03:25 PM EDT, 05/02/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target by $2 to $68, 17x our 2024 EPS estimate of $4.00 (down by $0.01), near peers but below SO's historical average to reflect lower utility valuations in a higher interest rate environment. We continue to see the peer-premium valuation (~20% above electric utilities median) as unjustified given the likely range of the company's EPS (~7%-8% CAGR) and dividend (~3%-4% CAGR) growth trajectories from 2023 to 2026, in our view. This compares to consensus peer medians of 6.6% and 5.6%, respectively. SO recorded Q1 EPS of $1.03 vs. $0.79, $0.13 above consensus. Weather-normalized retail electricity sales rose 1.7% Y/Y, led by 3.8% growth in commercial sales, including sales to data centers rising 12% Y/Y. Earlier this week, SO announced that Vogtle nuclear Unit 4 was fully in-service, completing the last of four units and removing a potential overhang on shares, in our view, following frequent delays and cost overruns during the construction process. Shares yield 4.2%, near peers.