Constellation Energy Corporation (CEG) Registers a Bigger Fall Than the Market: Important Facts to Note

Constellation Energy Corporation (CEG) closed the most recent trading day at $183.86, moving -0.83% from the previous trading session. This change lagged the S&P 500's daily loss of 0.22%. Meanwhile, the Dow experienced a rise of 0.06%, and the technology-dominated Nasdaq saw a decrease of 0.52%.

Prior to today's trading, shares of the company had gained 5.51% over the past month. This has outpaced the Oils-Energy sector's gain of 3.38% and the S&P 500's loss of 1.66% in that time.

Analysts and investors alike will be keeping a close eye on the performance of Constellation Energy Corporation in its upcoming earnings disclosure. The company's earnings report is set to go public on May 9, 2024. On that day, Constellation Energy Corporation is projected to report earnings of $1.89 per share, which would represent year-over-year growth of 551.72%. Meanwhile, the latest consensus estimate predicts the revenue to be $8.4 billion, indicating a 11.09% increase compared to the same quarter of the previous year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $7.41 per share and a revenue of $23.69 billion, representing changes of +47.9% and -4.92%, respectively, from the prior year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Constellation Energy Corporation. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 3.16% increase. At present, Constellation Energy Corporation boasts a Zacks Rank of #2 (Buy).

From a valuation perspective, Constellation Energy Corporation is currently exchanging hands at a Forward P/E ratio of 25.02. This expresses a premium compared to the average Forward P/E of 24.32 of its industry.

One should further note that CEG currently holds a PEG ratio of 0.9. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. CEG's industry had an average PEG ratio of 1.58 as of yesterday's close.

The Alternative Energy - Other industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 74, this industry ranks in the top 30% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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