Alliant Energy: Buy This Blue-Chip Stock For Growing Passive Income And Strong Returns

Summary

• Alliant Energy's non-GAAP EPS payout ratio will edge slightly higher from 61.3% in 2022 to 62.6% in 2023.
• The company's revenue surged 14.8% higher in the nine months ended 2022 while non-GAAP EPS edged 2.6% higher during that time.
• Based on my inputs into the dividend discount model and discounted cash flows model, Alliant Energy is trading at a 3% discount to fair value.
• Alliant Energy's 3.1% dividend yield, 6%-7% annual earnings growth prospects, and 0.3% annual valuation multiple potential should deliver annual total returns of around 10% to shareholders in the years ahead.

Growing stacks of coins.

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When done properly and given enough time, dividend growth investing is a strategy that can help ordinary investors to reach financial independence. For clarity, I mean financial independence as the point at which an investor's annual dividend income (and

Analyst’s Disclosure:I/we have a beneficial long position in the shares of LNT either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.