ALLIANT ENERGY CORP (LNT) Stock Fundamental Analysis
NASDAQ:LNT - Nasdaq - US0188021085 - Common Stock - Currency: USD
Overall LNT gets a fundamental rating of 4 out of 10. We evaluated LNT against 46 industry peers in the Electric Utilities industry. While LNT has a great profitability rating, there are quite some concerns on its financial health. LNT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year LNT was profitable.
In the past year LNT had a positive cash flow from operations.
LNT had positive earnings in each of the past 5 years.
LNT had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
LNT's Return On Assets of 3.26% is fine compared to the rest of the industry. LNT outperforms 65.22% of its industry peers.
Looking at the Return On Equity, with a value of 10.50%, LNT is in the better half of the industry, outperforming 60.87% of the companies in the same industry.
LNT's Return On Invested Capital of 3.75% is on the low side compared to the rest of the industry. LNT is outperformed by 67.39% of its industry peers.
The Average Return On Invested Capital over the past 3 years for LNT is significantly below the industry average of 40.10%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 10.5% | ||
| ROIC | 3.75% |
ROA(3y)3.25%
ROA(5y)3.35%
ROE(3y)10.39%
ROE(5y)10.52%
ROIC(3y)3.82%
ROIC(5y)3.72%
1.3 Margins
LNT has a better Profit Margin (18.26%) than 89.13% of its industry peers.
In the last couple of years the Profit Margin of LNT has grown nicely.
LNT has a better Operating Margin (24.05%) than 65.22% of its industry peers.
In the last couple of years the Operating Margin of LNT has grown nicely.
LNT has a better Gross Margin (93.94%) than 100.00% of its industry peers.
LNT's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.05% | ||
| PM (TTM) | 18.26% | ||
| GM | 93.94% |
OM growth 3Y3.12%
OM growth 5Y2.19%
PM growth 3Y-1.18%
PM growth 5Y2.56%
GM growth 3Y0.5%
GM growth 5Y0.1%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so LNT is destroying value.
Compared to 1 year ago, LNT has more shares outstanding
The number of shares outstanding for LNT has been increased compared to 5 years ago.
LNT has a worse debt/assets ratio than last year.
2.2 Solvency
LNT has an Altman-Z score of 1.07. This is a bad value and indicates that LNT is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of LNT (1.07) is better than 65.22% of its industry peers.
LNT has a Debt/Equity ratio of 1.31. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.31, LNT perfoms like the industry average, outperforming 56.52% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.31 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.07 |
ROIC/WACC0.55
WACC6.88%
2.3 Liquidity
A Current Ratio of 0.34 indicates that LNT may have some problems paying its short term obligations.
With a Current ratio value of 0.34, LNT is not doing good in the industry: 91.30% of the companies in the same industry are doing better.
A Quick Ratio of 0.24 indicates that LNT may have some problems paying its short term obligations.
LNT has a worse Quick ratio (0.24) than 91.30% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.24 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 12.19% over the past year.
Measured over the past 5 years, LNT shows a small growth in Earnings Per Share. The EPS has been growing by 4.62% on average per year.
Looking at the last year, LNT shows a small growth in Revenue. The Revenue has grown by 2.44% in the last year.
LNT shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.76% yearly.
EPS 1Y (TTM)12.19%
EPS 3Y3.68%
EPS 5Y4.62%
EPS Q2Q%33.87%
Revenue 1Y (TTM)2.44%
Revenue growth 3Y2.76%
Revenue growth 5Y1.76%
Sales Q2Q%9.41%
3.2 Future
Based on estimates for the next years, LNT will show a quite strong growth in Earnings Per Share. The EPS will grow by 8.05% on average per year.
The Revenue is expected to grow by 4.99% on average over the next years.
EPS Next Y11.1%
EPS Next 2Y9.12%
EPS Next 3Y8.41%
EPS Next 5Y8.05%
Revenue Next Year2.33%
Revenue Next 2Y3.58%
Revenue Next 3Y4.15%
Revenue Next 5Y4.99%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
LNT is valuated rather expensively with a Price/Earnings ratio of 19.76.
Based on the Price/Earnings ratio, LNT is valued a bit more expensive than 60.87% of the companies in the same industry.
When comparing the Price/Earnings ratio of LNT to the average of the S&P500 Index (26.20), we can say LNT is valued slightly cheaper.
The Price/Forward Earnings ratio is 17.79, which indicates a rather expensive current valuation of LNT.
60.87% of the companies in the same industry are cheaper than LNT, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.13, LNT is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.76 | ||
| Fwd PE | 17.79 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LNT indicates a slightly more expensive valuation: LNT is more expensive than 73.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 14.47 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
LNT has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.78
PEG (5Y)4.28
EPS Next 2Y9.12%
EPS Next 3Y8.41%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.28%, LNT has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.47, LNT has a dividend in line with its industry peers.
LNT's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
5.2 History
The dividend of LNT is nicely growing with an annual growth rate of 6.44%!
LNT has paid a dividend for at least 10 years, which is a reliable track record.
LNT has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)6.44%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
66.98% of the earnings are spent on dividend by LNT. This is not a sustainable payout ratio.
LNT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP66.98%
EPS Next 2Y9.12%
EPS Next 3Y8.41%
61.85
+0.49 (+0.8%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryElectric Utilities
Earnings (Last)
Earnings (Next)
Inst Owners84.01%
Inst Owner Change1.86%
Ins Owners0.21%
Ins Owner Change5.98%
Market Cap15.89B
Analysts71.11
Price Target66.58 (7.65%)
Short Float %2.79%
Short Ratio3.28
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.28% |
Yearly Dividend1.92
Dividend Growth(5Y)6.44%
DP66.98%
Div Incr Years21
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.59%
Min EPS beat(2)-15.65%
Max EPS beat(2)24.83%
EPS beat(4)2
Avg EPS beat(4)0.21%
Min EPS beat(4)-15.65%
Max EPS beat(4)24.83%
EPS beat(8)4
Avg EPS beat(8)1.1%
EPS beat(12)5
Avg EPS beat(12)-0.47%
EPS beat(16)8
Avg EPS beat(16)0.24%
Revenue beat(2)2
Avg Revenue beat(2)12.2%
Min Revenue beat(2)11.06%
Max Revenue beat(2)13.34%
Revenue beat(4)2
Avg Revenue beat(4)5.64%
Min Revenue beat(4)-1.3%
Max Revenue beat(4)13.34%
Revenue beat(8)2
Avg Revenue beat(8)-0.98%
Revenue beat(12)5
Avg Revenue beat(12)1.81%
Revenue beat(16)9
Avg Revenue beat(16)6.8%
PT rev (1m)0.35%
PT rev (3m)4.39%
EPS NQ rev (1m)-9.7%
EPS NQ rev (3m)-11.04%
EPS NY rev (1m)-0.12%
EPS NY rev (3m)-0.05%
Revenue NQ rev (1m)-4%
Revenue NQ rev (3m)-2.09%
Revenue NY rev (1m)-1.02%
Revenue NY rev (3m)-0.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.76 | ||
| Fwd PE | 17.79 | ||
| P/S | 3.9 | ||
| P/FCF | N/A | ||
| P/OCF | 14.33 | ||
| P/B | 2.24 | ||
| P/tB | 2.24 | ||
| EV/EBITDA | 14.47 |
EPS(TTM)3.13
EY5.06%
EPS(NY)3.48
Fwd EY5.62%
FCF(TTM)-3.97
FCFYN/A
OCF(TTM)4.32
OCFY6.98%
SpS15.88
BVpS27.61
TBVpS27.61
PEG (NY)1.78
PEG (5Y)4.28
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.26% | ||
| ROE | 10.5% | ||
| ROCE | 4.91% | ||
| ROIC | 3.75% | ||
| ROICexc | 3.76% | ||
| ROICexgc | 3.76% | ||
| OM | 24.05% | ||
| PM (TTM) | 18.26% | ||
| GM | 93.94% | ||
| FCFM | N/A |
ROA(3y)3.25%
ROA(5y)3.35%
ROE(3y)10.39%
ROE(5y)10.52%
ROIC(3y)3.82%
ROIC(5y)3.72%
ROICexc(3y)3.83%
ROICexc(5y)3.73%
ROICexgc(3y)3.83%
ROICexgc(5y)3.73%
ROCE(3y)4.97%
ROCE(5y)4.85%
ROICexcg growth 3Y-0.45%
ROICexcg growth 5Y-2.32%
ROICexc growth 3Y-0.45%
ROICexc growth 5Y-2.32%
OM growth 3Y3.12%
OM growth 5Y2.19%
PM growth 3Y-1.18%
PM growth 5Y2.56%
GM growth 3Y0.5%
GM growth 5Y0.1%
F-Score4
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.31 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.22 | ||
| Cap/Depr | 268.01% | ||
| Cap/Sales | 52.17% | ||
| Interest Coverage | 2.06 | ||
| Cash Conversion | 62.48% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.34 | ||
| Quick Ratio | 0.24 | ||
| Altman-Z | 1.07 |
F-Score4
WACC6.88%
ROIC/WACC0.55
Cap/Depr(3y)243.11%
Cap/Depr(5y)220.49%
Cap/Sales(3y)42.54%
Cap/Sales(5y)38.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)12.19%
EPS 3Y3.68%
EPS 5Y4.62%
EPS Q2Q%33.87%
EPS Next Y11.1%
EPS Next 2Y9.12%
EPS Next 3Y8.41%
EPS Next 5Y8.05%
Revenue 1Y (TTM)2.44%
Revenue growth 3Y2.76%
Revenue growth 5Y1.76%
Sales Q2Q%9.41%
Revenue Next Year2.33%
Revenue Next 2Y3.58%
Revenue Next 3Y4.15%
Revenue Next 5Y4.99%
EBIT growth 1Y3.92%
EBIT growth 3Y5.97%
EBIT growth 5Y4%
EBIT Next Year76.54%
EBIT Next 3Y28.71%
EBIT Next 5Y20.84%
FCF growth 1Y5.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y162.18%
OCF growth 3Y26.1%
OCF growth 5Y12.06%