Should I invest in CEG now?

Investing in CEG may be favorable, considering the recent developments and analyst ratings, but with caution due to market conditions. Here's a detailed analysis:

1. Recent Surge and Analyst Ratings: Constellation Energy Corporation (CEG) has seen a significant increase in its stock price, with shares soaring 125% in 2024. This is partly due to a 20-year power purchase agreement with Microsoft, which is set to supply electricity from the Three Mile Island nuclear facility to Microsoft's data centers.
2. Technical Indicators: The stock's technical indicators show strong buying momentum. The Relative Strength Index (RSI) is at 79.44, indicating overbought conditions. However, the Moving Average Convergence Divergence (MACD) is positive at 13.92, and the KDJ indicator is at 84.62, suggesting bullish momentum.

3. Valuation Metrics: The Price-to-Earnings (P/E) ratio is 33.32, the Price-to-Sales (P/S) ratio is 3.45, and the Price-to-Book (P/B) ratio is 7.03. These metrics are generally in line with the industry averages, suggesting that the stock is not overvalued.

4. Financial Performance: Constellation Energy has a strong financial foundation, with a net income of $809 million and a diluted EPS of $2.58. The company's net income growth rate is -1.82%, and the total revenue growth rate is 0.53%. While the net income has slightly declined, the company's ability to secure long-term contracts with major tech firms like Microsoft indicates a positive outlook.

5. Market Conditions and Risks: Despite the positive developments, investors should be aware of the challenges associated with nuclear plant restarts and the potential for regulatory hurdles. Additionally, the company's performance will depend on the execution of its plans and the prevailing market conditions.

In conclusion, the recent deal with Microsoft and the resulting positive stock performance suggest that CEG may be an attractive investment. However, investors should consider the company's financial metrics, market conditions, and the risks associated with the nuclear industry before making an investment decision.