PEG — Q2 2026 Earnings Preview

1. Earnings Preview

Key Takeaway: The setup into Q2 2026 is a low bar with modest downside risk — consensus Non-GAAP Operating EPS has been cut ~11% since the Q1 print to ~$0.79, the stock trades at a ~4% discount to regulated utility peers on NTM P/E, and the single biggest swing factor is nuclear fleet performance and any updated PJM/New Jersey policy commentary.

PSEG heads into Q2 2026 with a meaningfully reduced consensus bar — Non-GAAP Operating EPS estimates have been cut from ~$0.89 at the time of the Q1 print to ~$0.79 today, a decline of roughly 11%, driven by the absence of the Zero Emission Certificate (ZEC) program (which concluded in May 2025) and the seasonal nature of Q2 as a shoulder quarter for both gas volumes and nuclear capacity revenues. Management maintained full-year 2026 Non-GAAP Operating EPS guidance of $4.28–$4.40 on the Q1 call and reaffirmed a 6–8% CAGR through 2030, a posture that has not shifted since — no 8-K guidance revision, no conference update, and the July 1 investor materials posting contained no new financial guidance. Estimate revisions have tracked the guidance midpoint lower, suggesting the street is not building in meaningful cushion above the low end of the range. The stock has underperformed the utility sector over the past 12 months (down ~15% vs. the sector), with multiple compression accounting for the bulk of the move — NTM P/E has contracted ~20% year-over-year to ~16.8x, a ~4% discount to the regulated utility peer group. The key wildcard heading into the print is nuclear fleet performance (capacity factor and any unplanned outages at Salem or Hope Creek during Q2) and any updated commentary on the PJM Reliability Backstop Auction (RBA) process and the New Jersey Nuclear Task Force — both of which could shift the long-term earnings narrative materially even if the Q2 print itself is in-line.

2. KPIs & Consensus Expectations

Key Takeaway: Consensus is a low bar heading into Q2 — Non-GAAP Operating EPS of ~$0.79 implies a ~3% YoY decline and sits well below Q1’s $1.56 beat. The bigger swing factor is nuclear capacity factor and Power segment margins, which are harder to model and drove the Q1 outperformance.

Table 1 — Current Quarter Snapshot (Q2 2026)

Source: Visible Alpha Consensus and Actuals Data. All figures sourced from Visible Alpha; Q2 2026 consensus as of August 3, 2026. Revenue consensus reflects analyst estimates; note that Visible Alpha revenue consensus for Q2 2026 is $2,326M. Rate base and capex consensus from Visible Alpha. FY 2026 guidance from Q1 2026 earnings call (May 5, 2026). YoY change for revenue reflects the seasonal pattern of Q2 being a lower-revenue quarter vs. Q1 (winter heating season). Non-GAAP Operating EPS YoY of +3.5% reflects Q2 2025 actual of $0.768 vs. Q2 2026 consensus of $0.795.

Table 2 — Beat/Miss History: Non-GAAP Operating EPS (Last 8 Quarters)

Source: Visible Alpha Consensus and Actuals Data. Consensus at print reflects the as-of consensus from Visible Alpha for each respective quarter. Pattern: PEG has beaten Non-GAAP Operating EPS consensus in 6 of the last 7 reported quarters, with an average beat of ~7–8% — the one miss (Q1 2025) was marginal at -0.6%. The consistent beat pattern is driven primarily by stronger-than-expected nuclear performance and O&M discipline, suggesting the current ~$0.79 consensus for Q2 2026 may again prove conservative if the nuclear fleet ran cleanly through the quarter.

3. Guidance & Commentary Evolution

Key Takeaway: Guidance has been unchanged since the May 5 Q1 2026 earnings call — no post-earnings 8-K, conference, or investor day has revised the $4.28–$4.40 FY 2026 range or the 6–8% CAGR through 2030. Management tone on the Q1 call was confident and forward-leaning, particularly on nuclear and the New Jersey policy backdrop.

Source: Q1 2026 Earnings Call Transcript (May 5, 2026); Visible Alpha Consensus and Actuals Data. No post-earnings guidance revision events (8-K, conference, investor day) were identified between May 5 and August 3, 2026. The July 1, 2026 8-K (investor materials posting) contained no new financial guidance.

4. Guidance vs. Estimate Revision Tracker

Key Takeaway: Estimates for Q2 2026 have been cut ~10% since the Q1 print (from ~$0.89 to ~$0.79), while FY 2026 estimates have held near the top of guidance. The gap between the Q2 estimate cut and the stable FY estimate suggests the street is back-half loading the year — a pattern consistent with management’s own Q1 commentary that Q1 was above seasonal norms and summer performance is the key variable.

Source: Visible Alpha Consensus and Actuals Data. Post-Q1 baseline (May 12, 2026) reflects consensus approximately 5 trading days after the May 5, 2026 earnings release. Current consensus as of August 3, 2026. Rate base as-of snapshot reflects the Visible Alpha consensus as of May 12, 2026 for Q2 2026 period.

The ~10% cut to Q2 EPS estimates since the Q1 print is the most notable revision — it reflects the market’s recognition that Q1 benefited from an unusually harsh winter (above-seasonal gas volumes and capacity revenues) that will not repeat in Q2. FY 2026 estimates have barely moved (-1.1%), implying the street is simply redistributing the Q1 beat into the back half of the year rather than raising the full-year bar. This creates a setup where a Q2 in-line print is unlikely to move the stock materially, but any guidance raise or positive nuclear/policy commentary could be the catalyst.

5. Stock Performance & Valuation

Key Takeaway: The ~15% 12-month underperformance is almost entirely multiple compression (-20% on NTM P/E, -13% on EV/EBITDA) rather than estimate cuts, suggesting the market has re-rated PEG’s growth premium lower — likely reflecting the leveling-off of the data center pipeline and the absence of a near-term nuclear monetization catalyst. PEG now trades at a ~4% discount to regulated utility peers on NTM P/E (16.8x vs. peer mean ~17.6x), the widest discount in three years.

Valuation vs. Peers (NTM P/E, as of August 3, 2026)

Source: Stock performance decomposition data as of August 3, 2026; peer valuation data from peer_valuation_tool (Regulated Electric Utilities peer group). PEG’s 12-month price return of -14.65% is decomposed as follows: NTM P/E multiple contracted -20.0% (from ~21.0x to ~16.8x), while NTM EPS estimates moved modestly, indicating multiple compression is the dominant driver of underperformance. The 3-month price return of -6.1% is similarly multiple-driven (-6.2% on P/E, -5.7% on EV/EBITDA).

Stock Performance Since Last Earnings (May 5, 2026 – August 3, 2026): PEG has declined approximately 6% since the Q1 2026 earnings date, underperforming the S&P 500 and broadly in-line with the utility sector (XLU/UTY). Key events during the period include: (1) the July 1, 2026 investor materials update (no new guidance); (2) the June 3, 2026 $500M senior notes offering at 4.800% due 2031; and (3) the broader utility sector de-rating driven by rising rate concerns and affordability headwinds. The stock has not re-rated higher despite the April 2026 New Jersey nuclear moratorium lift, suggesting the market is waiting for concrete new nuclear development milestones before assigning value.

6. Material News & Developments (Since May 5, 2026)

Key Takeaway: The most important development since Q1 earnings is the New Jersey nuclear moratorium lift (April 2026) and PSEG’s active engagement with the NJ Nuclear Task Force — a structural positive for the long-term earnings narrative that the market has not yet priced. Near-term, the PJM Reliability Backstop Auction (RBA) process and the FERC capacity price collar extension are the most actionable regulatory catalysts for the Q2 call.

• April 2026 — New Jersey Nuclear Moratorium Lifted: Governor Sherrill signed legislation lifting NJ’s decades-long moratorium on new nuclear construction at the Salem site. PSEG is actively engaging with the NJ Nuclear Task Force, citing its early site permit, skilled workforce, and operational expertise as competitive advantages. Management has stated new nuclear requires federal support, state offtake agreements, and hyperscaler participation before PSEG would commit capital.
• May 5, 2026 — Q1 2026 Earnings Beat & Guidance Maintained: Non-GAAP Operating EPS of $1.556 beat consensus of $1.413 by ~10%. Full-year 2026 guidance of $4.28–$4.40 maintained. Salem Unit 2 completed second consecutive breaker-to-breaker operating run. FERC ruling supported PSE&G’s objection to PJM transmission cost allocations, expected to result in >$100M in customer refunds. BGS auction results to lower residential electric supply costs 1.8% effective June 1.
• May 2026 — FERC Approves PJM Capacity Price Collar Extension: FERC approved extension of the PJM capacity price collar through the 2029–2030 base residual auction. This stabilizes the effect of upcoming auctions on NJ BGS default prices even as regional demand growth advances with limited supply response. Positive for customer affordability and regulatory predictability.
• June 3, 2026 — $500M Senior Notes Offering: PSEG completed a public offering of $500M aggregate principal of 4.800% Senior Notes due 2031. Consistent with the company’s financing plan; no equity issuance required. Supports the $24–$28B 5-year capital program without dilution.
• July 1, 2026 — Updated Investor Materials Posted: PSEG posted updated investor materials to its IR website via 8-K. No new financial guidance was provided; the filing was informational. No change to FY 2026 EPS guidance or capital plan.
• July 2026 — PJM Reliability Backstop Auction (RBA) Process Underway: PJM’s proposed one-time emergency auction to accelerate new dispatchable generation by 2031 is advancing. PSEG is advocating for appropriate cost allocation to load-serving entities rather than distribution companies. The RBA outcome could be a significant catalyst for new generation investment in NJ. More details from PJM were expected within weeks of the Q1 call.
• July 22, 2026 — PJM Grid Disturbance (Data Center Read-Through): A transmission line fault in Northern Virginia caused >3GW of data center load to disconnect simultaneously, taking ~10 minutes for the PJM grid to stabilize. The event underscores the grid reliability risks from concentrated large loads and reinforces the case for new dispatchable generation — directly relevant to PSEG’s advocacy for the RBA and new NJ generation.
• July 25, 2026 — Trump Ratepayer Protection Pledge Expanded: President Trump expanded a voluntary pledge with governors and utilities to shield consumers from higher bills from data center buildouts. Multiple utilities signed on. Relevant to PSEG’s ongoing affordability messaging and its coordination with the NJ Governor’s office on flat electric rates in 2026.
• July 2026 — Utility Sector Affordability Headwinds: Ohio legislators proposed a utility rate freeze; California wildfire liability negotiations ongoing; cyberattacks on water utilities flagged by federal agencies. Broader sector affordability and regulatory risk backdrop remains elevated, though NJ-specific risks appear manageable given PSEG’s proactive coordination with the Governor’s office.

7. Insider Transaction Activity (Since May 5, 2026)

Key Takeaway: SEC Form 4 searches for PEG between May 5 and August 3, 2026 returned 14 filings, all of which appear to be routine RSU/equity award-related transactions (grant/vesting activity) rather than discretionary open-market buys or sells. No notable open-market purchases or discretionary sales were identified — the absence of insider buying at a 12-month low is worth noting but is not unusual for a regulated utility where management compensation is heavily equity-based and trading windows are restricted.

Source: SEC EDGAR Form 4 filings for PEG (CIK 788784), May 5 – August 3, 2026. 14 filings returned; all appear to be equity compensation-related (RSU grants/vestings). No open-market buys (Form 4 Code P) or discretionary open-market sells (Code S) were identified. Form 144 filings were not separately searched. The absence of open-market buying at a 12-month low is not unusual for a regulated utility with restricted trading windows and equity-heavy compensation structures.

8. Peer Commentary Read-Through (Last 60 Days)

Key Takeaway: Peers reporting Q2 2026 results in late July 2026 provide a broadly constructive read-through for PEG — regulated utility earnings are tracking at or above guidance, data center demand remains robust across PJM-adjacent territories, and the PJM capacity market is showing acute scarcity signals that support PSEG’s advocacy for new dispatchable generation. The most direct NJ/PJM read-throughs come from Exelon (EXC) and FirstEnergy (FE); others are indirect but thematically relevant.

Methodology Note: Only forward-looking commentary about Q3 2026 (the current unreported quarter for PEG) or the broader 2026 outlook made during Q2 2026 earnings calls (reported July 24 – July 31, 2026) is included below. Q2 2026 results commentary (backward-looking) is excluded. Each item is tagged for geographic relevance to New Jersey/PJM.

Exelon (EXC) — Q2 2026 Earnings Call (July 30, 2026)

Geographic Relevance: DIRECT — Exelon operates Atlantic City Electric (ACE) in New Jersey and is a major PJM participant.

• PJM Capacity Scarcity — Acute and Worsening: Exelon reported that the PJM capacity auction cleared at the FERC-approved price cap for the third consecutive auction, yet the market still fell short of PJM’s reliability requirement by approximately 6.8 GW — larger than the prior 6.5 GW shortfall and equivalent to roughly seven nuclear reactors of missing supply. Only ~525 MW of new generation cleared, indicating that even at the highest allowed price, the market is not attracting sufficient new supply. PJM’s own simulations suggest prices would have cleared at ~$555/MW-day across the footprint (vs. the $330 cap), underscoring severe underlying scarcity. Read-through for PEG: Directly supports PSEG’s advocacy for the PJM Reliability Backstop Auction (RBA) and new NJ dispatchable generation. The scarcity signal strengthens the case for PSEG’s nuclear fleet value and potential new nuclear development at Salem.
• PJM Record Demand in July (Q3 2026): Demand hit a record peak of 168 GW in July, prompting PJM to activate emergency procedures and call on demand response resources, with power prices surging ~10x from ~$80 to ~$800/MWh. Read-through for PEG: Positive for PSEG Power’s nuclear fleet economics in Q3 2026 (higher spot prices benefit unhedged nuclear output). Also reinforces the grid reliability investment thesis for PSE&G.
• Atlantic City Electric (NJ) Battery Storage — $1B Investment: ACE, in partnership with Invenergy, advanced a 500 MW battery energy storage system in Pittsgrove, NJ, representing ~$1B in investments not currently in Exelon’s plan. The project was submitted in PJM Cycle 1 and is expected to provide >$700M in net customer benefits. A regulatory approval request was filed in late July, with a final order anticipated in H1 2027. Read-through for PEG: Confirms NJ regulatory appetite for large-scale grid storage investment. Relevant to PSE&G’s own grid modernization and potential storage opportunities.
• Data Center Queue Refinement — Speculative Projects Weeded Out: Exelon reduced its combined data center queue from 43 GW to 36 GW by eliminating speculative projects (those without Transmission Security Agreements). Importantly, the $41B capital plan through 2029 was unchanged. 4 GW with signed TSAs are backed by $1B of collateral. Read-through for PEG: Consistent with PSEG’s own messaging that the 11,000 MW NJ inquiry pipeline has leveled off and only 10–20% may convert. The queue refinement trend across the sector suggests the initial wave of data center interest is being rationalized — not a negative for PEG’s regulated capex plan, which does not depend on data center conversions.
• Full-Year 2026 Guidance Reaffirmed at $2.81–$2.91: Exelon reaffirmed full-year guidance despite Q3 headwinds from the PECO employee strike and July storms. Q3 2026 expected to represent ~27% of full-year midpoint. Read-through for PEG: Positive — regulated utility earnings are tracking to plan across the PJM footprint despite weather and operational disruptions.

FirstEnergy (FE) — Q2 2026 Earnings Call (July 29, 2026)

Geographic Relevance: DIRECT — FirstEnergy operates Jersey Central Power & Light (JCP&L) in New Jersey and is a major PJM participant.

• New Jersey Base Rate Case Filing Imminent (Q3 2026): FirstEnergy confirmed it plans to file a base rate case in New Jersey during Q3 2026, having already held pre-filing meetings with the NJ Governor’s administration and BPU staff. The proposal will be consistent with Governor Sherrill’s Executive Order 1 objectives, including an approach designed to mitigate the initial impact on customer bills. The rationale is recovery of substantial reliability investments — reliability improved 16% from 2024 to 2025 and 38% year-to-date. Read-through for PEG: Highly relevant — confirms the NJ regulatory environment is open to rate case filings that are structured around affordability and reliability. Constructive for PSE&G’s own regulatory posture and future rate case timing.
• PJM Data Center Demand Accelerating — 25 GW Pipeline, +30% Since Q1: FirstEnergy’s total forecasted data center demand surged 30% since Q1 to approximately 25 GW, with contracted demand reaching 6.4 GW (up 2.1 GW in Q2 alone). An additional 1.5 GW expected to enter contracts in the weeks following the call. The urgency to contract quickly is driven by the need to get load into the PJM transmission planning process and potentially the PJM RBA. Read-through for PEG: Confirms the PJM data center demand wave is real and accelerating, even if NJ-specific conversions remain constrained by the absence of state tax incentives. The RBA urgency is directly relevant to PSEG’s advocacy.
• PJM Open Window Process — Significant Transmission Opportunity: FirstEnergy plans to participate in the 2026 PJM Open Window process (opened late Q2/early Q3), with PJM board awards expected in Q1 2027. The company views these open windows as a significant ongoing opportunity given its scale and strategic PJM location. Read-through for PEG: PSE&G is also a competitive transmission participant. The open window process represents potential incremental capex upside for PSEG above its base $24–$28B plan — consistent with management’s Q1 commentary that competitive transmission wins would be incremental to the 6–8% CAGR.

Entergy (ETR) — Q2 2026 Earnings Call (July 29, 2026)

Geographic Relevance: INDIRECT — Entergy operates in the South/MISO/ERCOT footprint, not PJM or NJ. Read-through is thematic (data center demand, regulatory frameworks, nuclear).

• Data Center Pipeline Remains Active — 7–12 GW Hyperscale + 3–5 GW Industrial: Entergy’s pipeline of hyperscale data center potential stands at 7–12 GW, with an additional 3–5 GW of traditional industrial interest. The front end of the funnel is described as “very, very active.” However, management noted these are still “indications of interest” rather than full proposals — “early innings.” Read-through for PEG: Thematic confirmation that data center demand is broad-based nationally, though NJ-specific conversions remain constrained by tax incentive dynamics.
• Tighter Power Market Conditions: Entergy described the current market environment as “much tighter than it has been over the recent past,” with over 1,000 miles of transmission under construction to support new customers and resilience. Read-through for PEG: Consistent with the PJM scarcity signals from Exelon. Supports PSEG’s nuclear fleet value and the case for new NJ generation.
• Full-Year 2026 Guidance Affirmed; Confident in High End: Entergy affirmed its 2026 adjusted EPS guidance and outlooks through 2030, stating it is “firmly on track” and “confident” in delivery. Read-through for PEG: Positive sector-wide signal that regulated utility earnings are tracking to plan.

American Electric Power (AEP) — Q2 2026 Earnings Call (July 30, 2026)

Geographic Relevance: INDIRECT — AEP operates primarily in Ohio, Texas, and other non-NJ PJM states. Read-through is thematic (data center demand, PJM dynamics, capex).

• Guidance Raised — FY 2026 Operating EPS to $6.25–$6.55 (from $6.15–$6.45): AEP raised its full-year 2026 operating EPS guidance, supported by robust data center demand. The company reaffirmed a 7–9% annual operating earnings growth rate and >9% EPS CAGR through 2030. Read-through for PEG: Positive sector signal — the strongest regulated utility in the data center demand wave is raising guidance, validating the load growth thesis. PEG’s more modest 6–8% CAGR looks conservative by comparison.
• 69 GW of Contracted Load Additions Through 2030 (+6 GW QoQ): AEP’s contracted load additions grew 6 GW in Q2 to 69 GW total, all supported by fully executed ESAs and LOIs. Texas remains the largest opportunity at 45 GW. Read-through for PEG: Confirms the durability of data center demand nationally. NJ’s relative disadvantage (no major tax incentives) is highlighted by contrast — hyperscalers are following incentives to Texas and other states.
• PJM Engagement Intensifying — Solutions Expected “Next Few Weeks”: AEP noted a “significantly increased” pace of productive conversations with PJM on governance, interconnection speed, and resource adequacy, with optimism for alignment on solutions in the near term. Read-through for PEG: Directly relevant to PSEG’s RBA advocacy. A constructive PJM outcome on resource adequacy would be a positive catalyst for PSEG’s new generation strategy.
• New 5-Year Capital Plan (2027–2031) to Be Unveiled at Q3 Earnings: AEP will introduce a new 5-year capital plan at its Q3 2026 earnings call, expected to include incremental generation investments. Read-through for PEG: Thematic — the sector-wide capex cycle is accelerating. PSEG’s own $24–$28B plan may be revisited if NJ policy developments (RBA, nuclear task force) create new investment opportunities.

Southern Company (SO) — Q2 2026 Earnings Call (July 30, 2026)

Geographic Relevance: INDIRECT — Southern operates in the Southeast (Georgia, Alabama, Mississippi). Read-through is thematic (data center contracting, nuclear, regulatory frameworks).

• Full-Year 2026 Guidance Raised to Near/At Top of $4.50–$4.60 Range: Southern now projects full-year 2026 adjusted EPS near or at the top of its guidance range, driven by extraordinary data center demand momentum. Read-through for PEG: Positive sector signal. Regulated utilities with strong load growth are delivering at the high end of guidance — consistent with the setup for PEG’s FY 2026 consensus of $4.38 sitting near the top of the $4.28–$4.40 range.
• Data Center Usage +55% YoY in Q2; 17 GW Contracted Through Mid-2030s: Southern’s data center usage was 55% higher YoY in Q2, with system-wide data center load exceeding 1.2 GW (+500 MW YoY). Total contracted large load agreements reached >17 GW through the mid-2030s, including a 3.2 GW 25-year contract with OpenAI. Read-through for PEG: Thematic — the scale of data center contracting in the Southeast highlights the relative disadvantage of NJ’s tax incentive environment. However, it also validates the long-term load growth thesis that underpins PSEG’s 6–8% CAGR.
• New Nuclear — Active Discussions with Hyperscalers on Cost Overrun Risk: Southern stated the country needs more nuclear units in operation by the mid-2030s and is actively discussing with hyperscalers about their role in taking on cost overrun risk. Read-through for PEG: Directly relevant to PSEG’s new nuclear strategy at Salem. The hyperscaler cost-sharing model being discussed at Southern is the same framework PSEG management has described as a prerequisite for new nuclear commitment.
• Ratepayer Protection Pledge Signed: Southern formally joined the National Ratepayer Protection Pledge, reinforcing its commitment to serving growth responsibly while maintaining rate stability. Read-through for PEG: Consistent with PSEG’s own affordability posture and coordination with the NJ Governor’s office on flat 2026 electric rates.

DTE Energy (DTE) — Q2 2026 Earnings Call (July 28, 2026)

Geographic Relevance: INDIRECT — DTE operates in Michigan (MISO). Read-through is thematic (data center contracting, regulatory cost recovery, capex execution).

• Tracking to High End of 2026 Guidance; 6–8% CAGR Confidence Reiterated: DTE’s year-to-date earnings position it to reach the high end of its 2026 operating EPS guidance, with management expressing high confidence in the 6–8% long-term EPS growth rate through 2030. Read-through for PEG: Directly comparable — PEG has the same 6–8% CAGR target. DTE’s confidence in delivery at the high end is a positive read-through for the sector’s ability to execute on regulated growth plans.
• Oracle 1.4 GW Data Center On Track; Google 1 GW Contract Advancing: DTE’s 1.4 GW Oracle data center is fully approved and under construction. A 1 GW Google data center contract has been submitted for MPSC approval, expected in September 2026. DTE sees 5–6 GW of additional opportunities, including ~2 GW in advanced discussions, targeting another agreement by year-end 2026. Read-through for PEG: Thematic — confirms that utilities with constructive regulatory environments and proactive large-load tariffs are successfully converting data center pipeline into contracted load. Relevant to PSEG’s own large-load inquiry pipeline management.
• Severe July Storm — ~400,000 Customers Impacted: A fast-moving storm in early July impacted nearly 400,000 DTE customers, causing significant damage. Areas with prior reliability investments performed significantly better. Read-through for PEG: Thematic — validates the investment case for grid hardening. Relevant to PSE&G’s ongoing infrastructure modernization program and its regulatory justification for continued capex.

NextEra Energy (NEE) — Q2 2026 Earnings Call (July 24, 2026)

Geographic Relevance: INDIRECT (with PJM-specific elements) — NEE operates primarily in Florida and through its renewables arm nationally, including PJM states. The proposed Dominion merger adds Virginia/PJM relevance.

• FERC Section 206 Show Cause Orders — “Make Large Load Pay Their Own Way”: NextEra highlighted that FERC’s June 2026 Section 206 show cause orders will create a market shift requiring large load to match with generation and pay its fair share. NextEra and Dominion announced support for the White House’s Ratepayer Protection Pledge. Read-through for PEG: Directly relevant — FERC’s stance on large load cost allocation is central to PSEG’s advocacy in the PJM RBA process. A constructive FERC outcome on cost allocation would benefit PSE&G’s customers and support PSEG’s regulatory positioning.
• 9.5 GW Gas Generation Development in Texas and Pennsylvania: NextEra Energy Resources is advancing development of up to 9.5 GW of gas-fired generation in Texas and Pennsylvania, drawn from its data center hub inventory. Pennsylvania is a PJM state. Read-through for PEG: Confirms new gas generation investment is accelerating in PJM states. Relevant to the PJM resource adequacy debate and the RBA process that PSEG is advocating for.
• NEE Beat Q2 2026 — Adjusted EPS $1.15 vs. $1.11 Consensus: NextEra beat Q2 2026 adjusted EPS estimates, with FPL net income of $1.41B (+10% YoY) and NEER adding ~3.6 GW of new renewables/storage to backlog (total backlog ~35.1 GW). Read-through for PEG: Positive sector signal — the largest regulated utility in the country is beating estimates and growing its renewables backlog, validating the sector’s growth trajectory.

Dominion Energy (D) — Q2 2026 Earnings Call (July 31, 2026)

Geographic Relevance: INDIRECT (with PJM-specific elements) — Dominion operates in Virginia (PJM), the world’s largest data center market. The July 22 PJM grid disturbance originated in Dominion’s territory.

• 53.8 GW of Data Center Capacity Contracted in Virginia (+5.3 GW Since December): Dominion’s Virginia segment had contracted nearly 53.8 GW of data center capacity as of July 2026, up 5.3 GW from December. Adjusted operating earnings from the Virginia segment rose 22% YoY to $670M. Nine of the Dom zone’s top 10 all-time peak days occurred in 2026. Read-through for PEG: The scale of Virginia’s data center demand (53.8 GW) vs. NJ’s pipeline (~11,000 MW) illustrates the tax incentive gap. However, the PJM grid stress from Virginia’s load directly affects NJ through the interconnected grid — reinforcing the case for new NJ generation.
• PJM Grid Disturbance (July 22) — Transmission Line Fault Caused 3 GW Data Center Disconnect: A transmission line fault in Northern Virginia caused data centers to shift to backup power simultaneously, taking ~10 minutes for the PJM grid to stabilize. Dominion noted it does not anticipate significant new investments are needed but will continue implementing mitigating measures. Read-through for PEG: Directly relevant — the PJM grid disturbance originated in Dominion’s territory but affected the entire PJM footprint including NJ. Reinforces PSEG’s advocacy for new dispatchable generation and grid hardening.
• Q2 2026 Adjusted EPS $0.79 vs. $0.68 Consensus — Significant Beat: Dominion beat Q2 2026 adjusted EPS by ~16%, with revenue of $4.48B vs. $4.04B consensus. Read-through for PEG: Positive sector signal. The strongest data center-exposed utility in PJM is beating estimates significantly, validating the load growth thesis.

Peer Commentary Summary Table

Overall Peer Read-Through Assessment: The peer commentary from Q2 2026 earnings calls is uniformly constructive for PEG’s Q3 2026 and full-year 2026 outlook. The most actionable signals are: (1) the PJM capacity scarcity is worsening (EXC), directly supporting PSEG’s nuclear fleet value and RBA advocacy; (2) the NJ regulatory environment is open to constructive rate case filings (FE), positive for PSE&G’s future cost recovery; and (3) the new nuclear hyperscaler cost-sharing model is being actively discussed across the sector (SO), validating PSEG’s Salem new nuclear strategy. The absence of any negative read-throughs from PJM-adjacent peers is notable — the sector is broadly beating estimates and raising guidance, which sets a positive backdrop for PEG’s Q2 print even if the quarter itself is seasonally weak.

Sources: Entergy Q2 2026 Earnings Call Transcript (July 29, 2026); AEP Q2 2026 Earnings Call Transcript (July 30, 2026); Exelon Q2 2026 Earnings Call Transcript (July 30, 2026); Southern Company Q2 2026 Earnings Call Transcript (July 30, 2026); DTE Energy Q2 2026 Earnings Call Transcript (July 28, 2026); NextEra Energy Q2 2026 Earnings Call Transcript (July 24, 2026); Dominion Energy Q2 2026 Earnings Call Transcript (July 31, 2026); FirstEnergy Q2 2026 Earnings Call Transcript (July 29, 2026). News digest items sourced from Implied daily news feed (July–August 2026).