Jefferies has upgraded Alliant Energy from “Hold” to “Buy,” boosting its price target to \$71 after the company delivered an impressive first quarter. The Wisconsin-based utility reported earnings per share of \$0.83, handily beating the consensus estimate of \$0.69. Revenue also exceeded expectations at \$1.13 billion, reinforcing the bullish outlook.
The catalyst behind the upgrade? Strategic positioning in high-growth areas like data center expansion in Iowa, combined with clean energy initiatives boosted by the Inflation Reduction Act. These tailwinds are expected to drive above-average earnings growth, with Jefferies projecting long-term rates of 7% or more.
Jefferies also pointed to regulatory visibility in Wisconsin and Iowa as a source of strength, particularly the upcoming Wisconsin Power and Light rate case. The consistent clarity and support from regulators in Alliant’s key markets offer a stable runway for reinvestment and dividend growth.
💡 Dividend Fundamentals:
✅ Dividend Yield: 3.22%
✅ Payout Ratio: 67%
✅ Dividend Growth: Over 6% CAGR over five years
✅ Consecutive Annual Increases: 21 years
With reliable dividend performance and exposure to new infrastructure growth, Alliant Energy is emerging as a steady player with upside potential in the evolving utility landscape.