Latest news with #ConstellationEnergy
Yahoo
2 hours ago
- Business
- Yahoo
Trump Emergency Order Halts Second Power Plant From Closure
(Bloomberg) -- The Trump administration ordered another power plant to remain operational by invoking emergency powers for a second time, a day before the facility in Pennsylvania was scheduled to close. Billionaire Steve Cohen Wants NY to Expand Taxpayer-Backed Ferry Now With Colorful Blocks, Tirana's Pyramid Represents a Changing Albania NYC Congestion Toll Brings In $216 Million in First Four Months The Economic Benefits of Paying Workers to Move Where the Wild Children's Museums Are Constellation Energy Corp.'s Eddystone Generating Station, which was set to shut down its last remaining units on Saturday, will be required to remain online under a Energy Department order, which invoked a section of federal law typically reserved for emergencies such as extreme weather events and war. The plant located just south of Philadelphia began operations in 1960, and has two remaining units that can burn either natural gas or oil during periods of high power demand, according to Constellation. The Energy Department said the decision followed recent testimony from the area's grid operator that its system faces a 'growing resource adequacy concern' because of increasing power demand, plant retirements and other factors. The department last Friday ordered the aging J.H. Campbell coal-fired power plant in West Olive, Michigan, to remain operating past its May 31 shutdown date. The move, which the Trump administration said was necessary due to factors that included a shortage of electricity, drew criticism from analysts as well as the chair of the Michigan Public Service Commission, who said no emergency existed. 'The Department of Energy's move to keep these zombie plants online will have significant public health impacts and increase electricity costs for people in Michigan and Pennsylvania,' said Kit Kennedy, a managing director at the Natural Resources Defense Council. 'These dirty and expensive fossil plants were slated to close because they could not compete with cheaper, cleaner alternatives.' The Energy Department's second order Friday came after PJM Interconnection LLC, the region's grid operator, accepted Constellation's retirement notice for its Eddystone plan after studying if such a move would threaten grid reliability. But in a statement Saturday, PJM, which manages the largest US grid roughly spanning from Washington DC to Illinois, said it supported the Energy Department's order. Constellation said in a statement Saturday it was taking immediate steps to continue to operate the remaining units at its Eddystone power plant throughout the summer and would 'investigate the possibility' of operating them for longer until it can complete work to restart Pennslvania's shuttered Three Mile Island nuclear plant. The company said it was working with PJM to accelerate the restart of that nuclear reactor, with a goal of putting it online in 2027. Previously, Constellation has said it expected the reactor to be online in 2028. --With assistance from Naureen S. Malik. (Updates with NRDC comment in sixth paragraph.) YouTube Is Swallowing TV Whole, and It's Coming for the Sitcom Millions of Americans Are Obsessed With This Japanese Barbecue Sauce AI Is Helping Executives Tackle the Dreaded Post-Vacation Inbox How Coach Handbags Became a Gen Z Status Symbol Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Bloomberg
16 hours ago
- Business
- Bloomberg
Trump Emergency Order Halts Second Power Plant From Closure
The Trump administration ordered another power plant to remain operational by invoking emergency powers for a second time, a day before the facility in Pennsylvania was scheduled to close. Constellation Energy Corp. 's Eddystone Generating Station, which was set to shut down its last remaining units on Saturday, will be required to remain online under a Energy Department order, which invoked a section of federal law typically reserved for emergencies such as extreme weather events and war.
Yahoo
19 hours ago
- Business
- Yahoo
AI Data Center Boom Boosts CEG Outlook; BMO Raises Target to $337
BMO Capital recently raised the price target on Constellation Energy Corporation (NASDAQ:CEG) to $337 from $291 and kept an Outperform rating on the shares. CEG generates and sells electricity in the United States. The rise of AI data centers has given new importance to utility firms that have been the best performers in the S&P 500 over the past few months. In a research note, the analyst highlighted that the company reported an in-line Q1, and the most important takeaway for Constellation and the broader sector was management's discussion that they were nearing long-term agreements with customers to their available carbon-free supply. A close up of a wind turbine producing electricity as the sun sets. In earnings for the first quarter, CEG posted earnings per share of $2.14. The revenue over the period was $6.69 billion, up more than 8% compared to the revenue over the same period last year. The firm also reaffirmed the full-year 2025 Adjusted (non-GAAP) Operating Earnings guidance range of $8.90 - $9.60 per share. While we acknowledge the potential of CEG, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CEG and that has 100x upside potential, check out our report about this cheapest AI stock. READ NEXT: 33 Most Important AI Companies You Should Pay Attention To and 30 Best AI Stocks to Buy According to Billionaires Disclosure: None. Sign in to access your portfolio
Mint
3 days ago
- Politics
- Mint
Trump's Nuclear Orders Could Loosen Radiation Standards. DOGE's Key Role.
The shuttered Three Mile Island nuclear power plant near Middletown, Pa. Constellation Energy is looking to give the site new life. The nuclear energy industry got a big boost last Friday when President Donald Trump signed executive orders aiming to speed up construction of reactors. But details of those executive orders are now raising alarms among nuclear experts, who worry they erode protections that keep Americans safe. In particular, Trump wants to loosen rules on how much radiation can be emitted from nuclear plants, direct the DOGE team to help test new kinds of reactors, and change standards for approving new reactors. Trump issued those directives in a series of four executive orders released late on Friday. The orders are designed to ramp up the construction of new reactors at a time when none are being built in the United States. But Trump's methods go well beyond past efforts to jump-start the nuclear energy industry. Some nuclear experts say they jeopardize the independence of the Nuclear Regulatory Commission, which oversees the safety of the U.S. nuclear fleet. The NRC was created by Congress and sits in the executive branch, where it's expected to make decisions independent of political pressure. Kathryn Huff, who led the Department of Energy's nuclear office under President Biden, said in an interview that the Fukushima and Chernobyl nuclear disasters were caused in part by a lack of independent regulators. Huff, who is now a professor at the University of Illinois, thinks Trump's executive orders—including these four and a previous one from February—look like an attempt to turn the NRC into an agent of the White House. The orders 'indicate a desire to fully capture the regulator, which is a path to nuclear accidents," she said. Some groups are raising similar concerns. The administration is 'virtually guaranteeing that this country will see a serious accident or other radiological release that will affect the health, safety and livelihoods of millions," said Dr. Edwin Lyman, the director of nuclear power safety at the nonprofit Union of Concerned Scientists, in a statement. Jennifer Gordon, a nuclear policy expert at the Atlantic Council, a think tank, wrote that the changes to the NRC could 'lessen its standing among global nuclear regulatory authorities." The White House did not immediately respond to a request for comment on the criticisms. Much of the language in Trump's executive orders aligns with bipartisan views on nuclear energy that President Joe Biden also embraced. That includes a goal of approving reactors more quickly and helping fund them with government money. Investors had a positive reaction to Trump's orders, lifting the stocks of companies like Constellation Energy that own reactors, and Oklo that are building new kinds of reactors. Nuclear companies have 'increased political clout," wrote Jefferies analyst Julien Dumoulin-Smith. But some parts of the executive orders could significantly change how the U.S. regulates nuclear plants. In one of his executive orders, Trump says that the NRC uses outdated methods to determine how much radiation is safe for Americans. 'This failure stems from a fundamental error: Instead of efficiently promoting safe, abundant nuclear energy, the NRC has instead tried to insulate Americans from the most remote risks without appropriate regard for the severe domestic and geopolitical costs of such risk aversion," he writes. In response, the NRC said it 'is assessing the executive orders and will comply with White House directives." Trump argues that it's time to change the standards of what's considered an acceptable level of radiation for the public to be exposed to. The current standards are based on a technical term known as the linear no-threshold, or LNT, model, and the NRC's principle to keep radiation 'as low as reasonably achievable." Huff says that the standards are meant to be conservative, but not totally eliminate all radiation risk. 'The idea is that you should try to minimize radiation exposure to the public reasonably," she said. Trump isn't the first person who has said the standards should be changed, but Huff thinks that any changes should follow a rigorous scientific process addressing the possible public harms. Trump also wants to cut jobs at the NRC and rewrite its rules, with the guidance of DOGE—the Department of Government Efficiency that was developed by Elon Musk. DOGE was previously criticized for mass firings at the National Nuclear Security Administration, which works on nuclear weapons programs. Many of those firings were eventually reversed amid criticism that they put the country at risk, with officials scrambling to rehire people who had been let go. Some experts questioned whether DOGE should have a role in changing rules for nuclear reactors and cutting jobs at the nuclear safety agency. 'Having DOGE involved in this is a little odd," Huff said. 'I suppose it makes sense with regard to reduction in force, but I'm not aware of any nuclear expertise on the DOGE team." The White House did not immediately respond to a request for comment on DOGE's nuclear expertise. It's also not clear how layoffs at the NRC will help speed the process of getting reactors approved. 'Reduction in force and acceleration of licensing timelines—those don't go together," Huff said. 'You have to increase the number of people if you're going to reduce the time it takes to license something." So far the NRC has not had the kind of mass layoffs that have happened at other federal agencies. There were 2,849 people working there as of April 1, down from 2,857 on Jan. 1. Since Trump's inauguration, 37 people have quit the agency and 111 have taken a deferred resignation. One of Trump's executive orders says the cost-cutting at the NRC will be flexible—the commission may even get more employees in certain areas, like reactor testing, if necessary. DOGE will also be involved in another part of Trump's nuclear plan— testing new kinds of reactors on federal property. That sort of thing is already happening at places like the Idaho National Laboratory, a federal lab that has worked with nuclear companies on test reactors. But Trump is looking to ramp up those tests and get three pilot reactors up and running by July 4, 2026. Trump wants the results of the tests to determine how the NRC reviews applications for new kinds of reactors that serve the public. The president also wants to put reactors on military bases, and look for ways to exempt them from traditional environmental reviews that can slow construction down. Chris Gadomski, the lead nuclear analyst at Bloomberg New Energy Finance, said that using military bases makes sense, because it will reduce the need for nuclear companies to pay for security, which can be a large expense. But Gadomski thinks these efforts won't lead to the construction of new reactors without more specific financial commitments from the utilities that would own them. In 2005, a similar policy effort by President George W. Bush led companies to plan for 25 new reactors, only two of which got built, and those two went billions of dollars over budget, Gadomski noted. 'You can have all this policy push" for nuclear reactors, he said. 'But you need to have the market pull too. You need to have utility executives say 'Yeah. I'll take one of those.'" Trump's executive orders say that the Department of Energy should help finance new reactors through its Loan Programs Office, which had already been financing them under the previous administration. The problem is that the office is expected to lose much of its staff due to job cuts, and Republicans in the House of Representatives are looking to cut its funds to pay for tax cuts. Secretary of Energy Chris Wright said at a recent budget hearing that he hopes the Senate will keep funding for the Loan Programs Office. 'If you are a U.S. utility and you don't have support from the Loan Programs Office to build a nuclear power plant, what other financial institutions are going to step in to fill that void?" asked Gadomski. Write to Avi Salzman at
CNBC
3 days ago
- Business
- CNBC
Palantir is a buy that has further to run, and other takes on AI plays
Palantir and Constellation Energy are buys that will benefit from the rise in artificial intelligence, while Salesforce faces rising competition in workflow software, according to David Kudla, founder and CEO at Mainstay Capital Management. Kudla joined CNBC's "Power Lunch" to discuss his views on the three stocks. Palantir Palantir , which has outperformed its peers after surging 64% in 2025, is still a buying opportunity for investors looking to tap into government demand for the company's AI-enabled tools. "We still think Palantir is a buy. Probably a buy on the dips," said Kudla, who added that he bought the stock in June 2023 when it was trading at around $15 a share. It was last selling for about $124 per share. PLTR 1D mountain Palantir "They are leveraging AI very well, they're winning the space with AI on counterterrorism and what they're doing for governments and they're increasing their commercial contracts in the private sector," Kudla said. "So, we think this stock has a lot further to run, even though it's richly valued." Constellation Energy Constellation Energy , the largest nuclear operator in the U.S. , is a clear beneficiary of the government's support of nuclear power after President Donald Trump last week signed executive orders to overhaul the Nuclear Regulatory Commission, Kudla said. "Clearly, they are a winner going forward," Kudla said. "Those executive orders are to help with deregulation, and the nuclear industry, where it's redundant, where it can be streamlined. It takes almost 10 years to build a nuclear plant right now, and the idea here with the energy demands for AI data centers is to let nuclear grow and provide the energy that America needs." The investor added that he bought the stock at the end of March. It's surged 38% just in May. Salesforce Salesforce is a hold, according to Kudla, who said the enterprise software company faces stiff competition from Microsoft . "We're not as excited about Salesforce at this point," Kudla said. "About 7% year over year growth, still a leader, still a leader in its space. But, you know, as AI is disrupting every industry, it's doing that in CRM and workflow software as well." "We have the wars between Microsoft Copilot and Salesforce Agentforce, who's going to win the battle, with back and forth," Kudla added. "But it's really about integrating AI into what they do, and who's going to do that the best." The stock is down more than 17% year to date through the Wednesday close, and trading about 1.6% postmarket following better-than-expected fiscal first-quarter results and improved forward guidance.
