Constellation Energy (NYSE:CEG) Share Price Attractive Says Jefferies (NYSE:JEF)

Constellation Energy's (NYSE:CEG) share price looks attractive says Jefferies (NYSE:JEF), basing their conclusion on analysing the sum of its parts.

Jefferies said, "We find Constellation Energy's stock price to be attractive on our sum of the parts analysis including P/E for the utility and open EV/EBITDA for the merchant businesses."

Jefferies added, "the ring fencing provisions established by the company should make it easier for Constellation to be acquired and that the company has indicated that it plans to sell its remaining 14.5 million share position in Constellation."'

They lowered their EPS estimate for full year 2011 from $3.60 to $3.25.

Jefferies maintains a "Buy" rating on Constellation, which closed Tuesday at $29.62, up $0.81, or 2.81 percent. Jefferies raised their price target on Constellation from $35 to $40.