The Southern Company (SO) provides power to over 4.3 million customers. This makes it one of the largest electrical firms in the United States. It covers most of the deep south/gulf states. This hugeness though does not put it into the WML. It is put there because the good leadership qualities of Tom Fanning has pushed the electrical company from just providing power to a vibrant company that is looking into new energy sources. They have started a new nuclear power plant. When completed will provide so much cheap energy to the southern states. And hopefully will show that nuclear power is a viable option. They are the leading example of new energy right now. Southern Company has also strived to cut waste and pollution with technology. In al aspects they are leaders in changing the landscape of the electrical utilities.
The stock return has not been as spectacular as some returns but it makes it up with consistent growth and any declines made up with its dividend. It will also return consistent profits because every modern person uses electricity at some point. The states Southern operates in are growing and will therefore increase profits later. If the technological changes decrease costs for Southern, the returns will be enormous. The changes being implemented will work out because the leadership in the firms structure are pushing hard but not changing too slowly. They are keeping up with the new times, listening to customers to give them what they want. The government has approved the loan just a few days ago to build the new nuclear plant. Hopefully they can get it running quickly.
Southern Company changes with possible threats meeting them and going over the threats. They are not remaining stagnant in providing electricity but adding new technology and leading the way in new technology in utility companies. As Mr. Fanning continues his firm's direction and guidance I cannot see them failing. A good investment
Disclosure: I do not own any shares in SO. Nor do I plan on initiating a position.
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