Public Service Enterprise Group Incorporated (PEG)

Accelerated regional data center demand and electrification across PJM sustain capacity auction clearing prices at or near the $325/MW-day collar cap, while PSEG Nuclear signs long-term bilateral clean power contracts at premium margins. Simultaneously, PSE&G executes the upper end of its capital plan ($28B total), compounding rate base at 7.5% annually with favorable BPU rate case outcomes and top-of-tier authorized ROEs. EPS growth accelerates toward the high end of the 6% to 8% target, driving valuation rerating toward premium utility peers trading at 17.5x forward earnings.

• PJM capacity clearing prices remain near $325/MW-day cap supported by structural 6.8 GW regional deficit
• Rate base compounds at 7.5% CAGR backed by upper end of $24B-$28B 5-year capital program
• EPS CAGR reaches 8.0% through 2030 without equity issuance