Back to top

Image: Bigstock

Constellation Energy Corporation (CEG) Gains As Market Dips: What You Should Know

Read MoreHide Full Article

Constellation Energy Corporation (CEG - Free Report) closed at $75.51 in the latest trading session, marking a +0.32% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.16%. At the same time, the Dow lost 0.12%, and the tech-heavy Nasdaq lost 3.64%.

Heading into today, shares of the company had lost 3.96% over the past month, outpacing the Oils-Energy sector's loss of 6.61% and lagging the S&P 500's gain of 0.07% in that time.

Investors will be hoping for strength from Constellation Energy Corporation as it approaches its next earnings release. On that day, Constellation Energy Corporation is projected to report earnings of $0.96 per share, which would represent year-over-year growth of 200%. Our most recent consensus estimate is calling for quarterly revenue of $5.62 billion, up 0.46% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $4.01 per share and revenue of $22.91 billion, which would represent changes of +918.37% and -6.27%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Constellation Energy Corporation. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 7.67% lower. Constellation Energy Corporation is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, Constellation Energy Corporation currently has a Forward P/E ratio of 18.79. This valuation marks a premium compared to its industry's average Forward P/E of 18.4.

Investors should also note that CEG has a PEG ratio of 0.87 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. CEG's industry had an average PEG ratio of 1.46 as of yesterday's close.

The Alternative Energy - Other industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 33% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Constellation Energy Corporation (CEG) - free report >>

Published in