CEG - Constellation Energy Corporation
Every bond a hyperscaler sells to fund its next GPU cluster competes directly with Treasuries for the same pool of capital, and the ripple is now hitting five companies in ways most investors have not priced in.
These companies operate in two different phases of the power supply chain and complement each other.
Constellation Energy shows steadier, stronger revenue growth with consistent year-over-year gains, whereas Vistra's growth is slower and choppier. The dominant trend in recent quarters reveals that both companies have navigated significant volatility, but Constellation's revenue base is larger.
Modern data centers powered by advanced Nvidia chips require significantly more power compared to traditional setups. Technology companies have signed some major long-term power purchase agreements with independent power producers.
Nuclear names sold off hard into Tuesday's close. Oklo (NYSE:OKLO | OKLO Price Prediction) finished down roughly 6% at $41, Constellation Energy (NASDAQ:CEG) fell about 4% to $267, and NuScale Power (NYSE:SMR) slid roughly 6% to $9.
Constellation Energy trades at about $274, roughly a third below its record of $412.70, after raising full-year earnings guidance this month. The 2026 guidance midpoint of $12 per share sits 28% above last year's adjusted operating earnings of $9.39.
Nuclear is booming, and the smartest money may be flowing to the companies already selling the power, equipment, and fuel.
Constellation has several long-term service agreements to provide nuclear power to hyperscalers. Cameco Corporation benefits from the U.S. ban on Russian uranium.
Artificial intelligence workloads are pulling forward a decade of electricity demand growth, and nuclear power is emerging as the always-on backbone hyperscalers actually want to buy.
Energy stocks are becoming key players as data center energy demand explodes.
A weekly summary of dividend activity for Dividend Champions, Contenders, and Challengers. Companies which changed their dividends. Companies with upcoming ex-dividend dates.
Constellation Energy expands long-term nuclear contracts, license extensions and uprates as carbon-free power demand rises.
Oklo recently acquired Atomic Alchemy, which will expand the company's capabilities beyond selling SMRs. As the second-largest uranium miner, Cameco is the force fueling the nuclear industry recovery.
I'm reiterating Constellation Energy as a Strong Buy with a raised price target of $449. AI-driven power demand is translating into long-duration nuclear contracts, with 920 MW of new agreements and 1,100 MW of potential uprates providing significant forward optionality. Calpine's earnings contribution and aggressive share repurchases are accelerating EPS growth, supporting a 20%+ base EPS CAGR through 2029 and reducing dilution risk.
Tom Yeung here with your Sunday Digest . Imagine that you own a Formula One race car.
Constellation Energy just raised its guidance for fiscal year 2026. The power and nuclear energy giant has made crucial progress on a major contract.
Constellation lifts 2026 earnings guidance as Calpine accretion, nuclear contracting and Crane progress strengthen its growth outlook.
Constellation Energy is rated BUY, with fair valuation, strong fundamentals, and a robust long-term growth outlook driven by AI-driven electricity demand. Constellation Energy's acquisition of Calpine creates a hybrid nuclear-gas fleet, enhancing operational flexibility and profitability as data centers drive base load demand. The fully amortized nuclear fleet, with extended licenses, acts as a cash flow generator, benefiting directly from rising electricity prices and contract renewals.
Artificial intelligence has an electricity problem, and nuclear is the answer investors keep circling back to.
As data centers strain the grid and hyperscalers race to secure reliable electricity, utilities with nuclear and renewable assets are moving from sleepy dividend plays to essential AI infrastructure stocks.