Mizuho analyst Anthony Crowdell reiterated a Neutral rating on Constellation Energy Corporation CEG, raising the price target to $116 from $106 on higher merchant multiples. Strong fundamentals at Constellation will present an opportunity to return capital to shareholders, Crowdell said. Constellation trades at a 5% 2025E FCF yield. The company has stable fundamentals over the next few years supported by the latest commodity forwards and government subsidies, he added. Constellation currently awaits IRS guidance for tax credits around pink hydrogen. Crowdell thinks that should this process be further prolonged, management likely tables their hydrogen projects and returns capital to shareholders. According to the analyst, as project timelines get delayed, cash drag becomes more paramount.