up1point

Constellation Energy Analyst Meeting - Strong 2007 and 2008 Prospects Reinforced

CEG did not have a great quater and it gave its best spin by distracting analysts with a long dated guidance which is to obsurd to believe. If we believe that gas price is to fall after 08 and so should power prices. However, CEG used today's power price to glorify its merchant generations' potential. To me, the management was trying to misguide the analysts so that the stock won't suffer. In addition, the New Energy did not have a sequential growth and is facing tremendous pressure in TX where CEG had over 4000 MWs of load in Q2. There are no headrooms in TX right now and CEG could potentially lose lots of load during the course of next few quaters.