30 Most Important AI Stocks According to BlackRock

17. Constellation Energy Corporation (NASDAQ:CEG)

Number of Hedge Fund Holders: 71 

Constellation Energy Corporation (NASDAQ:CEG) generates and sells electricity in the United States. The rising demand for power driven by AI data center construction has brought energy companies into the spotlight. Earlier this week, Morgan Stanley projected that increasing electricity prices would favor companies like Constellation Energy Corporation (NASDAQ:CEG) in the coming months. The investment bank anticipates that capacity prices in much of the PJM region could reach a $695/MW-day price cap, more than double the previous record of $270/MW-day set in the PJM July capacity auction, due to tight power supplies.

Constellation Energy Corporation (NASDAQ:CEG) has attracted a lot of attention on Wall Street. Argus recently lowered the price target on the stock to $200 from $240 but kept a Buy rating, noting CEG was a well-run, financially strong company that had an impressive history and valuable presence in the emerging industry. The advisory added that the company was poised to take advantage of the global transition to carbon-free energy, with recent results encouraging as electricity demand increases from data centers empowering AI.