KeyBanc on Constellation Energy (CEG): 'PJM Auction Lights Up the Market'

KeyBanc analyst Sophie Karp reiterated an Overweight rating and $337.00 price target on Constellation Energy (NASDAQ: CEG).

The analyst commented: "PJM Auction Lights Up the Market; PJM released its BRA auction results for the 2026/2027 planning year after market today, with prices reaching the cap across all PJM zones. We view this as a positive for CEG and other IPPs, and believe the latest results demonstrate that the demand trends in the region are strong enough to offset demand response and the inclusion of RMR units. The uplift should benefit CEG's and PEG's 2026 earnings, in our view.

We reiterate our OW rating on CEG, which we believe will continue to benefit from favorable trends in the power markets. In addition to CEG, PEG is also set to potentially benefit from the results due to its nuclear generation in the PJM. However, the state of NJ remains focused on customer affordability. PEG, EXC, and other NJ utilities agreed to delay the higher power prices from the 2025/2026 BRA during the summer months. PEG will also absorb the costs associated with the deferrals."

For an analyst ratings summary and ratings history on Constellation Energy click here. For more ratings news on Constellation Energy click here.

Shares of Constellation Energy closed at $317.79 yesterday.

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