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Nuclear power producer Constellation Energy CEG.O said on Tuesday it planned capital spending of $3.9 billion and increased its share repurchase authorization to $5 billion, as it prepares to meet growing demand clean electricity.
U.S. electricity demand is expected to rise further after hitting a record high in 2025, driven by the rapid construction of data centers for artificial intelligence and cryptocurrency, and the electrification of homes, businesses and transportation.
Companies are responding by investing more in cleaner production, including nuclear and low-emission gas.
In January, Constellation completed the $16.4 billion acquisition of Calpine, combining its nuclear production with Calpine’s natural gas and geothermal power plants.
In March, the company said it would sell a portfolio of PJM Electric Grid assets to LS Power for $5 billion to satisfy regulatory requirements related to the acquisition.
Constellation, which operates the nation’s largest nuclear fleet, has entered into more than 5,650 megawatts of long-term clean energy agreements, including nuclear, geothermal and battery storage.
The company has agreements with Meta META.O to keep one of its reactors in Illinois operating for 20 years, and with Microsoft MSFT.O to restart a nuclear reactor at a power plant in Pennsylvania, formerly known as Three Mile Island.
The company expects core earnings per share growth of 20% and above between 2026 and 2029.
The Baltimore, Maryland-based company also expects adjusted earnings of between $11 and $12 per share in 2026, the midpoint of which is slightly lower than analysts’ estimate of $11.6 per share, according to data compiled by LSEG.
The company’s shares fell 2.2% in pre-market trading.
