VST - Constellation Energy's Starry Returns (Ratings Downgrade)
2024-03-20 18:21:06 ET
Summary
- Constellation Energy, a $54.6 billion market cap company paying a 0.8% dividend, is the electric generation company spun off from utility company Exelon two years ago.
- Constellation has the largest US fleet of nuclear power plants. Nuclear is unique and thus preferred among electricity generating fuels because it's non-hydrocarbon and--especially--24/7 baseload.
- The company serves regions and grids throughout the US.
More investors have discovered Constellation Energy ( CEG ) since my last review nearly a year ago: its stock price has increased an incredible 120% and its market capitalization has increased an equally incredible 112%.
While enthusiasm for an independent power producer with so much carbon-free electricity production capacity — especially nuclear — is likely to continue the stock’s momentum, Constellation can only be recommended as a momentum or ESG play. It's at 93% of the 52-week high and pays a 0.8% dividend....
Constellation Energy's Starry Returns (Ratings Downgrade)