SMR Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
NuScale Power Corp (SMR) is not a strong buy for a beginner, long-term investor at this moment. While the company has promising developments in nuclear energy and significant revenue growth, the technical indicators are bearish, options sentiment is mixed, and analysts have recently downgraded the stock. Additionally, concerns about project risks and dilution weigh on the stock's near-term outlook. It is better to wait for more clarity on project developments and financial stability before committing to a long-term investment.
The technical indicators suggest a bearish trend. The MACD is negatively expanding, RSI is neutral at 29.468, and the moving averages are bearish (SMA_200 > SMA_20 > SMA_5). The stock is trading below key support levels, with S1 at 14.542 and S2 at 13.324, indicating potential further downside.
Partnership with Oak Ridge National Laboratory to optimize nuclear fuel management using AI, supported by U.S. Department of Energy funding.
U.S. Department of Energy's $3.1 billion allocation for small modular reactors and advanced reactor programs.
Revenue growth of 1635.16% YoY in Q3 2025.
Recent downgrade by TD Cowen due to concerns about project risks and delays.
Launch of inverse ETFs targeting NuScale Power, indicating bearish sentiment.
Gross margin dropped by 19.37% YoY in Q3
Analysts have lowered price targets significantly over the past months, reflecting cautious sentiment.
In Q3 2025, revenue increased by 1635.16% YoY to $8.24M, but net income remained negative at -$273.32M, with EPS at -1.85. Gross margin declined to 30.55%, down 19.37% YoY. While revenue growth is impressive, the company is still unprofitable, and margins are under pressure.
Analyst sentiment is mixed but leaning negative in the near term. Recent downgrades include TD Cowen lowering to Hold and Goldman Sachs reducing the price target to $20. Positive ratings include Texas Capital's Buy rating with a $23 price target, citing NuScale's unique position in the small modular reactor market. However, concerns about project risks, dilution, and valuation persist.
