Constellation Energy Corporatio(CEG) - Stock detail

Constellation Energy Corporatio

US
CEG
Constellation Energy Corporation(Listing date: 02/02/2022)

Constellation Energy Corporation was incorporated in Pennsylvania on June 15, 2021. It is the largest producer of carbon-free energy in the United States and a leading supplier of energy products and services to businesses, homes, community aggregations, and public sector customers across the continental United States, including three-quarters of the Fortune 100 companies. The company's generating fleet, consisting of nuclear, hydroelectric, wind, and solar power facilities, has a generating capacity equivalent to 16 million homes and produces approximately 10% of the carbon-free energy in the United States.

AI Value AnalystHold
Overall Rating4/10
Generated at:2026-03-06 16:41:06
Analysis based on 5 financial reports from 2024-09-30 to 2025-09-30. Data includes quarterly financial statements, valuation metrics, and profitability indicators. All currency in US Dollars. Analysis completed as of 2026-03-07 with real market data.
Overview

Constellation Energy Corporation is a leading U.S.-based energy producer operating in multiple power regions with significant clean energy assets. The company shows moderate financial health with sufficient liquidity but high leverage, mixed profitability signals with recent declines, and potential overvaluation relative to industry norms.

Valuation
3/10
Profitability
4/10
Financial health
5/10
Operation Advice
  • Monitor upcoming earnings for margin recovery signs.
  • Consider accumulating on dips below $300 for long-term exposure, but avoid aggressive positions until profitability stabilizes.
  • The reasonable fair value range is $290-$330.

Valuation

P/E TTM
50.71
P/E LYR
27.78
P/B MRQ
8.10
P/S TTM
--
AI Analysis
  • Valuation metrics indicate potential overvaluation with elevated P/E and P/B ratios exceeding industry averages, though current price trades near the midpoint of historical range with fundamental support around $280-$300.
  • Dynamic P/E of 27.78 is reasonable for growth-oriented utilities
  • P/E-TTM of 50.71 is elevated, implying high earnings expectations despite recent declines
  • P/B ratio of 8.10 significantly exceeds industry averages (typically 1-3 for utilities)
  • P/S ratio of 4.70 is above the sector median (~2-3), indicating premium pricing relative to sales
  • Current price of $319.06 trades near the midpoint of 60-day range ($245.02-$380.78)
  • Fundamental support lies around $280-$300 aligning with book value and oversold levels
  • Resistance is near $350-$380 at previous highs
  • Reasonable fair value range is $290-$330 considering earnings volatility and sector multiples
Valuation trend

Profitability

ROE TTM
16.75%
Net margin
9.10%
Gross margin
42.50%
Total revenue
25.53B
AI Analysis
  • Profitability shows mixed signals with efficient equity use but declining margins and earnings trends, indicating cost pressures and cyclical headwinds affecting recent performance.
  • ROE-TTM of 20.18% and ROA-TTM of 5.04% reflect efficient use of equity but moderate asset utilization
  • Gross margin dipped to 43.04% in Q3 2025 from 51.55% in annual 2024, indicating cost pressures or pricing challenges
  • Net margin fell to 9.72% from 15.86% in 2024, highlighting eroded profitability amid rising expenses
  • Sequential quarterly declines in EPS (Q1 2025: $0.38, Q3 2025: $6.02) show volatility
  • Negative YoY growth in recent quarters suggests cyclical headwinds
  • Annual 2024 performance was robust with 130.99% net income growth
  • Profitability is constrained by high leverage
  • Recent quarterly data shows decline in net income (-34.86% YoY) in Q3 2025
Profitability
2024Q42025Q12025Q22025Q32025Q4
ROE TTM--0.90%7.19%13.72%16.75%
Earnings
2024Q42025Q12025Q22025Q32025Q4
Total revenue23.57B6.79B12.89B19.46B25.53B

Financial health

Debt/Asset
74.06%
Current ratio
1.53
Quick ratio
1.31
Cash ratio
1.31
AI Analysis
  • Company demonstrates moderate financial health with sufficient liquidity but high debt burden typical for utilities, showing sensitivity to interest rate volatility and economic conditions.
  • Current ratio of 1.56 and quick ratio of 1.37 indicate sufficient short-term liquidity to meet obligations
  • Liquidity is not exceptionally strong but adequate
  • High debt burden with 73.84% debt-to-asset ratio, typical for utilities due to infrastructure investments
  • High leverage increases financial risk during interest rate volatility or economic downturns
  • Recent quarterly data shows volatility in financial performance
  • Annual 2024 performance was robust but Q3 2025 showed declines
  • Financial condition suggests sensitivity to energy price fluctuations and operational costs
Leverage
2024Q42025Q12025Q22025Q32025Q4
Debt/Asset74.42%74.48%73.98%73.84%74.06%
Liquidity
2024Q42025Q12025Q22025Q32025Q4
Current ratio1.571.471.481.561.53