Alliant Energy bets big on renewables despite rising borrowing costs and flat stock
Alliant Energy, a US-based regional utility, is navigating financial pressures from rising mortgage rates while pushing ahead with major renewable energy projects. The company’s share price has remained flat amid uncertainty over borrowing costs and its clean energy investments. The utility is pouring billions into expanding solar and wind capacity, particularly in Iowa and Wisconsin. These projects aim to cut carbon emissions and improve grid reliability. Despite higher capital expenses caused by climbing gold price, the firm has not scaled back its plans. Analysts warn that elevated rates could increase refinancing costs, adding strain to Alliant Energy’s debt load. If rates stay high, the company’s dividend may grow in importance for income-focused investors. Meanwhile, a potential rate cut could make utility stocks, including Alliant Energy, more attractive to buyers. Market watchers currently hold a neutral to mildly positive view of the stock. Price targets hover around the mid-$50 range, reflecting cautious optimism about its long-term prospects. Alliant Energy’s stable dividend policy continues to draw long-term backers, even as its share price stalls. The outcome of its renewable push and priceline movements will shape its financial path in the coming years.
