Can Constellation Energy (CEG) Capitalize on the Growing Demand for Clean Electricity?

Constellation Energy Corporation (NASDAQ:CEG) is one of the 10 Best Under-the-Radar Data Center Stocks to Buy. In the past year, the company’s stock jumped 36.87%, while it posted a 21.59% percent year-to-date. On April 22, Evercore ISI resumed coverage of Constellation Energy (CEG) with an Outperform rating and $380 price target, TheFly reported. The coverage resumption was driven by the company’s completion of its $26.6B Calpine acquisition earlier this year.

On January 7, Constellation announced the completion of its acquisition of Calpine Corporation from Energy Capital Partners, which resulted in the combined company having approximately 55 gigawatts (GW) of capacity across nuclear, natural gas, geothermal, hydro, wind, solar, and battery storage.

For this year, Constellation Energy is targeting $3.9 billion in capital spending and has increased its share buyback authorization to $5 billion, as it prepares to meet the growing demand for clean electricity, Reuters reported in March.

Constellation Energy’s stock continues to see a strong buy rating from analysts. Based on 21 analyst ratings compiled by CNN, 86 percent assigned a Buy rating on Constellation Energy. It currently has a median price target of $388.00, a 35.12 percent upside from its current price.

Constellation Energy Corporation (NASDAQ:CEG) is the largest private-sector power producer in the world and the nation’s largest producer of clean and reliable energy. With 55 gigawatts of capacity from nuclear, natural gas, oil, geothermal, hydro, wind, and solar facilities, its fleet has the generating capacity to power the equivalent of 27 million homes, providing about 10% of the nation’s clean energy and delivering the around-the-clock reliability needed to power America’s growing economy.

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