In this piece we will look at the 5 Best Data Center Stocks That Are Cheaper Than the S&P 500. Please visit 7 Best Data Center Stocks That Are Cheaper Than the S&P 500 if you’d like to see an extended list and how we came up with the list of Best Data Center Stocks That Are Cheaper Than the S&P 500.
5. Constellation Energy Corporation (NASDAQ:CEG)
Forward P/E Ratio: 22.33
Number of Hedge Fund Holders: 79
Constellation Energy Corporation (NASDAQ:CEG) is a leading energy supplier specializing in reliable, emissions-free energy for businesses, homes, and public sector customers. The company operates one of the largest fleets of nuclear power plants in the US and has signed high-profile power agreements directly with tech giants, including Microsoft. Constellation Energy Corporation (NASDAQ:CEG) ranks among our Best Data Center Stocks That Are Cheaper Than the S&P 500.
The share price of Constellation Energy has gained more than 10% over the past 5 days after a period of prolonged volatility. The gains are mostly driven by strong momentum carried forward from the company’s fiscal Q1 2026 earnings released last month, and also the increasing demand for nuclear energy for AI data centers.
Recently, on June 11, Shahriar Pourreza from Wells Fargo maintained a Buy rating on the stock with a price target of $516. The bullish sentiment is driven by strong Q1 earnings. During the quarter, Constellation Energy delivered adjusted EPS of $2.74, surpassing consensus estimates of $2.61. The revenue also improved 63.8% year-over-year to $11.12 billion, surpassing the estimates of $8.69 billion.
Notably, the company secured net metering approval to co-locate a large-scale data center at its Freestone site. Moreover, the nuclear fleet achieved a 92.3% capacity factor, generating 40 million megawatt-hours. Management affirmed its full-year 2026 adjusted operating EPS guidance of $11.00 to $12.00.
Constellation Energy Corporation (NASDAQ:CEG) is a leading energy supplier specializing in reliable, emissions-free energy for businesses, homes, and public sector customers.
Hedge Fund Resource Center