CEG, TLN: Nuclear Stocks Gain Attention as AI Power Demand Rises in 2026

Nuclear power has long been part of the U.S. energy mix, but it is gaining fresh attention as electricity demand from AI data centers continues to rise. This renewed interest has brought companies with large nuclear exposure, such as Constellation Energy (CEG) and Talen Energy (TLN), back into focus heading into 2026.Claim 70% Off TipRanks This Holiday SeasonUnlock hedge-fund level data and powerful investing tools for smarter, sharper decisions Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential Is Constellation Energy a Buy Ahead of 2026? Constellation Energy is the largest nuclear power operator in the U.S. The company's fleet of nuclear plants puts it in a strong position to benefit from rising power demand tied to data centers and long-term energy contracts. With a market cap of $110.99 billion, the stock has gained 62% year-to-date. In its recent quarterly results, the company posted adjusted earnings per share (EPS) of $3.04, up from $2.74 in the same quarter last year, while revenue came in at about $6.57 billion. The revenue figure beat estimates, though EPS was slightly below expectations. Wall Street remains moderately bullish on the stock. Several analysts have reiterated Buy ratings and raised price targets in recent weeks. Analysts from KeyBanc, Wells Fargo, UBS, and JPMorgan have all pointed to Constellation's nuclear scale and long-term demand visibility as reasons for their bullish stance. Is Talen Energy a Buy or a Sell? Talen Energy operates the Susquehanna nuclear plant in Pennsylvania, which supplies steady power in a key U.S. market. The stock has gained attention as investors look for power producers that can supply energy to large-scale data centers. With a market value of about $17 billion, the stock is up roughly 89% year to date. In the third quarter of 2025, Talen reported EPS of about $4.25 and revenue of roughly $812 million, both higher than a year earlier and ahead of estimates. Net income came in near $207 million, helped by stronger capacity and energy sales. Earlier this year, Talen expanded a long-term power deal with Amazon Web Services, agreeing to supply up to 1,920 megawatts of electricity from Susquehanna through 2042. The deal gives Talen steady demand tied to cloud and AI data centers. Wall Street remains bullish on the stock. Analysts from Wells Fargo, Morgan Stanley, Seaport Global, and Oppenheimer have reiterated Buy ratings, with price targets that point to double-digit upside from current levels. What to Watch in 2026 In 2026, investors will be watching whether power demand for data center keeps growing at the same pace. Another focus will be on new long-term nuclear supply deals, especially with cloud and AI companies, as well as any policy changes that affect nuclear power. Together, these factors will influence demand and earnings for nuclear-focused power companies. Wall Street's Take on CEG and TLN We used the TipRanks Stock Comparison Tool to compare the two nuclear power stocks. CEG carries a Moderate Buy consensus rating, with analysts seeing about 13% upside from current levels. Meanwhile, Talen Energy holds a Strong Buy rating, with price targets pointing to nearly 20% upside. Both stocks have posted strong gains this year, but Talen stands out with a higher upside outlook from current levels, despite its much smaller market value.