Constellation Energy beats Q4 adjusted EPS expectations, plans 10% dividend hike in 2026

Overview

• Energy provider's Q4 adjusted EPS beat analyst expectations despite a decrease in adj operating earnings

• Company completed acquisition of Calpine Corporation, expanding generation portfolio

• DOE approved $1 bln loan guarantee for Crane Clean Energy Center restart

Outlook

• Constellation plans to increase dividend per share by 10% in 2026

• Company to discuss 2026 guidance on March 31, 2026

Result Drivers

• CALPINE ACQUISITION - Completed acquisition of Calpine Corporation, expanding generation portfolio with nuclear, natural gas, and geothermal resources

• NUCLEAR LICENSES - Secured NRC approval of extended operating licenses for Clinton and Dresden nuclear stations

• UNFAVORABLE NUCLEAR RESULTS - Q4 adjusted operating earnings impacted by unfavorable nuclear PTC portfolio results, partially offset by favorable market conditions

Company press release: ID:nBw3Qlz38a

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 15 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electric utilities peer group is "buy"

• Wall Street's median 12-month price target for Constellation Energy Corp is $405.00, about 37.8% above its February 23 closing price of $293.80

• The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 38 three months ago

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