10 Best Electric Utility Stocks To Invest In

3. Constellation Energy (NASDAQ:CEG)  

Number of Hedge Fund Holders: 71

Constellation Energy (NASDAQ:CEG) supplies energy products, including natural gas and related services, across North America and owns the largest fleet of nuclear power plants in the U.S., generating 10% of the nation’s carbon-free electricity.

On September 20, Barclays reaffirmed its Overweight rating on Constellation Energy (NASDAQ:CEG) with a $211 price target, spotlighting a new 20-year power purchase agreement with Microsoft to revitalize Three Mile Island Unit 1, soon to be renamed the Crane Clean Energy Center. This agreement is projected to increase Constellation’s base EPS growth rate from at least 10% to 13% annually from 2024 through 2030, potentially boosting EPS above $15 by 2028 as the project completes.

In its third-quarter 2024 earnings report, Constellation Energy (NASDAQ:CEG) posted significant gains, driven by efforts to expand its clean energy portfolio. The company recorded a GAAP net income of $3.82 per share, up from $2.26 a year prior, and adjusted operating earnings of $2.74 per share, an increase from $2.13 in Q3 2023. Additionally, the company raised its full-year 2024 adjusted earnings guidance to between $8.00 and $8.40 per share.