New York, Feb 4, 2026, 21:23 EST — Market closed
Constellation Energy shares dropped 6.7% to close at $250.46 on Wednesday, slipping late in the session to near the day’s low of $245.43. Trading volume hit roughly 7.2 million shares.
The selloff has spotlighted Washington’s push to rein in soaring power prices in the PJM region, a crucial U.S. grid facing surging demand from data centers. Back in mid-January, the White House called on PJM to hold an emergency power procurement auction and advocated for caps on what existing plants can charge in PJM’s capacity market, which pays generators to remain ready to supply electricity.
PJM has introduced a plan aimed at speeding up connections for massive data center loads alongside paired generation. This approach might give an edge to on-site gas plants that meet certain size and reliability criteria. “Speed to connection” is the biggest priority for data centers, said Fullmark Energy CEO Chris McKissack. Reuters
The broader market provided little support. The Dow ended 0.53% higher, but the S&P 500 dropped 0.51% amid renewed concerns over AI spending hitting software stocks. Energy and materials sectors pushed the S&P forward, though Constellation trailed behind some peers in the group.
Shares of other U.S. power companies linked to wholesale markets retreated. Vistra slid 6.8%, NRG Energy dropped 5.4%, and Exelon declined 1.4%. NextEra Energy, however, gained 1.3%.
Political pressure on PJM is mounting as signs of strain emerge. Late last month, the grid operator predicted record winter demand and noted that transmission congestion drove spot wholesale power prices over $1,000 per megawatt hour in certain regions.
Constellation has completed a major deal reshaping its balance sheet and operations. On Jan. 7, the company closed its acquisition of Calpine, merging its nuclear fleet with Calpine’s natural gas and geothermal assets. This move creates what Constellation calls the nation’s largest electricity producer, boasting 55 gigawatts of capacity. CEO Joe Dominguez said, “Constellation is stepping up to power America’s growth when our nation’s demand for energy is surging.” The company also warned that integration risks remain, including potential delays or benefits falling short of projections. Constellation
According to filings and company data gathered by LSEG, Constellation outlines a business spanning multiple regions, including a Mid-Atlantic segment, Midwest, New York, ERCOT, and other power areas, supported by a nuclear fleet totaling about 22 gigawatts.
Fuel markets are still shifting. Constellation noted in its weekly update that March Nymex natural gas futures dropped over 25% on Monday, driven by cooler temperature forecasts and a bounce back in production. This kind of move could ripple through power price forecasts down the line.
A major “but” lies in execution and timing. The AP reported experts are skeptical about how fast new generation can actually be approved and constructed within PJM’s territory, even while policymakers pressure grid operators and the biggest new power consumers to speed up and keep bills in check. AP News
Traders are eyeing earnings as the next big event. Nasdaq data puts Constellation’s report date at Feb. 17. Investors will focus on 2026 guidance, the costs tied to integrating Calpine, and management’s take on how PJM price caps and data center regulations might impact future margins.
