Jefferies raises Alliant Energy stock price target to $74 on data center growth

Published 19/08/2025, 10:42
Jefferies raises Alliant Energy stock price target to $74 on data center growth

Investing.com - Jefferies has raised its price target on Alliant Energy (NASDAQ:LNT) to $74.00 from $69.00 while maintaining a Buy rating on the stock. Currently trading at $64.43, near its 52-week high of $66.76, the stock has delivered a 15.45% return over the past year. According to InvestingPro analysis, Alliant Energy appears overvalued at current levels, though analyst targets range from $60 to $72.

The firm expects Alliant Energy to reposition its guidance to 6-8%+ EPS CAGR in its upcoming third-quarter 2025 earnings report or at the EEI conference.

Jefferies has incorporated an additional $2.9 billion of capital expenditure for incremental data center generation into its forecasts for the utility company.

The investment bank projects a 2026-2030 EPS CAGR of 8% for Alliant Energy, noting that further spending beyond current estimates remains possible.

According to Jefferies, Alliant Energy is becoming one of the most concentrated data center plays relative to system size among regulated utilities in its coverage, with significant visibility for future announcements expected after the QTS-Madison confirmation in the second half of 2025.

In other recent news, Alliant Energy reported its second-quarter earnings for 2025, with earnings per share (EPS) reaching $0.68, surpassing the consensus estimate of $0.64. Despite this positive earnings performance, the company’s revenue fell short of expectations, coming in at $961 million compared to the forecasted $985.15 million. Following these results, several financial firms adjusted their price targets for Alliant Energy. BofA Securities increased its target to $70, maintaining a Buy rating, while Mizuho (NYSE:MFG) also raised its target to $70, keeping a Neutral rating. BMO Capital adjusted its price target to $68, maintaining a Market Perform rating. Wolfe Research set a higher target of $72 but retained an Underperform rating, highlighting Alliant Energy’s significant role in regulated renewables and data centers. These recent developments reflect the market’s varied responses to Alliant Energy’s financial performance and strategic position.

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