Constellation Beats Q2, Raises Guidance, Sells Texas Gas Plant for $860M
CEG sits 23% above its 52-week low of $228.63.
Summary
Constellation Energy delivered a strong Q2, with operating EPS of $2.55 beating the $2.28 consensus. The company raised its full-year operating earnings guidance to $11.50-$12.50 per share, up from $11.00-$12.00, reflecting robust power demand. In a strategic move, it agreed to sell the Brazos Valley Energy Center gas plant in Texas to LS Power for $860 million, the final divestiture required to complete the Calpine acquisition. The deal strengthens LS Power's ERCOT presence and brings Constellation's focus back to its nuclear-heavy fleet. Additionally, Constellation signed agreements to supply 920 MW of nuclear power to investment-grade customers under 15-20 year contracts starting 2029-2032, and filed for 20-year license extensions for two New York reactors. Shares rose 5% premarket on the news.
At the time of this announcement, CEG was trading at $280.50 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $95.2B. The 52-week trading range was $228.63 to $412.70. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Reuters.