Can Customer Growth Support Alliant Energy's Long-Term Growth?

LNT's expanding customer base, rising utility demand and $13.4B investment plan support long-term revenues and earnings growth through 2029.

Zacks Equity Research

2 min read

Alliant Energy’s LNT earnings prospects are supported by ongoing additions to electric and natural gas customer volumes. Its geographic footprint and regulatory tools support new wind and gas resources tied to load growth. A broader customer base also strengthens demand growth, helping offset fluctuations in usage and supporting long-term revenue expansion.

The company’s diversified customer base provides greater revenue stability by reducing its reliance on any single customer segment. In the second quarter of 2026, Alliant Energy reported 1,011,128 electric customers, up 0.69% from 1,004,242 a year earlier, while natural gas customers increased 0.47% to 432,892 from 430,859. This continued customer expansion can support higher utility sales and strengthen the company’s regulated revenue base over time. The company expects 60% load growth by 2031, with large customer demand projected to begin materializing in 2026, supporting a multi-year expansion in electricity consumption.

The growth opportunity is also supported by Alliant Energy’s strategic investment program. The company plans nearly $13.4 billion in capital investments through 2029. These investments are aimed at supporting economic development, customer growth and rising energy demand.

Alliant Energy expects 2026 ongoing earnings per share (EPS) of $3.36-$3.46 and long-term EPS growth of 5-7% through 2029, supported by increasing capital investments and rising utility demand. Therefore, stronger customer growth can support Alliant Energy’s investment plans by increasing electricity and gas demand and helping expand its rate base.

Growing Customer Base Drives Utility Growth

A steadily expanding customer base creates fresh demand for utility services, supporting revenues and earnings. Along with LNT, other utilities also witness continued customer expansion, as discussed below:

NextEra Energy’s NEE Florida Power & Light unit added more than 90,000 average customers year over year in the second quarter of 2026, while weather-normalized retail sales rose 0.6%, driven primarily by population growth and supporting continued capital investment and earnings growth.

Xcel Energy XEL reported 0.7% year-over-year growth in both its electric and natural gas customer bases in second-quarter 2026.

The Zacks Rundown on LNT

LNT’s Earnings Estimates

The Zacks Consensus Estimate for 2026 and 2027 EPS indicates a year-over-year increase of 6.52% and 7.21%, respectively.

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LNT’s Stock Trading at a Premium

LNT is trading at a premium to the industry, with a forward 12-month price-to-earnings ratio of 19.36X versus the industry average of 15.42X.

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LNT’s Stock Price Performance

In the past six months, the company’s shares have plunged 3.4% compared with the industry’s 7.9% decline.

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LNT’s Zacks Rank

LNT currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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