13 Most Promising QQQ Stocks According to Hedge Funds

4. Constellation Energy Corporation (NASDAQ:CEG)

Analyst Upside: 40.93%

Number of Hedge Fund Holders: 91

On January 9, TD Cowen began coverage of Constellation Energy Corporation (NASDAQ:CEG) with a Buy rating and a $440 price target, citing the scale benefits of the Calpine Corporation acquisition, and the potential of continuous power contraction over forward market pricing into 2026.

The demand for power in the United States seems substantial, with load predictions indicating that demand will continue to surpass supply for several years. TD Cowen expects these trends to support higher spark spreads and capacity pricing, with data center capital spending serving as a primary source of additional demand.

The Calpine acquisition is a key component of TD Cowen’s bullish outlook. The firm stated that the settlement with the United States DoJ was more positive than expected, considering the minimal divestitures in relation to the transaction’s scale and the age of the assets that were being sold.

Constellation Energy Corporation (NASDAQ:CEG) is an American energy company that produces and sells electricity, natural gas, and sustainable energy solutions across the United States.