Constellation Energy (CEG)

It reports Monday. It supplies big tech companies. Earnings are fine. What matters with this is the zeitgeist.

Utility sector is starting to slowly matter again. Getting attention because power demand is growing, especially in US with AI and data centres.

She invests selectively in the space, and this is a name to own.

Down 20.55%, but is worth buying on dips, because new power plants take forever to build and they don't price gouge. At 24x PE, he likes this one..

Largest producer of clean power in the US. Stability of the business really stands out. Earnings visibility that most producers can't match. Accelerating growth. Two major deals with data centres, and expects 1 more agreement soon. Strong long-term outlook. Guiding to double-digit earnings growth through 2030. 

Sees a price target of ~$405. Ranks 8/10 on fundamentals. Yield is 0.43%.

 It reports Friday. A winner that will keep winning.

At the end of the day, will come down to trying to secure deals like those with MSFT and META. Companies are going to need that comfort level of secure capital before building out new capacity. Traditional nuclear is famous for cost overruns.

He doesn't follow it that well. Although quantum computing is quite far off AI will continue to grow the need for data centres so more energy will be needed. Therefore CEG should do well.

Is a huge data centre play and soaring because of that. Then DeepSeek happened to throw doubt and hammered the stock. It has since risen. Is waiting until there's more clarity about this space and DeepSeek's actual costs.

A lot of the power, and even nuclear, stocks got hit. The market got that side of it right because in most technological revolutions, the price starts out high and then starts to come down as the demand goes up. If you look at what BABA came out with today, it puts DeepSeek in the back seat.

The power side is where you should be taking a bit of profit. You can see that a lot of people have over the last few days.

Unsure on direction of company as new data/A.I. companies are finding ways to use less energy. Will be a good stock to watch. 

The utilities sector has outperformed this year, so his holding has outgrown his portfolio weighting. It's a little expensive historically, now trading at 26X PE.

Very volatile and prefers other names, but this tends to bounce back because of its involvement in data centres. Take profits at $250-260.

There's a huge need for carbon-free power 24/7. CEG struck a deal with Microsoft and other tech giants will follow.

A good solar play that had outpaced its peers. Partial buy or hold. Don't sell.

It was down nearly 9% today and it will remain under heavy pressure, because the rotation now will continue for a few more days.