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Alliant Energy (Alliant Energy) ROE % : 7.17% (As of Dec. 2023)


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What is Alliant Energy ROE %?

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Alliant Energy's annualized net income for the quarter that ended in Dec. 2023 was $484 Mil. Alliant Energy's average Total Stockholders Equity over the quarter that ended in Dec. 2023 was $6,752 Mil. Therefore, Alliant Energy's annualized ROE % for the quarter that ended in Dec. 2023 was 7.17%.

The historical rank and industry rank for Alliant Energy's ROE % or its related term are showing as below:

LNT' s ROE % Range Over the Past 10 Years
Min: 10.06   Med: 11.5   Max: 11.91
Current: 10.8

During the past 13 years, Alliant Energy's highest ROE % was 11.91%. The lowest was 10.06%. And the median was 11.50%.

LNT's ROE % is ranked better than
63.94% of 513 companies
in the Utilities - Regulated industry
Industry Median: 8.77 vs LNT: 10.80

Alliant Energy ROE % Historical Data

The historical data trend for Alliant Energy's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Alliant Energy ROE % Chart

Alliant Energy Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.58 11.46 11.54 11.19 10.77

Alliant Energy Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.83 10.35 10.02 15.72 7.17

Competitive Comparison of Alliant Energy's ROE %

For the Utilities - Regulated Electric subindustry, Alliant Energy's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Alliant Energy's ROE % Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Alliant Energy's ROE % distribution charts can be found below:

* The bar in red indicates where Alliant Energy's ROE % falls into.



Alliant Energy ROE % Calculation

Alliant Energy's annualized ROE % for the fiscal year that ended in Dec. 2023 is calculated as

ROE %=Net Income (A: Dec. 2023 )/( (Total Stockholders Equity (A: Dec. 2022 )+Total Stockholders Equity (A: Dec. 2023 ))/ count )
=703/( (6276+6777)/ 2 )
=703/6526.5
=10.77 %

Alliant Energy's annualized ROE % for the quarter that ended in Dec. 2023 is calculated as

ROE %=Net Income (Q: Dec. 2023 )/( (Total Stockholders Equity (Q: Sep. 2023 )+Total Stockholders Equity (Q: Dec. 2023 ))/ count )
=484/( (6726+6777)/ 2 )
=484/6751.5
=7.17 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (Dec. 2023) net income data. ROE % is displayed in the 30-year financial page.


Alliant Energy  (NAS:LNT) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=484/6751.5
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(484 / 3844)*(3844 / 21070.5)*(21070.5 / 6751.5)
=Net Margin %*Asset Turnover*Equity Multiplier
=12.59 %*0.1824*3.1209
=ROA %*Equity Multiplier
=2.3 %*3.1209
=7.17 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2023 )
=Net Income/Total Stockholders Equity
=484/6751.5
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (484 / 488) * (488 / 732) * (732 / 3844) * (3844 / 21070.5) * (21070.5 / 6751.5)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.9918 * 0.6667 * 19.04 % * 0.1824 * 3.1209
=7.17 %

Note: The net income data used here is four times the quarterly (Dec. 2023) net income data. The Revenue data used here is four times the quarterly (Dec. 2023) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Alliant Energy ROE % Related Terms

Thank you for viewing the detailed overview of Alliant Energy's ROE % provided by GuruFocus.com. Please click on the following links to see related term pages.


Alliant Energy (Alliant Energy) Business Description

Traded in Other Exchanges
Address
4902 N. Biltmore Lane, Madison, WI, USA, 53718
Alliant Energy is the parent of two regulated utilities, Interstate Power and Light and Wisconsin Power and Light, serving nearly 985,000 electric customers and 425,000 natural gas-only customers. Both subsidiaries engage in the generation and distribution of electricity and the distribution and transportation of natural gas. Alliant also owns a 16% interest in American Transmission Co.
Executives
Ignacio A Cortina director 1917 FOUR WHEEL DRIVE, OSHKOSH WI 54902
Raja Sundararajan officer: Executive Vice President 1 RIVERSIDE PLAZA, COLUMBUS OH 43215
Lisa M Barton officer: President and COO AMERICAN ELECTRIC POWER COMPANY, INC., 1 RIVERSIDE PLAZA, COLUMBUS OH 43215
Stephanie Cox director C/O SCHLUMBERGER LIMITED, 5599 SAN FELIPE 17TH FLOOR, HOUSTON TX 77056
Nancy Joy Falotico director ONE AMERICAN ROAD, DEARBORN MI 48126
Michael Luhrs officer: Senior Vice President P.O. BOX 14720, MADISON WI 53708-0720
Michael Dennis Garcia director C/O DOMTAR CORPORATION, 234 KINGSLEY PARK DRIVE, FORT MILL SC 29715
De Leon David A officer: Senior Vice President P.O. BOX 14720, MADISON WI 53708-0720
James H Gallegos officer: Sr. V.P.-Gen. Cnsl.-Corp. Sec. 1 WATER STREET, CAMDEN NJ 08102-1658
Patricia L Kampling officer: VICE PRESIDENT PO BOX 2568, MADISON WI 53701
Jillian C. Evanko director 1 INFINITY CORPORATE CENTRE DRIVE, GARFIELD HEIGHTS OH 44125
Terry L Kouba officer: Senior Vice President P.O. BOX 14720, MADISON WI 53708-0720
Deborah B. Dunie director 1710 SAIC DRIVE, MCLEAN VA 22102
Roger K Newport director 703 CURTIS STREET, MIDDLETOWN OH 45043
Wayne A Reschke officer: Senior Vice President P O BOX 14720, MADISON WI 53708

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