Latest news with #Calpine
Yahoo
6 days ago
- Business
- Yahoo
Raymond James Initiates Coverage of Constellation Energy (CEG)
Constellation Energy Corporation (NASDAQ:CEG) is counted among the Best Nuclear Energy Stocks to Buy Right Now. It was reported last week that Raymond James initiated coverage of CEG with an 'Outperform' rating and a price target of $326. The analyst highlights the strategic advantage Constellation Energy Corporation (NASDAQ:CEG) gained from the acquisition and integration of the private merchant generator, Calpine. The blockbuster deal will turn Constellation into the largest independent power provider in the country, sharply growing its mix of natural gas-fired electricity generation. Constellation Energy Corporation (NASDAQ:CEG) also made headlines this month when it signed a 20-year power purchase agreement (PPA) with Meta, with the tech giant buying around 1.12 GW of nuclear energy from Constellation's Clinton Clean Energy Center in Illinois. The move provided a major boost to the overall nuclear energy industry, as it can serve as a model for Big Tech to support existing nuclear power plants, while also planning to power their data centers with new energy sources. Constellation Energy Corporation (NASDAQ:CEG) is the largest producer of carbon-free energy in the US, with approximately 34,200 MW of generating capacity consisting of nuclear, wind, solar, natural gas, and hydroelectric assets. While we acknowledge the potential of CEG as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 10 Cheap Energy Stocks to Buy Now and Disclosure: None.
E&E News
09-06-2025
- Business
- E&E News
Texas signs off on proposed Constellation-Calpine merger
Texas regulators on Thursday approved Constellation Energy's proposed $26 billion acquisition of Calpine, pushing forward one of the most consequential power industry mergers in recent years. The sign-off from the Public Utility Commission of Texas helps pave the way for the nation's largest fleet of nuclear power plants to merge with one of the biggest operators of natural gas-fired generators. 'This approval from the Texas PUC brings us one step closer to creating the nation's premier platform for reliable, clean energy,' said Constellation CEO Joe Dominguez in a statement. He emphasized that the merged company would meet growing power demands in high-load regions like Texas, while advancing a 'secure and clean energy future.' Advertisement Constellation, already the nation's largest producer of zero-emissions electricity through its nuclear fleet, stands to gain a vast footprint in gas-fired and geothermal assets through Calpine. The resulting coast-to-coast platform aims to position itself as the leading provider of around-the-clock, sustainable power amid surging data center demand and the broader energy transition.
Yahoo
04-06-2025
- Business
- Yahoo
Why Constellation Energy Stock Surged 37% in May
Constellation Energy reported strong first-quarter results last month. The company is benefiting from a resurgence in nuclear power. It's in a strong position to continue growing briskly in the coming years. 10 stocks we like better than Constellation Energy › Shares of Constellation Energy (NASDAQ: CEG) rocketed 37% in May, according to data provided by S&P Global Market Intelligence. Powering the energy producer's stock price was its strong first-quarter results and recently signed executive orders by President Donald Trump aimed at ushering in a nuclear energy renaissance in the country. Constellation Energy reported strong first-quarter results in early May. The power producer generated $2.14 per share of adjusted operating earnings, up from $1.82 per share in the year-ago period, a nearly 18% increase. The company benefited from the strong performance of its business. That strong showing gave the company the confidence to reaffirm its full-year outlook that it will generate between $8.90 and $9.60 per share of adjusted earnings. The company also noted that it remains on track to close its acquisition of Calpine by the end of this year. That deal will significantly expand its leading clean energy fleet, enhancing its earnings growth rate. In addition, grid operator PJM selected the company's Crane Clean Energy Center to be fast-tracked for interconnection to the grid. Constellation Energy is restarting the dormant nuclear power plant to help support the cloud and artificial intelligence (AI) power needs of tech giant Microsoft. The company is working to restart the 845-megawatt nuclear power generating unit by 2028. It previously shut down the plant for economic reasons. Constellation Energy is bringing that plant back online to help support an expected surge in power demand in the coming years from AI data centers and other catalysts. The country's growing need for power led Trump to sign executive orders last month aimed at ushering in a nuclear renaissance in the country. The president wants to build more nuclear reactors in the country to help supply more power to the grid. Constellation Energy applauded the move. In a statement on the nuclear executive orders, the company commented, "We applaud the Trump administration for its strong support for preserving and expanding America's nuclear fleet to power our economy, win the AI race against China, and reassert America's leadership in nuclear energy." The energy company also highlighted that it's "walking the walk with plans to invest billions of dollars into its fleet on projects like increasing the generation capacity of our plants by up to 1,000 additional megawatts and relicensing the entire fleet into the 2070s." Shares of Constellation Energy have rallied sharply over the past year, powered by the anticipated surge in demand for nuclear energy. The resurgence continued in early June when the company signed a 20-year power purchase agreement with Meta Platforms for power produced at its Clinton Clean Energy Center (1.1 gigawatts). Growing demand for nuclear energy plus the company's pending Calpine deal position Constellation Energy to grow its earnings briskly in the coming years (more than 13% annually through 2030 without the boost from Calpine). That's a robust rate and could continue powering a surge in Constellation's stock in the coming years. Before you buy stock in Constellation Energy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Constellation Energy wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $657,385!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $842,015!* Now, it's worth noting Stock Advisor's total average return is 987% — a market-crushing outperformance compared to 171% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 2, 2025 Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Matt DiLallo has positions in Meta Platforms. The Motley Fool has positions in and recommends Constellation Energy, Meta Platforms, and Microsoft. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy. Why Constellation Energy Stock Surged 37% in May was originally published by The Motley Fool
New York Times
30-05-2025
- Business
- New York Times
Energy Dept. Cuts $3.7 Billion for New Technologies to Lower Emissions
The Energy Department announced on Friday that it was terminating $3.7 billion in Biden-era awards to companies trying to demonstrate technologies that might one day help tackle global warming. Some of the 24 canceled awards would have gone to industrial companies that were aiming to reduce emissions from cement, iron, glass and chemicals production. Others had been awarded to fossil fuel and cement companies attempting to trap and bury carbon dioxide from their smokestacks before the gas escapes into the atmosphere and heats the planet. Two of the terminated awards, worth $540 million in all, would have gone to Calpine, one of the nation's largest producers of electricity, which was trying to capture and store the carbon from two large natural gas power plants in Yuba City, Calif., and Baytown, Texas. Also on the chopping block was a $331 million award to the oil giant Exxon Mobil, which had been planning to replace natural gas with lower-emissions hydrogen at a chemical facility in Baytown, Texas. In announcing the cuts, the Energy Department said in a statement that the projects 'failed to advance the energy needs of the American people, were not economically viable and would not generate a positive return on investment of taxpayer dollars.' 'Today, we are acting in the best interest of the American people by canceling these 24 awards,' Energy Secretary Chris Wright said. He said that the previous administration had 'failed to conduct a thorough financial review' of the spending and suggested the process had been rushed, noting that 16 of the awards had been made between Election Day and President Trump's inauguration on Jan. 20. Want all of The Times? Subscribe.
Yahoo
15-05-2025
- Business
- Yahoo
Is Constellation Energy (CEG) The Most Crowded Hedge Fund Stock That is Targeted by Short Sellers?
We recently published a list of . In this article, we are going to take a look at where Constellation Energy Corporation (NASDAQ:CEG) stands against other most crowded hedge fund stocks that are targeted by short sellers. Hedge funds piling into a stock is a signal of conviction. After all, if institutional investors are backing a company, there has to be a good reason for it, right? Things get interesting when the same stock ends up with a high short interest. Where some investors back the company to become successful, others bet on its downfall. This contradiction is often eagerly tracked by investors, as it can potentially lead to explosive moves to either side. Consider, for instance, a scenario where a stock with a high short interest and a high hedge fund holding starts going up. As everyone rushes to buy more of the already popular stock, short sellers rush to close their positions, triggering a strong bull rally. We decided to shortlist stocks that were the most likely candidates for such a rally. To come up with our list of 15 most crowded hedge fund stocks that are targeted by short sellers, we only considered stocks with a market cap of at least $1 billion and a short interest of at least 3%. We then ranked these stocks by the number of hedge funds that have the stock in their portfolio. A close up of a wind turbine producing electricity as the sun sets. Number of Hedge Fund Holders: 85 Short Interest: 3.34% Constellation Energy Corporation (NASDAQ:CEG) operates as a seller and producer of energy products and services. The company operates through Midwest, ERCOT, Mid-Atlantic, New York, and Other Power Regions. Citi upgraded Constellation Energy (NASDAQ:CEG) last month from Hold to Buy and assigned it a price target of $232. According to the firm, with the recent share price dip, the stock's risk-reward ratio seems more appealing. Citi analyst Ryan Levine also mentioned some factors driving his upgrade, including natural gas builds in Texas, downward protection from power price fluctuations, co-location deals, and a favorable stock issuance by Calpine. On the back of the increasing demand for energy from AI applications, the company reiterated its full-year adjusted earnings guidance. As per the guidance, the firm anticipates EPS between $8.90 to $9.60. The company's planned acquisition of Calpine is expected to be completed by the end of this year. It is also redirecting its focus to potential data center projects linked to the US electrical grid. CEO Joseph Dominguez highlighted in the earnings conference call: 'On-grid sales are increasingly attractive to us and to our customers, but we still believe that behind-the-meter configurations will make sense for some customers.' Overall, CEG ranks 5th on our list of most crowded hedge fund stocks that are targeted by short sellers. While we acknowledge the potential of CEG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than CEG but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: and . Disclosure: None. This article is originally published at . Sign in to access your portfolio
