New York, February 13, 2026, 10:14 EST — Regular session
Shares of Exelon Corp (EXC.O) rose about 1.1% to $48.08 on Friday morning. The Utilities Select Sector SPDR Fund (XLU) was up about 1.3%, while American Electric Power (AEP.O) gained about 1.8%.
Utilities have become a live test of the AI buildout. Power demand is rising, grids are tight in places, and the sector is pitching more spending to keep up — the part investors like, until the bill hits.
American Electric Power has moved to expand its five-year plan to more than $72 billion, and executives across the sector have been leaning on data-center demand as a driver. But the tone has shifted as PJM Interconnection — the biggest U.S. grid operator and wholesale market — warned of bill increases of more than 20% in some areas; analyst James West at Melius Research said “the conversation has definitely shifted to affordability.” Exelon CEO Calvin Butler said “everything centers on affordability and maintaining a reliable system,” as the company presses lawmakers in PJM states to let regulated utilities build and own generation, a push opposed by independent power producers. 1
Exelon on Thursday forecast 2026 adjusted profit of $2.81 to $2.91 per share, compared with analysts’ average estimate of $2.84, LSEG data showed. It reported adjusted quarterly profit of 59 cents per share versus estimates of 55 cents, and the shares rose 8.8% on Thursday to $48.24, the highest since October. On the post-earnings call, executives said “load growth,” or electricity demand, is expected to exceed 3% through 2029, and Chief Legal Officer Colette Honorable said: “We need to focus on supply because we know it will lower electric costs.” 2
In its earnings materials, Exelon said it expects $41.3 billion of capital spending over the next four years and rate base growth of 7.9%. Butler said the company is “balancing the investments needed to meet tomorrow’s energy demands while keeping our customers at the center,” and CFO Jeanne Jones said Exelon is “well-positioned to deliver annualized earnings growth near the top end of 5% to 7% through 2029.” 3
Rate base is the pool of regulated assets that utilities are allowed to earn a return on, so bigger spending can mean higher earnings — if regulators approve the recovery in customer rates. “Adjusted” profit is a non-GAAP measure that excludes selected items the company says are not tied to ongoing operations.
But the math cuts both ways. Exelon said it updated its four-year financing plan to include $3.4 billion of equity to help fund the spending program, a reminder that capital plans can translate into share issuance. At PECO, Exelon’s Pennsylvania utility, fourth-quarter profit fell to $162 million as higher taxes and other costs weighed, even with higher rates. 4
A Thursday filing showed Exelon furnished its earnings release and presentation slides to the SEC. 5
Exelon also declared a quarterly dividend of $0.42 a share, payable on March 13 to shareholders of record on March 2 — the next set of dates investors will be watching as the stock digests the bigger spending plan and the political fight over power supply. 6
