Alliant is still the better pick

Article Excerpt

These two utilities continue to invest in new projects, particularly renewable power facilities, as they phase out their coal-fired plants. Those new assets should continue to drive their earnings and dividends. However, we still prefer Alliant due to its lower reliance on coal. ALLIANT ENERGY CORP. $61 is a buy. This utility (Nasdaq symbol LNT; Income Portfolio, Utilities sector; Shares outstanding: 256.9 million; Market cap: $15.7 billion; Price-to-sales ratio: 3.9; Dividend yield: 3.1%; TSINetwork Rating: Average; www.alliantenergy.com) sells power and natural gas to 1.43 million customers in Wisconsin and Iowa. In the three months ended March 31, 2025, Alliant’s revenue rose an impressive 9.4%, to $1.13 billion from $1.03 billion a year earlier. That’s mainly due to the start-up of new projects and higher demand for power and gas due to colder-than-usual weather. Thanks to the higher revenue and a lower income tax bill, earnings improved 33.9%, to $0.83 a share (or a total of $213 million) from $0.62 a share (or $158 million). Alliant…