About this content About Angela Harmantas Angela Harmantas is an Editor at Proactive. She has over 15 years of experience covering the equity markets in North America, with a particular focus on junior resource stocks. Angela has reported from numerous countries around the world, including Canada, the US, Australia, Brazil, Ghana, and South Africa for leading trade publications. Previously, she worked in investor relations and led the foreign direct investment program in Canada for the Swedish government ...

Market Overview - US stock index futures are all down, with Dow futures down 0.21%, S&P 500 futures down 0.14%, and Nasdaq futures down 0.04% [1] - European indices show mixed performance: DAX up 0.02%, FTSE 100 up 0.13%, CAC 40 down 0.24%, and Euro Stoxx 50 down 0.21% [2][3] - WTI crude oil increased by 0.66% to $62.93 per barrel, while Brent crude oil rose by 0.59% to $65.01 per barrel [3][4] Trade Policies and Economic Impact - The US government is urging countries to submit their best tariff proposals by Wednesday, aiming to accelerate trade negotiations ahead of a self-imposed deadline [5] - The OECD reports that Trump's trade policies have significantly impacted the US economy, leading to a downward revision of global growth forecasts from 3.3% to 2.9% for 2024, with the US growth forecast cut from 2.8% to 1.6% [6] - Trump's proposal to double tariffs on aluminum and steel to 50% has caused a surge in futures prices, with aluminum contracts rising 54% to the highest level since 2013 [6] Company News - NIO reported Q1 revenue of 12.035 billion yuan, a year-on-year increase of 21.5%, but below market expectations of 12.35 billion yuan; net loss widened by 30.2% to 6.75 billion yuan [7] - Constellation Energy has signed a 20-year power purchase agreement with Meta, which may support new reactor plans due to increased electricity demand from AI [7] - Merck's $3 billion acquisition offer for MoonLake was rejected, leading to a 20% pre-market surge in MoonLake's stock [8] - Uber appointed its first COO in six years to advance its autonomous driving strategy [8] - TSMC acknowledged some impact from US tariffs but noted strong AI demand continues to exceed supply [9]

Meta has signed a 20-year agreement to buy nuclear power from Constellation Energy, continuing the wave of tech giants teaming up with the industry in order to meet the growing power needs of data centers.Beginning in June 2027, Meta will buy roughly 1.1 gigawatts of energy from Constellation's Clinton Clean Energy Center in Illinois, which is the entire output from the site's one nuclear reactor. The companies said the long-term agreement will support the continuing operation of the plant, as well as its r ...

MARSEILLES, ILLINOIS - MAY 23: A sign sits at the entrance to Constellation Energy's LaSalle Clean ... More Energy Center nuclear power plant on May 23, 2025 near Marseilles, Illinois. (Photo by Scott Olson/Getty Images)Getty Images Constellation Energy Group (NASDAQ: CEG) has seen a significant boost in its stock performance over the past month. This surge is primarily fueled by investor excitement following recent executive orders from U.S. President Donald Trump. These orders aim to streamline the nuclea ...

Core Insights - The demand for clean electricity is sharply rising due to factors such as urbanization, industrial growth, and the increasing need for air conditioning and electric vehicles [1][2] - Nuclear energy is positioned as a reliable solution for consistent power supply, offering high-capacity factors and zero emissions, unlike solar and wind energy [2][3] Company Analysis - Constellation Energy Corporation (CEG) is the largest nuclear power plant operator in the U.S., contributing approximately 10% of the nation's clean energy production, with a nuclear fleet capacity factor of 94.1% in Q1, up from 93.3% year-over-year [4] - Dominion Energy (D) is actively exploring next-generation nuclear technologies, including a partnership with Amazon to develop Small Modular Reactors (SMRs), which offer advantages like passive safety and scalability [5] Earnings Estimates - The Zacks Consensus Estimate for Constellation Energy's earnings per share for 2025 and 2026 has increased by 0.75% and 4.54%, respectively, over the past 60 days [7] - Dominion's earnings per share estimates have remained unchanged for 2025 but decreased by 0.56% for 2026 during the same period [9] Strategic Investment Plans - Constellation Energy plans capital expenditures of nearly $3 billion and $3.5 billion for 2025 and 2026, with 35% allocated for nuclear fuel acquisition [10] - Dominion intends to invest $10.8 billion in 2025 and $50 billion from 2025 to 2029 to enhance its renewable operations [10] Financial Metrics - Constellation Energy's return on equity (ROE) stands at 21.93%, significantly higher than Dominion's 9.51% [11] - The current dividend yield for Constellation Energy is 0.52%, while Dominion's is 4.74% [12] Investment Outlook - Both CEG and D are significant players in the energy sector, with substantial investments in nuclear power, presenting growth opportunities [14] - Constellation Energy is currently favored as a better investment option with a Zacks Rank 2 (Buy), while Dominion holds a Zacks Rank 3 (Hold) [14]

Core Themes - Utilities stocks are performing well in 2025, with the Utilities Select Sector SPDR Fund (XLU) up approximately 9.3% and nearing its all-time high, offering a total return of about 12% including a dividend yield of 2.76% [1][2] - Utilities are considered defensive stocks due to the constant demand for power, regardless of economic conditions, and a regulatory framework that supports both consumers and companies [2][16] - The demand for utilities is expected to remain strong even if the economy improves, making utilities stocks a viable option for a diversified portfolio [3][16] Constellation Energy - Constellation Energy's stock forecast indicates a 12-month price target of $285.79, with a current price of $292.40, reflecting a moderate buy rating based on 15 analyst ratings [4] - The company reported revenue of $6.79 billion, exceeding analyst expectations by 24.7%, although earnings per share of $2.14 fell short of the $2.22 forecast [5] - The stock has increased by 18% since the earnings report, driven by the announcement of long-term agreements to deliver nuclear power for data centers [6][7] NRG Energy - NRG Energy's stock forecast shows a 12-month price target of $140.75, with a current price of $159.63, indicating a moderate buy rating based on 8 analyst ratings [9] - The company is benefiting from data center growth and has a diverse power portfolio, including coal, oil, solar, and battery storage [9][10] - NRG's stock has risen over 77% as of May 20, 2025, and offers a dividend yield of 1.1%, although it is currently considered overbought [11] Exelon - Exelon's stock forecast suggests a 12-month price target of $47.30, with a current price of $44.26, and a hold rating based on 10 analyst ratings [12] - The stock has declined about 6% in May due to a $173 million settlement related to misleading investors about bribery accusations, overshadowing a strong earnings report [13][14] - Despite lower year-to-date gains compared to peers, Exelon offers the highest dividend yield at 3.6% and may be well-positioned for growth in the upcoming quarters [14][16] Overall Market Outlook - The utilities sector is expected to outperform in a volatile market, with companies like Constellation Energy, NRG Energy, and Exelon providing compelling investment opportunities [16] - The sector is benefiting from structural demand and may serve as both a defensive play and a source of meaningful returns in the near future [16]

Industry Overview - Nuclear energy is increasingly recognized as a vital solution for meeting the world's growing electricity demands and supporting the transition to cleaner power sources, providing a constant and reliable supply of clean energy [1][2] - The demand for clean electricity is driven by industrial expansion, urbanization, rising global temperatures, the development of AI-powered data centers, and the adoption of electric vehicles [4] Investment Potential - Nuclear energy-related stocks, such as Duke Energy Corporation, Dominion Energy, and Constellation Energy Corporation, are becoming attractive investment options due to their ability to deliver steady output compared to other clean energy sources [2][6] - The International Energy Agency (IEA) projects that annual investment in nuclear energy will exceed $150 billion by 2030, up from $65 billion, with installed nuclear capacity potentially exceeding 1,000 gigawatts by 2050 [3] Company Insights Duke Energy - Duke Energy operates 11 nuclear units capable of producing nearly 10,700 megawatts of clean electricity, with nuclear power accounting for 27.5% of its total electricity output in 2024 [8] - The company plans to expand its nuclear capacity by nearly 250 megawatts by 2031 and has secured agreements to monetize over $500 million in nuclear production tax credits [9] - Duke Energy received approval to operate its Oconee Nuclear Station for another 20 years and is pursuing license renewals for all its reactors [10][11] Dominion Energy - Dominion Energy owns four nuclear power stations, generating nearly 40% of its total production, and is evaluating next-generation nuclear technologies, including small modular reactors (SMRs) [12][13] - The company aims to achieve net-zero carbon emissions by 2050, with nuclear power serving as a consistent, carbon-free solution [14] Constellation Energy - Constellation Energy is the largest nuclear power plant operator in the U.S., accounting for around 10% of the nation's total clean energy production [15] - The company has secured multiple uranium supply contracts extending through the 2030s to ensure long-term nuclear fuel security and is modernizing its nuclear plants to improve performance [16] - Constellation Energy is investing to expand its nuclear capacity and is evaluating the addition of up to one gigawatt of new carbon-free energy capacity over the next 10 years [17]

Constellation Energy TodayCEGConstellation Energy$271.13 +0.54 (+0.20%) 52-Week Range$155.60▼$352.00Dividend Yield0.57%P/E Ratio22.80Price Target$282.50Add to WatchlistConstellation Energy NASDAQ: CEG has captured significant market attention recently, as its stock has climbed by over 45% in the past month, positioning it as a top performer in the S&P 500 index. This notable rally was a direct market response to the company's decisively reinforced strategy: to become a pivotal power provider for the energy ...

Industry Overview - The Trump administration aims to accelerate the deployment of nuclear reactors in the U.S., reflecting a global shift in sentiment towards nuclear energy, especially after the Fukushima disaster in 2011 [1] - The International Atomic Energy Agency projects nuclear production capacity to increase 2.5 times by 2050, from 372 gigawatt-electric (GWe) in 2023 to 950 GWe by 2050, necessitating new reactors to achieve this growth [2] Company Analysis: Constellation Energy - Constellation Energy is the largest producer of carbon-free electricity in the U.S., focusing on nuclear power, which provides a stable electricity source unaffected by weather [4] - The demand for energy from data centers, particularly from tech companies like Microsoft, has enhanced Constellation's market position, with a power purchase agreement to supply nuclear energy for data centers [5] - Constellation's extensive nuclear plant operations and renewable energy focus position it favorably for future growth [6] Company Analysis: Cameco - Cameco is one of the largest uranium producers, operating mines in Canada and involved in the nuclear fuel cycle, which includes uranium conversion and enrichment [7] - The rising global demand for nuclear energy positions Cameco to benefit from increasing uranium prices and new reactor constructions, supported by long-term contracts with utility companies [8][9] - Cameco has significant uranium deposits in Saskatchewan and Australia, allowing for expansion as nuclear energy demand grows [9] Company Analysis: NuScale Power - NuScale Power specializes in small modular reactors (SMRs), which are designed for efficiency, safety, and scalability, making them suitable for decentralized power generation [10][11] - The company holds a first-mover advantage in the SMR market, with its 50 MWe SMR being the first approved by the U.S. Nuclear Regulatory Commission, and plans to upsize to 77 MWe [12] - NuScale is developing an SMR power station in Romania, targeting a launch date of 2029, making it a long-term investment opportunity for aggressive investors [13]

Core Viewpoint - Constellation Energy Corporation (CEG) has received a Zacks Rank 2 (Buy) upgrade, indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for Constellation Energy suggest an improvement in the company's underlying business, likely leading to increased stock prices [5][10]. Earnings Estimate Revisions - For the fiscal year ending December 2025, Constellation Energy is expected to earn $9.55 per share, reflecting a 10.2% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for Constellation Energy has risen by 2.6% [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade to Zacks Rank 2 places Constellation Energy in the top 20% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [10].