NEW YORK, March 3, 2026, 15:54 EST — Regular session
- Constellation Energy shares bounced off their sharp early drop, ending up nearly flat late in Tuesday’s session.
- Oil surged as the Middle East conflict escalated, stoking inflation worries and knocking stocks down.
- Investors now have their sights on Constellation’s outlook call set for March 31, waiting for guidance on 2026.
Constellation Energy (CEG) shook off a sharp morning drop, trimming losses to just 0.1% at $326.74 late Tuesday. After tumbling as much as 5.4% right after the bell, shares bounced around between $309.38 and $328.37 in a volatile session.
Stocks in the U.S. extended losses, pressured by another surge in energy prices and persistent concerns over the Middle East conflict fueling inflation. The Dow shed roughly 0.6%, with the S&P 500 and Nasdaq both off 0.8% as of the afternoon, according to Reuters. 1
Power producers are back in focus as Big Tech’s AI expansion forces utilities and developers to ramp up supply. NextEra Energy projects it will add 15 to 30 gigawatts of new generation for U.S. data centers over the next nine years, most of it likely from natural gas. Appetite for scaled platforms tied to this demand is clear: a consortium led by BlackRock and EQT just inked a $33.4 billion deal for AES. 2
Oil prices jumped. Brent futures surged nearly 6% to $82.44 per barrel, with U.S. crude up a similar 6% at $75.66, according to Reuters, as supply jitters flared from attacks and shipping trouble near the Strait of Hormuz. Standard Chartered analysts called Iran’s response “broader” than past incidents. Consultant Andrew Lipow flagged the risk of infrastructure hits pushing Brent up toward $90. 3
The energy shock is running headlong into another hurdle for power producers: equipment supply. Capital costs for U.S. combined-cycle gas plants—those using both gas and steam turbines to wring out extra electricity from a single fuel source—have jumped, more than doubling over the past year or two to at least $2,400 per kilowatt, according to Tyler Fitch at RMI, Reuters reported. Turbine delivery times have stretched, so developers are scrambling to secure machinery sooner or revisiting how they finance their projects. 4
Constellation has investors watching for its next major update. Last week, the company announced plans to outline 2026 guidance during a March 31 business and earnings outlook call—timed after its fourth-quarter report and the closing of the Calpine deal. Alongside these plans, Constellation lifted its annual dividend 10%, and approved a quarterly payout of $0.4265 a share, set for March 20 to holders on record as of March 9. 5
Following the earnings release, Melius Research’s James West described Constellation as “well-positioned” for the expected surge in data center demand in 2026. He highlighted the company’s larger natural gas holdings and its presence in ERCOT, the Texas grid. 6
Tuesday’s action showed that not even the more defensive utilities could sidestep the selling when investors pulled back from risk. “Investors might be underestimating the geopolitical risk,” Morgan Stanley Investment Management’s Andrew Slimmon told Reuters, with the market eyeing the inflation threat of pricier energy. 7
Traders are watching oil now, not just earnings noise. Citi sees Brent bouncing around $80 to $90 a barrel this week; prices could pull back if geopolitical worries die down, according to Reuters. For Constellation, the big date stays March 31—its next outlook call on the calendar. 8
