stellation Energy (US:CEG) ZACKSยท2024-12-24 18:01Core Viewpoint - The recent upgrade of Constellation Energy Corporation (CEG) to a Zacks Rank 2 (Buy) is driven by an upward trend in earnings estimates, which is a significant factor influencing stock prices [2][3]. Earnings Estimates and Stock Performance - Empirical research indicates a strong correlation between earnings estimate revisions and near-term stock movements, making it beneficial for investors to track these revisions for investment decisions [4][13]. - The Zacks Rank stock-rating system effectively utilizes earnings estimate revisions to classify stocks, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. Company-Specific Insights - For the fiscal year ending December 2024, Constellation Energy Corporation is projected to earn $8.31 per share, reflecting a 65.9% increase from the previous year [8]. - The upgrade to Zacks Rank 2 places Constellation Energy in the top 20% of Zacks-covered stocks based on estimate revisions, suggesting potential for stock price appreciation in the near term [11][10]. Analyst Activity - Analysts have consistently raised their earnings estimates for Constellation Energy Corporation, with the Zacks Consensus Estimate increasing by 4.5% over the past three months [15].