CEG · Intrinsic value
Is Constellation Energy Corporation (CEG) overvalued or undervalued?
Constellation Energy Corporation (CEG) trades at the delayed market price of $265.09 a share. That price already implies revenue growth of more than 25%/yr. TickerWorth's fair value is $201.62 a share (31% above fair value), as of Oct 19, 2026. It is a model estimate, and every input behind it is sourced below.
Model by Miraaj Patel · generated from SEC filings and market data · Updated Oct 19, 2026 · How these pages are made
Is CEG overvalued?
- Fair value
- $201.62
- Market price
- $265.09
- Downside to fair value
- 23.9%
- Verdict
- 31% above fair value
Reverse DCF, on our cash-flow model rather than the fair value above: Today's price implies revenue growth of more than 25%/yr. Above about 25% a year the reverse-DCF stops being informative. It solves for revenue growth alone — holding margins, capital intensity and the forecast horizon fixed — so a price well above our cash-flow model's value has nowhere to go but growth, and the solver returns a rate the model can't reconcile. Read it as "the price implies growth we can't justify", not as a forecast.
What is CEG's TickerWorth Score?
Priced richly vs peers — the business scores well
Compared with Utilities companies in US
Its strongest point: strong balance sheet. Its weakest: looks expensive on the numbers.
- Value · 25 of 100
Cheaper than 25% of Utilities companies in US
- Price vs worth · 31 of 100
- Quality · 33 of 100
More profitable than 33% of Utilities companies in US
- Financial health · 86 of 100
Financially stronger than 86% of Utilities companies in US
- Growth · 57 of 100
Growing faster than 57% of Utilities companies in US
- Momentum · 10 of 100
Outperformed 10% of Utilities companies in US over the past year
Confidence: Medium confidence · Scored
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CEG DCF valuation: what the price assumes
At a recent price of $265.09, Constellation Energy Corporation (CEG) trades 31% above TickerWorth's blended fair value of $201.62 per share. For this company that blend leans on peer multiples: our discounted-cash-flow model holds margins flat and fades growth toward a long-run rate, which systematically understates a business growing this fast, so its figure (about $77.20) is shown as a reference beside the range rather than blended into it. Our estimate sits below the market — read that as a statement about how the market prices CEG against comparable companies, not as a finding that it is overvalued on cash flow. This is an educational model, not a price target or a recommendation.
Read the full reasoning
The valuation discounts Constellation Energy Corporation's projected free cash flows at a weighted-average cost of capital (WACC) of 9.4%, with a long-run terminal growth rate of 2.5%. About 68% of the enterprise value comes from the terminal value — the portion beyond the explicit forecast window — which is typical for a stable, cash-generative business and a reminder that small changes in the discount rate or terminal growth assumption swing the intrinsic value meaningfully.
Running the DCF in reverse — solving for the growth the current price already assumes — CEG would need sustained revenue growth of more than 25%/yr to justify today's price, against about 9.0% a year compounded in our base case. We don't quote a precise figure here, because past about 25% a year the reverse-DCF stops being informative: it solves for revenue growth alone, holding margins, capital intensity and the forecast horizon fixed, so a price well above our fair value has nowhere to go but growth. The honest reading is that the price implies growth this model can't reconcile — not that we forecast it.
Sensitivity matters more than any single number. Across a reasonable band of discount-rate assumptions, CEG's modeled DCF value ranges from about $56.65 to $120.53 per share. If that range still sits below today's price, the market is optimistic relative to the model across the whole band; if it brackets the price, the stock is roughly fairly valued on our assumptions. Use the interactive slider to see exactly where your own cost-of-capital view lands.
How to read this page: the DCF fair value is what Constellation Energy Corporation would be worth if its cash flows grow as modeled and are discounted at the stated WACC. The assumptions table shows every input and its source; the reverse-DCF shows what the market believes; the sensitivity band shows how fragile the answer is. None of this is investment advice — it is a transparent, auditable framework for forming your own view of CEG's intrinsic value. Figures update as new filings and prices come in.
Every input behind CEG's DCF
| Input | Value |
|---|---|
| Base-year revenueCONSTELLATION ENERGY CORPORATION FY2025 10-K (accession 0001868275-26-000032): us-gaap:RevenueFromContractWithCustomerExcludingAssessedTax, FY2025 full year. | $22,663,000,000 |
| Base EBIT marginCONSTELLATION ENERGY CORPORATION FY2025 10-K (accession 0001868275-26-000032): us-gaap:OperatingIncomeLoss 3,086,000,000 / revenue 22,663,000,000 = 13.62%, FY2025. | 13.6% |
| Forecast revenue growthESTIMATEAssumption — TickerWorth's 5-year explicit forecast | 14% → 12% → 9% → 7% → 4% |
| Risk-free rateLive feed — US 10-year Treasury yield (^TNX) | 5.1% |
| BetaLive feed — yfinance, 5-year monthly beta vs the S&P 500 (clamped to 0.4–2.5) | 1.13 |
| Terminal growthESTIMATEAssumption — TickerWorth house default 2.5%, held below WACC | 2.5% |
| Diluted sharesCONSTELLATION ENERGY CORPORATION FY2025 10-K (accession 0001868275-26-000032): WeightedAverageNumberOfDilutedSharesOutstanding = 314,000,000 shares, FY2025. | 314M |
| Market priceDelayed quote · as of 2026-10-19 17:01 UTC | $265.09 |
Change CEG's assumptions
The discount-rate dial and the editable model
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What does Constellation Energy Corporation do?
What does it do?
Constellation Energy Corporation produces and sells energy products and services in the United States. The company operates through five segments: Mid-Atlantic, Midwest, New York, ERCOT, and Other Power Regions. It operates in the Utilities - Independent Power Producers industry (Utilities sector), headquartered in United States. The company employs roughly 15,291 people.
How does it make money?
The business turns $31.3B in annual revenue into profit. Out of every $100 of sales, about $9 is left as operating profit (operating margin of 8.7%), after a 22% gross margin on the products/services it sells. After all costs, taxes and interest, 11.1% of revenue becomes bottom-line net profit.
Is it financially healthy?
Financially it looks mixed: carries modest debt (0.8× equity), can just cover its short-term bills (1.5× current ratio), and is currently profitable.
CEG insider trading
We have no recent SEC Form 4 insider filings on file for Constellation Energy Corporation. Form 4 covers US-listed companies only.
Common questions
What is CEG's intrinsic value?
TickerWorth's blended fair value for Constellation Energy Corporation (CEG) is $201.62 per share, versus a market price of $265.09 (31% above fair value).
Is CEG overvalued or undervalued?
Our cash-flow model understates a business growing this fast, so we don't call CEG overvalued on it. Against a blend that leans on peer multiples, the price of $265.09 sits 31% above our estimate. This is an educational estimate, not advice.
What discount rate is used for CEG?
A WACC of 9.4% and a terminal growth rate of 2.5%.
Is Constellation Energy stock undervalued?
TickerWorth's fair value for Constellation Energy Corporation (CEG) is $201.62 against a market price of $265.09. Our read: 31% above fair value. This is a model estimate, not investment advice.
Constellation Energy (CEG) DCF valuation and fair value
Our fair value for Constellation Energy Corporation (CEG) is $201.62, built on a 9.4% discount rate (WACC) and 2.5% terminal growth. It blends our discounted-cash-flow model with other valuation lenses. Every assumption is listed on this page with its source.
What growth is priced into Constellation Energy stock?
Today's price implies revenue growth of more than 25%/yr. Above about 25% a year the reverse-DCF stops being informative. It solves for revenue growth alone — holding margins, capital intensity and the forecast horizon fixed — so a price well above our cash-flow model's value has nowhere to go but growth, and the solver returns a rate the model can't reconcile. Read it as "the price implies growth we can't justify", not as a forecast. This is a reverse DCF: it holds our cash-flow model's other inputs and solves for the revenue growth that makes the model equal today's price of $265.09. A model estimate, not investment advice.
Constellation Energy (CEG) insider trading
We have no recent SEC Form 4 insider filings on file for Constellation Energy Corporation (CEG). Form 4 covers US-listed companies only.
Stocks below our fair value instead
Not investment advice. TickerWorth Score is a model output.
Educational tool. Every output reflects the assumptions shown — not a prediction and not investment advice. TickerWorth is not a licensed investment adviser, and these figures are estimates from public filings and market data that can be wrong.