Constellation Energy, a major carbon-free electricity producer, secured power purchase agreements with tech giants Microsoft and Meta Platforms. The company recently expanded its capacity with a $26.6 billion acquisition of Calpine Corp. Hyperscalers are investing heavily in AI data centers, making utility providers like Constellation Energy an attractive investment. The company’s nuclear footprint and reliability make it a top choice for hyperscalers. Despite recent stock price fluctuations, Constellation Energy remains well-positioned to benefit from the AI data center boom.

Constellation Energy has inked significant deals with hyperscalers, capitalizing on the growing demand for AI data centers. The company’s acquisition of Calpine Corp. gives it a substantial capacity, including natural gas and geothermal assets. While recent political agreements may impact future auction prices, Constellation Energy has secured long-term agreements with Microsoft and Meta Platforms for stability and revenue visibility. Investors looking to capitalize on the AI data center expansion should consider Constellation Energy as a strong utility stock option.

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