Is Alliant Energy’s (LNT) 2026 Dividend Target Hike Reframing Its Long-Term Growth Story?

Alliant Energy Corporation recently reported third quarter 2025 results, updated its earnings outlook for 2025 and 2026, and raised its 2026 dividend target to US$2.14 per share. While quarterly net income saw a modest year-over-year decline, ongoing earnings expectations and an increased dividend target reflect confidence in continued long-term earnings growth. We’ll now examine how Alliant Energy’s updated earnings guidance for 2026 shapes the company’s overall investment narrative.

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Alliant Energy Investment Narrative Recap

For shareholders, the core investment thesis centers on Alliant Energy’s ability to deliver steady earnings growth from rising power demand, especially via the onboarding of new large-scale data center loads in its Midwest footprint. The company’s recent third quarter results and modestly raised 2026 earnings guidance do not materially alter the primary short-term catalyst, the timing and scale of data center projects, nor do they mitigate the largest risk, which remains potential delays or cancellations impacting load growth.

Among recent announcements, the updated 2026 earnings outlook is most relevant: Alliant Energy now forecasts ongoing EPS of US$3.36 to US$3.46, suggesting measured confidence in its pipeline of growth projects. This guidance gives shareholders better visibility into near-term profit expectations, serving as a reference point amid continued investments and load expansion activity.

However, with this optimism comes the need for caution, since any meaningful delay in onboarding major data center projects could quickly challenge the company’s growth trajectory and is something investors should be aware of if...

Read the full narrative on Alliant Energy (it's free!)

Alliant Energy's outlook forecasts $4.9 billion in revenue and $1.1 billion in earnings by 2028. This requires annual revenue growth of 5.4% and an earnings increase of $268 million from the current $832 million.

Uncover how Alliant Energy's forecasts yield a $70.90 fair value, a 5% upside to its current price.

Exploring Other PerspectivesLNT Earnings & Revenue Growth as at Nov 2025

The Simply Wall St Community submitted two fair value estimates for Alliant Energy, ranging widely from US$61.05 to US$70.90 per share. While many see promise in the company’s major data center load pipeline, these diverse views highlight how outcomes could change if anticipated project execution faces setbacks.

Story Continues

Explore 2 other fair value estimates on Alliant Energy - why the stock might be worth 9% less than the current price!

Build Your Own Alliant Energy Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

A great starting point for your Alliant Energy research is our analysis highlighting 2 key rewards and 2 important warning signs that could impact your investment decision. Our free Alliant Energy research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Alliant Energy's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include LNT.

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