12 Best Utility Stocks to Buy According to Hedge Funds

8. The Southern Company (NYSE:SO)

Number of Hedge Fund Holders: 37

The Southern Company (NYSE:SO), headquartered in Atlanta, Georgia, is a leading provider of energy and serves approximately 9 million customers in 6 states across the southeastern United States. The company’s portfolio includes electric utilities such as Georgia Power, Alabama Power, and Mississippi Power, as well as natural gas utilities like Atlanta Gas Light. The Southern Company (NYSE:SO) generates electricity using natural gas, coal, nuclear, and renewable sources.

The Southern Company (NYSE:SO) is making significant investments in renewable energy and advanced technologies to meet the growing energy demands while reducing environmental impact. The company’s renewable portfolio includes a mix of solar, wind, and other clean energy sources. Southern Power, the company’s wholesale generation business, is continuously exploring opportunities to add new assets, whether natural gas or renewable, in response to customer demand. The Southern Company (NYSE:SO) is also at the forefront of research and development in carbon capture and sequestration technologies, operating the National Carbon Capture Center for over 50 years.

The Southern Company’s (NYSE:SO) service territories have been actively driving economic development and customer growth, which is benefiting the growth of the company. In Q3, 42 companies either established or expanded operations within the company’s service territory representing capital investments totaling approximately $2.6 billion. This momentum is particularly strong in Georgia, where Georgia Power’s potential load additions and economic development pipeline have grown to over 36 gigawatts by the mid-2030s, with 8 gigawatts already committed.