In Episode 96 of “Market News with Rodney Lake,” Professor Lake, director of the GW Investment Institute, analyzes Constellation Energy, one of the largest nuclear power producers in the US and key beneficiary of rising electricity demand driven by AI and data center expansion. He discusses Constellation’s merchant power model, carbon-free nuclear fleet, growth prospects, and strategic assets, including the restart of Three Mile Island and the acquisition of Calpine. The episode examines how growing power demand is creating new opportunities across the energy sector and why electricity generation has become a critical component of the AI investment story. Professor Lake also discusses the broader implications for investors as companies race to build the infrastructure needed to support the next wave of technological innovation. Send us your feedback Support the show More from the “Market News with Rodney Lake” Podcast: Website: https://investment.business.gwu.edu/market-news-rodney-lake LinkedIn: https://www.linkedin.com/showcase/market-news-with-rodney-lake/ Newsletter: https://app.e2ma.net/app2/audience/signup/2015754/1915550/ Follow the GW Investment Institute: Instagram: https://www.instagram.com/gwinvestmentinstitute/ LinkedIn: https://www.linkedin.com/school/gwinvestmentinstitute/ X: https://x.com/gw_investment TikTok: https://www.tiktok.com/@gwinvestmentinstitute Blog: https://blogs.gwu.edu/gwsb-invest/ Note: This podcast is not investment advice, and is intended for informational and entertainment purposes only. Do your own research and make independent decisions when considering any financial transactions.

Episode 96 | Constellation Energy is Powering the AI Revolution

Market News with Rodney Lake

# Full Transcript

**Podcast:** Market News with Rodney Lake

## Transcript

Thank you for joining Market News with Rodney Lake. This is a regular program for the GW Investment Institute where we talk about timely market topics. I'm Rodney Lake, the director of the GW Investment Institute. Let's get started.

Welcome back to Market News with Rodney Lake. I'm your host, Rodney Lake. Today we're coming to you from the George Washington University School of Business, Duques Hall, Duques Family Studio. This is a George Washington University Investment Institute podcast. Remember, investment disclaimer here, not investment advice or disclaimer, generally speaking. This is entertainment, educational purposes only up front. Today we're going to cover a single company, so we're not going to do a broad-based setup, but we're going to go over one single company.

We're going to use the GW Investment Institute Framework Business Management Price Valuation and Balance Sheet to evaluate that as we typically do. So buckle up here. This company is in the energy business, and the company is Constellation Energy, ticker CEG. All right, so let's dive into the company. You might have heard about this. You would say, okay, this is the biggest renewable play out there. A lot of nuclear here, carbon-free, as people call it, and sustainable solutions for the business. A lot of nuclear.

And it's mostly merchant versus regulated, so meaning that they sell to the highest bidder. Most of the power that they produce is not regulated. So what's been sort of the push for this? Well, as we've been talking about before, AI continues to be on high demand here.

And if you listen to Jensen Wong recently talked about what's the choke point here for the business, it is energy, energy production. So Constellation here, carbon-free, that part of the market, plus high demand, plus merchant power. However, this is at the center of that, but it's been a very volatile ride here. So let's talk about the company. All right, so let's dive into some stats here on the company.

What does this company look like from the standpoint of market cap? And again, energy producer. So utility, a little bit divergence from, you know, we do a lot of tech companies here, sometimes retail, but a little bit different. Power company, power producer, a lot of nuclear power. One of the largest fleets in the U.S., and certainly one of the largest dedicated merchant fleets in the U.S.

The market cap here, so divergence from some of our super large companies that are in the trillions of dollars, this one is sub $100 billion. You would say, well, that's a small company, still a large company. Market cap, $93 billion. This is as of towards the end of May here in 2026. All right, so why Constellation? Well, Constellation has been, and we've owned this company in the past. Why Constellation? Well, Constellation is a company that lots of people talk about, you know, at the center of this AI.

They're going to be bri...

Episode 96 | Constellation Energy is Powering the AI Revolution

Transcript

Built for investment professionals

Every day you wait, your competitors are finding
edge in conversations you're not hearing.

Episode 96 | Constellation Energy is Powering the AI Revolution

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.