KeyBanc Reaffirms Overweight on Constellation (CEG), Eyes Year-End Deal

Constellation Energy Corporation (NASDAQ:CEG) is one of the 10 AI Stocks Making Waves on Wall Street.  On August 8, KeyBanc analyst Sophie Karp raised the price target on the stock to $359.00 (from $337.00) while maintaining an Overweight rating.

The firm noted how Constellation reported its second-quarter results slightly ahead of consensus expectations, reiterating both its 2025 and long-term guidance. However, shares were down amid no deals announcement.

“Shares were slightly down (-0.4% vs. UTY +1.0%) as the Company did not announce a deal, but we expect one to be announced by yearend as the Company highlighted two, with one specifically in the late stages.”

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Keybanc is optimistic about upcoming deals considering how Constellation remains well-positioned to capitalize on the expanding data economy and its “intrinsically appreciating generation fleet.” Recent PJM results and the company’s long-term power purchase agreement with Meta supports this thesis. The company also talked about other near-term catalysts.

“Other NT catalysts include FERC resolution with resulting regulatory clarity and the closing of the Calpine deal. That said, we believe the scarcity value of CEG’s assets will continue to put upward pressure on shares as more deals are announced and expect buybacks to provide support for the share price. Reiterate OW rating, raise PT to $359.”

Constellation Energy Corporation (NASDAQ:CEG) is an energy provider specializing in clean, carbon-free energy solutions.

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