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Constellation Energy Corporation
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NASDAQ: CEG Utilities Energy 🔎 Screen
S&P 500 Nasdaq 100
🏹 Trader: 📊 High Volume View all →
$93.3B
Market Cap
47.7
P/E
2.03
PEG
10.5%
ROCE
16.4%
ROE
0.64
D/E
12.1%
OPM
-26.8%
% from 52W High
42
α RS
🔍 CEG is showing a multi-screen setup because it matches 5 of 39 tracked screener presets and Sector RRG has Utilities in the Leading quadrant with the trail still strengthening. The main caution: the Price Pessimism preset's Backtest win rate is only 44%. Net: Mixed signal stack, not a recommendation. ? Conviction RRG Backtest
Sources
Conviction 5/39 · Utilities in Leading quadrant · Backtest win rate 44%
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Currency-adjusted total returns for CEG including FX impact
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Ratio Health
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About

Constellation Energy Corporation produces and sells energy products and services in the United States. The company operates through five segments: Mid-Atlantic, Midwest, New York, ERCOT, and Other Power Regions. It offers electricity, natural gas, energy-related products, and sustainable solutions. The company has approximately 31,676 megawatts of generating capacity consisting of nuclear, wind, solar, natural gas, and hydroelectric assets. It serves distribution utilities, municipalities, cooperatives, and commercial, industrial, public sector, and residential customers. The company was incorporated in 2021 and is headquartered in Baltimore, Maryland.

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Good quarter Investor Presentation One-Pager? Q2 2026
Adjusted Operating EPS (non-GAAP)
$2.55
+33.5% YoY
GAAP EPS
$1.42
-$1.25 YoY
What Went Right
  • Signed 920 MW of long-term nuclear PPAs with investment-grade customers, average 18.5-year duration.
  • Raised full-year 2026 adjusted EPS guidance by $0.50 to $11.50-$12.50.
  • Agreed to sell Brazos Valley for $860M ($1,420/kW), satisfying the final DOJ divestiture requirement.
  • NRC approved Crane fuel license and FERC granted capacity interconnection rights transfer, supporting 2027 restart.
What to Watch
  • PJM's Reliability Backstop and IRAS proposals still need clarification; co-location clarity not expected until Q1-Q2 2027.
  • ERCOT power prices are soft due to batteries arriving before data center load is fully built-out.
  • Illinois ZEC timing was lower at $85M vs $200M in the prior-year quarter, though this is a full-year-neutral timing item.
  • Planned nuclear refueling outages reduced capacity factor by 1.8% YoY in Q2.
Management Guidance
  • FY2026 adjusted operating EPS guidance raised to $11.50-$12.50 from $11.00-$12.00; management will revisit on Q3 call.
  • 2029 capital allocation sensitivity: floor of $0.20/share from completed buybacks, with upside potential greater than $0.75/share.
  • PJM Reliability Backstop Procurement target set at 6.8 GW; auction expected this fall with results by year-end.
  • Updated 2030 PTC strike price to $50.88/MWh, adding roughly $0.30/share to 2030 base earnings.
Investor Lens
The thesis is stronger after this quarter: 920 MW of new contracted nuclear volume, faster regulatory progress, and $2.2B of accretive buybacks support a higher earnings base. The Brazos sale at a rich $1,420/kW validates the value of the Calpine fleet. Execution risk remains around PJM rule details and ERCOT softness, but the long-term demand and contracting outlook is clearly improving.
From investor presentation · AI-generated analysis · Not investment advice
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📈 STRONG Strong Q2 beats with $2.55; FY guide raised.
Revenue
Revenue was not disclosed on the call. Management highlighted strength in the commercial business from higher realized customer margins and portfolio optimization during volatility.
Profitability
Adjusted operating earnings were $2.55 per share versus $1.91 in Q2 2025, helped by Calpine accretion, higher PJM capacity prices, and commercial execution. GAAP EPS was $1.42 versus $2.67, largely reflecting timing items and outage-related impacts.
Margins
Explicit operating margin was not provided. Nuclear capacity factor was 93% with six planned outages, and the 23-day average refueling outage duration beat the industry average by 40%.
Balance Sheet
Management highlighted a strong balance sheet and investment-grade credit ratings. The company deployed $2.2 billion toward share repurchases year-to-date, with $2.8 billion remaining under authorization, and expects $860 million from the Brazos Valley sale.
Key Risks
Risks include PJM capacity market proposals still requiring clarification, soft ERCOT prices as batteries outpace data center load, and lower Illinois ZEC timing revenue. Additional planned nuclear outage days also pressured Q2 capacity factor.
Outlook
FY2026 adjusted operating EPS guidance was raised to $11.50-$12.50, with a new midpoint of $12.00. Management expects regulatory clarity from PJM/FERC by year-end and will revisit full-year guidance on the Q3 call.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-06
Q2 adjusted operating EPS rose $0.64 year-over-year to $2.55, driven by Calpine accretion, higher PJM capacity prices, and commercial optimization. Guidance was raised to $11.50–$12.50 per share, with 920 MW of new long-term nuclear contracts signed and $2.2B in share repurchases YTD.
Q1 2026 Q1 2026 2026-05-11
Q1 adjusted EPS rose $0.60 year-over-year, driven by Calpine accretion and higher PJM prices. Full-year guidance of $11–$12 EPS was affirmed, with strong free cash flow growth projected through 2029 and major new generation projects delivered.
Q3 2025 Q3 2025 2025-11-07
Third quarter results showed strong earnings growth, operational excellence, and robust demand for nuclear and clean energy solutions. The Calpine acquisition remains on track, with significant liquidity and disciplined capital allocation supporting future growth.
Q2 2025 Q2 2025 2025-08-07
Q2 saw strong financial and operational results, with EPS up year-over-year, robust nuclear fleet performance, and major long-term clean energy contracts secured. The Calpine acquisition is progressing, and new legislation provides significant tax and policy support.
Q1 2025 Q1 2025 2025-05-06
Q1 adjusted EPS rose $0.32 year-over-year to $2.14, with strong commercial and nuclear performance. Full-year EPS guidance is reaffirmed, Calpine integration is on track, and robust demand from data centers is expected to drive double-digit earnings growth through the decade.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

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Information Sources:
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