Recent Performance
SO, The Southern Company, is an Atlanta-based utility serving roughly 9 million customers through vertically integrated electric operations in Georgia, Alabama, and Mississippi, plus natural gas distribution in four states. Its regulated footprint is concentrated in the Southeast, one of the fastest-growing economic regions in the country.
Recent market activity has been shaped by accelerating electricity demand. In its most recent quarter, Southern reported adjusted earnings of $1.13 per share, beating consensus estimates, as data center usage climbed 55% year over year. Weather-normal retail electricity sales rose 2.3% in the first half of the year, the strongest growth through June in nearly two decades. Management has contracted about 17 gigawatts of large-load demand across 31 projects, with a prospective pipeline above 75 gigawatts.
The company also announced $26.5 billion in loan agreements with the U.S. Department of Energy and raised its annualized dividend to $3.04, marking its 25th consecutive annual increase. Despite strong fundamentals, the stock trades at a forward price-to-earnings (P/E) ratio near 19.85, a premium to its utility peer group, which has tempered enthusiasm among some analysts.
WEC Overview and Recent Performance
WEC, WEC Energy Group, is headquartered in Milwaukee and provides regulated electricity and natural gas across Wisconsin, Illinois, Minnesota, and Michigan. It serves roughly 1.7 million electric customers and about 3 million natural gas customers, giving it a more diversified geographic and fuel mix than Southern.
In recent reporting, WEC delivered first-quarter earnings of $2.45 per share, exceeding consensus expectations, and reaffirmed its full-year 2026 outlook of $5.51 to $5.61 per share. The company plans roughly $37.5 billion in capital investment through 2030, which management expects to support 7% to 8% long-term earnings per share growth, including $12.6 billion for renewables and $7.4 billion for natural gas generation and storage.
WEC also raised its quarterly dividend by 6.7% to $0.9525 per share, reinforcing its reputation as a dependable income stock. The shares carry a low beta of about 0.44, indicating less volatility than the broader market. However, like most utilities, WEC has contended with interest-rate pressure, and several analysts have trimmed price targets in recent weeks even as the consensus rating remains "Buy."
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Head-to-Head Comparison
The clearest contrast between these two names lies in their growth drivers. SO is heavily leveraged to the Southeast's data center and large-load boom, which has produced outsized electricity-demand growth and meaningful earnings beats. WEC offers steadier, more diversified growth across electric and gas operations, with less concentration in any single demand catalyst.
On valuation, SO trades at a higher forward P/E multiple, reflecting stronger growth expectations, while WEC's consensus "Buy" rating and roughly 11% average price-target upside suggest analysts see more room to run. In terms of stability, WEC's lower beta and multi-state gas footprint provide a more defensive posture, whereas SO's premium valuation leaves less margin for execution missteps.
Both companies share exposure to rising interest rates, which can pressure utility valuations and financing costs. Recent sector weakness has affected both, though SO's relative performance has held up better over recent weeks. Sentiment around SO centers on electrification and artificial intelligence-driven demand, while WEC's story hinges on consistent execution and dividend growth.
Tickeron AI Verdict
Based on observable factors such as trend consistency, catalysts, and relative positioning, Tickeron's AI would likely lean toward SO in the current environment. Southern's accelerating data center load growth, consistent earnings beats, and stronger recent relative momentum suggest a more favorable short- to medium-term trend profile. That said, the verdict is probabilistic rather than definitive: WEC's lower volatility, faster dividend growth, and more balanced analyst sentiment make it a strong candidate for stability-oriented positioning. The outcome ultimately depends on how interest rates evolve and whether each company sustains its respective demand and execution momentum.
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 SO is a Buy and WEC is a Buy.
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).
WEC in upward trend: 10-day moving average moved above 50-day moving average on October 20, 2026
The 10-day moving average for WEC crossed bullishly above the 50-day moving average on October 20, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 9 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 64%.
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 WEC as a result. In 46 of 91 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 51%.
The Moving Average Convergence Divergence (MACD) for WEC just turned positive on October 02, 2026. Looking at past instances where WEC's MACD turned positive, the stock continued to rise in 25 of 44 cases over the following month. The odds of a continued upward trend are 57%.
WEC 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 +1.75% 3-day Advance, the price is estimated to grow further. Considering data from situations where WEC advanced for three days, in 151 of 319 cases, the price rose further within the following month. The odds of a continued upward trend are 47%.
Bearish Trend Analysis
The RSI Oscillator 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.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where WEC 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 42%.
WEC 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 WEC 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 32 (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 PE Growth Rating for this company is 49 (best 1 - 100 worst), pointing to consistent 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 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 54 (best 1 - 100 worst), indicating steady price growth. WEC’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is 63 (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 65 (best 1 - 100 worst) indicates that the company is fair valued 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 (2.501) is normal, around the industry mean (2.074). P/E Ratio (20.906) is within average values for comparable stocks, (14.519). Projected Growth (PEG Ratio) (1.992) is also within normal values, averaging (1.785). Dividend Yield (0.035) settles around the average of (0.052) among similar stocks. P/S Ratio (3.342) is also within normal values, averaging (187.392).
SO | WEC | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 40 | 26 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 68 Overvalued | 65 Fair valued | |
PROFIT vs RISK RATING 1..100 | 13 | 32 | |
SMR RATING 1..100 | 62 | 63 | |
PRICE GROWTH RATING 1..100 | 52 | 54 | |
P/E GROWTH RATING 1..100 | 58 | 49 | |
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.
WEC's Valuation (65) in the Electric Utilities industry is in the same range as SO (68). This means that WEC’s stock grew similarly to SO’s over the last 12 months.
SO's Profit vs Risk Rating (13) in the Electric Utilities industry is in the same range as WEC (32). This means that SO’s stock grew similarly to WEC’s over the last 12 months.
SO's SMR Rating (62) in the Electric Utilities industry is in the same range as WEC (63). This means that SO’s stock grew similarly to WEC’s over the last 12 months.
SO's Price Growth Rating (52) in the Electric Utilities industry is in the same range as WEC (54). This means that SO’s stock grew similarly to WEC’s over the last 12 months.
WEC's P/E Growth Rating (49) in the Electric Utilities industry is in the same range as SO (58). This means that WEC’s stock grew similarly to SO’s over the last 12 months.
| SO | WEC | |
|---|---|---|
| RSI ODDS (%) | 1 day ago 36% | 1 day ago 46% |
| Stochastic ODDS (%) | 1 day ago 34% | 1 day ago 44% |
| Momentum ODDS (%) | 1 day ago 57% | 1 day ago 51% |
| MACD ODDS (%) | 1 day ago 56% | 1 day ago 57% |
| TrendWeek ODDS (%) | 1 day ago 52% | 1 day ago 50% |
| TrendMonth ODDS (%) | 1 day ago 50% | 1 day ago 47% |
| Advances ODDS (%) | 9 days ago 50% | 9 days ago 47% |
| Declines ODDS (%) | 25 days ago 40% | 18 days ago 42% |
| BollingerBands ODDS (%) | 1 day ago 37% | 1 day ago 47% |
| Aroon ODDS (%) | 1 day ago 32% | 1 day ago 38% |
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).
SO’s FA Score shows that 1 FA rating(s) are green while WEC’s FA Score has 0 green FA rating(s).
- SO’s FA Score: 1 green, 4 red.
- WEC’s FA Score: 0 green, 5 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.
SO’s TA Score shows that 5 TA indicator(s) are bullish while WEC’s TA Score has 5 bullish TA indicator(s).
- SO’s TA Score: 5 bullish, 6 bearish.
- WEC’s TA Score: 5 bullish, 5 bearish.
Price Growth
SO (@Electric Utilities) experienced а +1.13% price change this week, while WEC (@Electric Utilities) price change was +1.64% 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
SO is expected to report earnings on Nov 05, 2026.
WEC is expected to report earnings on Oct 29, 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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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.
WEC and
Correlation & Price change
A.I.dvisor indicates that over the last year, WEC has been closely correlated with AEE. These tickers have moved in lockstep 86% of the time. This A.I.-generated data suggests there is a high statistical probability that if WEC jumps, then AEE could also see price increases.