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Reasons to Give Alliant Energy a Spot in Your Portfolio Right Now

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Key Takeaways

  • LNT's 2025 revenue estimate is pinned at $4.23 billion, implying 6.10% year-over-year growth.
  • The company plans $13.4 billion investment during 2026-2029, focusing on renewable and clean energy.
  • LNT's current dividend yield is 2.93%, and it beat earnings estimates in three of the last four quarters.

Alliant Energy Corporation (LNT - Free Report) continues to expand its portfolio with new clean energy generation assets, while infrastructure enhancements will support increasing demand in its service territories.

Let us focus on the reasons that make this Zacks Rank #2 (Buy) stock a strong investment pick in the Zacks Utility-Electric Power industry at present.

LNT’s Growth Outlook & Surprise History

The Zacks Consensus Estimate for 2025 earnings per share (EPS) is pegged at $3.22, implying year-over-year growth of 5.92%.

The Zacks Consensus Estimate for 2025 revenues is pegged at $4.23 billion, suggesting a year-over-year improvement of 6.10%.

LNT’s long-term (three to five years) earnings growth rate is 7.15%.

LNT’s earnings beat estimates in three of the trailing four quarters and missed the same in one, delivering an average surprise of 13.49%.

LNT’s Dividend History

Alliant Energy has been increasing shareholder value by steadily paying dividends. Currently, the company’s quarterly dividend is 50.75 cents per share, resulting in an annualized dividend of $2.03. LNT’s current dividend yield is 2.93%, better than the Zacks S&P 500 composite's average of 1.08%.

LNT’s Capital Investment Focus

Alliant Energy plans capital expenditures of $13.4 billion over the next four years, from 2026 to 2029, with an expected 12% rate-base CAGR during the same period.

This investment is strategically focused on strengthening the electric and gas distribution network while adding natural gas and renewable assets to the company’s generational portfolio.

Economic growth in its service areas, coupled with an expanding customer base, is driving increased demand for utility services. Infrastructure expansion will allow LNT to accommodate this growth.

LNT’s Return on Equity

Return on Equity (ROE) indicates how efficiently a company is utilizing shareholders’ funds to generate returns. At present, LNT’s ROE is 12.02%, higher than the industry average of 9.64%.

LNT’s Times Interest Earned Ratio

LNT’s times interest earned ratio (TIE) at the end of the third quarter of 2025 was 2.4. The TIE ratio is a key solvency metric that indicates how effectively a company can meet its long-term debt obligations, showing the extent to which its operating earnings are sufficient to cover interest payments.

LNT’s Share Price Performance

Over the past six months, LNT’s shares have risen 12.7%, but lagged behind the industry’s growth of 13.1%.

 

Zacks Investment Research
Image Source: Zacks Investment Research

Other Stocks to Consider

A few other top-ranked stocks from the same industry are Dominion Energy, Inc. (D - Free Report) , Edison International (EIX - Free Report) and PG&E Corporation (PCG - Free Report) , each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

D’s long-term earnings growth rate is 10.26%. The Zacks Consensus Estimate for 2025 EPS is pegged at $3.40, which suggests year-over-year growth of 22.74%. 

EIX’s long-term earnings growth rate is 10.93%. The Zacks Consensus Estimate for 2025 EPS is pegged at $6.10, which suggests year-over-year growth of 23.73%. 

PCG’s long-term earnings growth rate is 15.89%. The Zacks Consensus Estimate for 2025 EPS is pegged at $1.50, which suggests year-over-year growth of 10.29%.

 

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