Constellation Energy stock soars after inking deal with Microsoft

Shares of Constellation Energy (CEG) are soaring after the company signed a new deal with Microsoft (MSFT) to provide it with clean energy to satisfy the tech giant's electricity needs for its cloud computing and AI data centers. This deal could see the reopening of the Three Mile Island nuclear plant.

Catalysts Hosts Seana Smith and Madison Mills report more on the story and discuss how the partnership is expected to add $16 billion to Pennsylvania's economy.

For more expert insight and the latest market action, click here to watch this full episode of Catalysts.

This post was written by Melanie Riehl

Video transcript

And lastly, we're taking a look at Constellation Energy popping this morning after signing a new deal with Microsoft to provide the tech company with nuclear energy from three mile Island.

Microsoft is looking to upgrade its electricity usage to compensation for its four for its foray into cloud computing and artificial intelligence.

You can see the street viewing this as a massive wind here for Constellation energy.

You're looking at gains of just about 13%.

This new deal here with Amazon or excuse me, the new deal here with Microsoft very much viewed as a catalyst here for the stock going forward.

Ma Yeah, and the new power plan is expected to come to fruition in 2028.

I want to talk about the potential impact just to the state of Pennsylvania because this these numbers really struck me.

OK. We've got a potential of creating 3400 jobs at a whopping $16 billion just to Pennsylvania's economy.

Off of this news also expected to generate 800 megawatts of electricity for the grid.

So certainly something that is going to continue to be a trend.

I think when we talk about the energy needs for artificial intelligence.

This is one really great example, this story of the energy needs that A I really requires and something that I think we're going to continue to be hearing a lot more about moving forward.