Why Constellation Energy Stock Flopped Today
Key Points
Constellation guidance for 2026 misses analyst forecasts.
Guidance through 2030 misses by even more.
- 10 stocks we like better than Constellation Energy ›
Constellation Energy (NASDAQ: CEG) stock tumbled 6.5% through 9:40 a.m. ET this morning after publishing its 2026 Business and Earnings Outlook.
The Outlook covers Constellation's expectations through 2030. It's what the utility said about 2026, that seems to have investors upset today -- but the long term implications are even more worrisome.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Image source: Getty Images.
Constellation's Plan 2030
Constellation has big things in store for investors over the next five years. Starting with 2026, management says investors can expect anywhere from $11 to $12 per share in operating earnings, or $11.50 at the midpoint. That's a big 55% jump from 2025 GAAP earnings of $7.40 per share. (Wall Street analysts, however, are looking for $11.60 -- so Constellation is already starting off on the wrong foot.)
Base earnings will grow 20% annually as the company expands sales of both natural gas and nuclear power. Unfortunately, it appears growth will be backloaded, with earnings growing at only 10% in the first three years. Run-rate that growth out, and 20% growth from $7.40 in 2025 implies that five years from now, in 2030, Constellation might be earning as much as $18.41 per share.
But here's the problem: Analysts polled by S&P Global Market Intelligence want to see Constellation earn no less than $33.43 per share in 2030.
What it means for Constellation stock
Long story short, Constellation's ballyhooed 2026 Business and Earnings Outlook is actually nothing more than a 62-page promise to miss earnings this year, miss earnings next year, and keep on missing earnings for the next five years.
That's probably not what investors were hoping to see from a stock trading at 37 times earnings today. It's precisely the reason Constellation stock is going down.
Should you buy stock in Constellation Energy right now?
Before you buy stock in Constellation Energy, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Constellation Energy wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $501,381!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,012,581!*
Now, it’s worth noting Stock Advisor’s total average return is 880% — a market-crushing outperformance compared to 178% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of March 31, 2026.
Rich Smith has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Constellation Energy. The Motley Fool has a disclosure policy.
Recommended Articles
