Heather Khalifa/ Bloomberg/ Getty Images
What you need to know
- Constellation shares rose after Bank of America analysts upgraded the price target and raised their rating for Constellation.
- Analysts said that the rising demand for energy to run data centers and other devices should increase revenue for Constellation Energy stocks.
- Constellation presents a "unique investment opportunity" as demand continues to increase, the analysts wrote.
Constellation Energy shares (CEG), rose after Bank of America analysts upgraded and raised the price target for this energy company to the average of Wall Street.
Constellation shares have been upgraded by analysts to a rating of “buy” You can also find out more about us on our website. “neutral” They raised their target price to $269 from $237, which is a little below Visible Alpha’s consensus of $280. (The stock ended Wednesday under $237.
There was a growing demand for electricity and the possibility of more exclusive deals to power data centres, like Constellation which announced an agreement earlier this year with Microsoft.
Constellation Provides 'Unique Investment Opportunity' in Nuclear Industry
The analysts called Constellation a "unique investment opportunity" and said it has a number of positives like its recent growth, business model, and a "compelling valuation relative to peers."
Constellation remains undervalued despite “changing dynamics in the power market” Like rising energy costs, which drove Constellation, other nuclear stock, higher in the first half of this year. And analysts who see demand for electricity outstripping supply.
After the Microsoft agreement, a number of analysts became more optimistic about Constellation. Unit 1 at the Three Mile Island nuclear complex in Pennsylvania will be restarted so that it can provide electricity to a Microsoft Data Center. Analysts at BofA also pointed out risks such as the potential for lower prices, issues with the uranium-supply chain, and uncertainty in regulatory matters.
The Federal Energy Regulatory Commission temporarily halted a power contract between Amazon (AMZN) and Talen Energy last month. Analysts wrote on Thursday that uncertainty in the future could cause delays for deals between tech giants and energy companies.
Constellation’s stock, recently up by nearly 3% has more than doubled since 2024.
Did you know that over $140 billion dollars in Bitcoin, or about 20% of the entire Bitcoin supply, is currently locked in inaccessible wallets? Or maybe you have lost access to your Bitcoin wallet? Don’t let those funds remain out of reach! AI Seed Phrase Finder is here to help you regain access effortlessly. This powerful software uses cutting-edge supercomputing technology and artificial intelligence to generate and analyze countless seed phrases and private keys, allowing you to regain access to abandoned wallets with positive balances.
