Southern Company(SO) ZACKS·2024-11-19 11:35Group 1: Company Strategy and Operations - The Southern Company is reevaluating the extension of the coal-fired power plant's life in Georgia due to increasing energy demand driven by the growth of artificial intelligence and cloud computing [1] - The company had previously planned to shut down its coal-powered plants by 2028 and exit coal power generation completely by 2035, but will now extend the life of the 3,450 MW Plant Bowen coal-powered facilities [2] - The decision to extend the coal plant's life is influenced by relaxed emission norms and may allow for further extensions of the units by a decade, pending regulatory approval [3] Group 2: Environmental Goals - Despite the new strategy regarding coal plants, the Southern Company maintains its commitment to achieving net-zero emissions by 2050 [4] Group 3: Industry Trends and Competitors - Many data center companies are supporting natural gas alternatives for clean energy, with partnerships like Sharon AI and New Era Helium to power data centers [5] - The Southern Company serves approximately nine million customers through its electric and natural gas distribution units and currently holds a Zacks Rank 3 (Hold) [6] - Other utility companies with better rankings include Engie SA (Zacks Rank 2), Ameren Corporation (Zacks Rank 2), and DTE Energy Company (Zacks Rank 2), indicating potential investment opportunities [7][8][9]