AI's Demand for Energy Drives Nuclear ETFs to Record Levels
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Sep 22 2025
0mins
Source: Benzinga
Nuclear ETFs Surge: Nuclear-themed ETFs, such as the VanEck Uranium+Nuclear Energy ETF (NLR) and the Range Nuclear Renaissance Index ETF (NUKZ), have seen significant gains, with NLR reaching an all-time high and both ETFs up over 100% from their lows, reflecting a growing investor interest in nuclear energy's role in the AI revolution.
Market Potential and Policy Support: A Bank of America report highlights a potential $10 trillion market opportunity for nuclear energy by 2050, driven by increased demand for reliable energy sources. Policy support from the Trump administration and revised growth expectations from the International Atomic Energy Agency (IAEA) further bolster the sector's outlook.
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Analyst Views on SMR
Wall Street analysts forecast SMR stock price to rise
13 Analyst Rating
5 Buy
6 Hold
2 Sell
Hold
Current: 9.890
Low
18.50
Averages
32.77
High
60.00
Current: 9.890
Low
18.50
Averages
32.77
High
60.00
About SMR
NuScale Power Corporation is a provider of proprietary advanced small modular reactor (SMR) nuclear technology. The NuScale Power Module, the Company's SMR technology, is a small pressurized water reactor that can generate approximately 77 megawatts of electricity (MWe) or 250 megawatts thermal (gross) and can be scaled to meet customer needs through an array of flexible configurations of up to 924 MWe (12 modules) of output. In addition to the sale of NPMs, it offers a diversified suite of services throughout the development and operating life of the power plant. The Company's suite of services is planned to include licensing support, testing, training, fuel supply services and program management, among others. It serves a range of customers consisting of domestic and international governments, utilities, state-owned enterprises and technology and industrial companies in need of carbon-free, reliable energy.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
NuScale Power Innovates with Small Modular Reactors
- Small Modular Reactor Design: NuScale Power is focused on developing small modular reactors (SMRs), which offer more flexible deployment capabilities compared to traditional large nuclear power plants, potentially transforming the way nuclear energy is produced.
- Regulatory Approval: NuScale's SMR design has been approved by the Nuclear Regulatory Commission (NRC), providing a significant first-mover advantage that distinguishes it in the highly regulated nuclear energy market, making it a primary reason for investors to choose NuScale.
- Romania Project Prospects: The SMR project in Romania is expected to install 463 megawatts electric (MWe) and aims for commercial operation by 2033, marking the first commercial application of its technology and potentially enhancing the company's market position significantly.
- Japanese Investment Support: NuScale's commercial partner, ENTRA1 Energy, is poised to receive approximately $25 billion in investment from Japan to advance nuclear power, particularly as a reliable energy source for artificial intelligence, which will provide robust support for NuScale's future growth.
See More
NuScale's Public Offering and Market Dynamics
- Market Volatility: Since going public via SPAC in May 2022, NuScale's stock opened at $10.70, peaked at $53.43 last October, but now trades around $11, indicating high volatility and reflecting divergent investor opinions on its future prospects.
- Technical Advantages: NuScale's small modular reactors (SMRs) can be installed in vessels only 65 feet tall and 9 feet wide, generating 77 MWe each; while less powerful than conventional plants, they can be combined to build larger facilities in remote areas, addressing specific market needs.
- Revenue Expectations: Analysts forecast NuScale's revenue to rise from $31.5 million in 2025 to $310.7 million in 2028, primarily from front-end engineering design (FEED) studies and licensing deals, yet with a market cap of $3.4 billion, it currently trades at 11 times its projected 2028 sales, indicating high valuation risk.
- Investor Confidence: Fluor recently liquidated its remaining shares in NuScale, reflecting concerns over the company's future profitability; although NuScale may successfully deploy its SMRs in the 2030s, it remains a highly speculative stock, necessitating cautious navigation of future market volatility.
See More
NuScale's Small Modular Reactors: A Market Disruption or Struggle Ahead?
- Market Potential and Challenges: NuScale's small modular reactors (SMRs) are expected to meet the soaring energy demands of cloud computing, AI, and industrial automation, yet competitive pressures and macroeconomic headwinds may hinder its growth potential.
- Revenue Growth Expectations: Analysts forecast NuScale's revenue to rise from $31.5 million in 2025 to $310.7 million in 2028, although with a market cap of $3.4 billion, it currently trades at 11 times its projected 2028 sales, indicating high valuation risks.
- Project Collaboration Progress: NuScale is working with Fluor to build a 462 MWe plant in Romania, with most revenue coming from front-end engineering and design (FEED) studies, making this project a crucial pillar for its future income.
- Investor Confidence Wavers: Fluor recently liquidated its remaining shares in NuScale, reflecting concerns over the company's future profitability, and while NuScale's SMRs have the potential to disrupt the nuclear market in the 2030s, it still faces significant profitability challenges in the near term.
See More
NuScale Power: A Pioneer in Nuclear Energy Transition
- First-Mover Advantage: NuScale Power holds a first-mover advantage in the small modular reactor (SMR) space as the only developer to secure design certification from the Nuclear Regulatory Commission (NRC) for its 50-megawatt and 77-megawatt power modules, providing a significant competitive edge.
- Project Delay Risks: Despite its first-mover status, NuScale has yet to deploy its SMR technology, with a 2015 project with Utah Associated Municipal Power Systems being terminated after costs ballooned from $3 billion to $9.3 billion, highlighting major challenges in its commercialization process.
- Huge Milestone Payments: The partnership with ENTRA1 Energy has raised investor concerns due to ENTRA1's lack of operational history, with NuScale having paid $495 million in milestone payments last year, and estimates suggest it could owe up to $3 billion under the TVA agreement, increasing financial risk.
- High-Risk Investment: While NuScale has potential in the nuclear energy transition, its business model's scalability remains unproven, with SMRs not expected to be operational until the 2030s, necessitating caution from investors considering its high-risk profile.
See More
NASDAQ 100 Pre-Market Activity Overview
- Market Performance: The NASDAQ 100 Pre-Market Indicator rose by 208.41 points to 30,176.54, indicating investor optimism that may drive positive performance in upcoming trading sessions.
- Active Stocks: UTStarcom Holdings Corp (UTSI) increased by $0.94 to $3.90 with a trading volume of 14,956,919 shares, suggesting growing market confidence in its future performance.
- Tech Stock Dynamics: Space Exploration Technologies Corp (SPCX) rose by $3.90 to $205.70, with a trading volume of 9,018,270 shares, marking a 52-week high and reflecting sustained investor interest in the space exploration sector.
- Analyst Ratings: Nokia Corporation (NOK) increased by $0.36 to $14.34, with a trading volume of 5,356,333 shares, and the current mean recommendation is in the 'buy range', indicating analysts' optimistic outlook on its future growth.
See More
NuScale Power's Progress on Small Modular Reactors
- First Commercial Reactor Plan: NuScale Power is set to launch its first commercial small modular reactor (SMR) in 2033, marking a significant advancement in the nuclear energy sector, although it has yet to achieve commercialization, indicating strong market potential.
- NRC Approval Advantage: As the only U.S. company with an NRC-approved SMR design, NuScale holds a first-mover advantage in the highly regulated nuclear power market, which distinguishes it from competitors and attracts investor interest.
- Romania Project Prospects: The SMR project in Romania is expected to install 463 megawatts electric (MWe), which not only aids in replacing coal-fired power but also lays a foundation for future nuclear energy development.
- Japanese Investment Support: NuScale's commercial partner, ENTRA1 Energy, is poised to receive approximately $25 billion in investment from Japan to advance nuclear power, particularly as a reliable energy source for artificial intelligence, further enhancing NuScale's market outlook.
See More
NuScale Power Innovates with Small Modular Reactors
- Small Modular Reactor Design: NuScale Power is focused on developing small modular reactors (SMRs), which offer more flexible deployment capabilities compared to traditional large nuclear power plants, potentially transforming the way nuclear energy is produced.
- Regulatory Approval: NuScale's SMR design has been approved by the Nuclear Regulatory Commission (NRC), providing a significant first-mover advantage that distinguishes it in the highly regulated nuclear energy market, making it a primary reason for investors to choose NuScale.
- Romania Project Prospects: The SMR project in Romania is expected to install 463 megawatts electric (MWe) and aims for commercial operation by 2033, marking the first commercial application of its technology and potentially enhancing the company's market position significantly.
- Japanese Investment Support: NuScale's commercial partner, ENTRA1 Energy, is poised to receive approximately $25 billion in investment from Japan to advance nuclear power, particularly as a reliable energy source for artificial intelligence, which will provide robust support for NuScale's future growth.
See More
NuScale's Public Offering and Market Dynamics
- Market Volatility: Since going public via SPAC in May 2022, NuScale's stock opened at $10.70, peaked at $53.43 last October, but now trades around $11, indicating high volatility and reflecting divergent investor opinions on its future prospects.
- Technical Advantages: NuScale's small modular reactors (SMRs) can be installed in vessels only 65 feet tall and 9 feet wide, generating 77 MWe each; while less powerful than conventional plants, they can be combined to build larger facilities in remote areas, addressing specific market needs.
- Revenue Expectations: Analysts forecast NuScale's revenue to rise from $31.5 million in 2025 to $310.7 million in 2028, primarily from front-end engineering design (FEED) studies and licensing deals, yet with a market cap of $3.4 billion, it currently trades at 11 times its projected 2028 sales, indicating high valuation risk.
- Investor Confidence: Fluor recently liquidated its remaining shares in NuScale, reflecting concerns over the company's future profitability; although NuScale may successfully deploy its SMRs in the 2030s, it remains a highly speculative stock, necessitating cautious navigation of future market volatility.
See More
NuScale's Small Modular Reactors: A Market Disruption or Struggle Ahead?
- Market Potential and Challenges: NuScale's small modular reactors (SMRs) are expected to meet the soaring energy demands of cloud computing, AI, and industrial automation, yet competitive pressures and macroeconomic headwinds may hinder its growth potential.
- Revenue Growth Expectations: Analysts forecast NuScale's revenue to rise from $31.5 million in 2025 to $310.7 million in 2028, although with a market cap of $3.4 billion, it currently trades at 11 times its projected 2028 sales, indicating high valuation risks.
- Project Collaboration Progress: NuScale is working with Fluor to build a 462 MWe plant in Romania, with most revenue coming from front-end engineering and design (FEED) studies, making this project a crucial pillar for its future income.
- Investor Confidence Wavers: Fluor recently liquidated its remaining shares in NuScale, reflecting concerns over the company's future profitability, and while NuScale's SMRs have the potential to disrupt the nuclear market in the 2030s, it still faces significant profitability challenges in the near term.
See More
NuScale Power: A Pioneer in Nuclear Energy Transition
- First-Mover Advantage: NuScale Power holds a first-mover advantage in the small modular reactor (SMR) space as the only developer to secure design certification from the Nuclear Regulatory Commission (NRC) for its 50-megawatt and 77-megawatt power modules, providing a significant competitive edge.
- Project Delay Risks: Despite its first-mover status, NuScale has yet to deploy its SMR technology, with a 2015 project with Utah Associated Municipal Power Systems being terminated after costs ballooned from $3 billion to $9.3 billion, highlighting major challenges in its commercialization process.
- Huge Milestone Payments: The partnership with ENTRA1 Energy has raised investor concerns due to ENTRA1's lack of operational history, with NuScale having paid $495 million in milestone payments last year, and estimates suggest it could owe up to $3 billion under the TVA agreement, increasing financial risk.
- High-Risk Investment: While NuScale has potential in the nuclear energy transition, its business model's scalability remains unproven, with SMRs not expected to be operational until the 2030s, necessitating caution from investors considering its high-risk profile.
See More
NASDAQ 100 Pre-Market Activity Overview
- Market Performance: The NASDAQ 100 Pre-Market Indicator rose by 208.41 points to 30,176.54, indicating investor optimism that may drive positive performance in upcoming trading sessions.
- Active Stocks: UTStarcom Holdings Corp (UTSI) increased by $0.94 to $3.90 with a trading volume of 14,956,919 shares, suggesting growing market confidence in its future performance.
- Tech Stock Dynamics: Space Exploration Technologies Corp (SPCX) rose by $3.90 to $205.70, with a trading volume of 9,018,270 shares, marking a 52-week high and reflecting sustained investor interest in the space exploration sector.
- Analyst Ratings: Nokia Corporation (NOK) increased by $0.36 to $14.34, with a trading volume of 5,356,333 shares, and the current mean recommendation is in the 'buy range', indicating analysts' optimistic outlook on its future growth.
See More
NuScale Power's Progress on Small Modular Reactors
- First Commercial Reactor Plan: NuScale Power is set to launch its first commercial small modular reactor (SMR) in 2033, marking a significant advancement in the nuclear energy sector, although it has yet to achieve commercialization, indicating strong market potential.
- NRC Approval Advantage: As the only U.S. company with an NRC-approved SMR design, NuScale holds a first-mover advantage in the highly regulated nuclear power market, which distinguishes it from competitors and attracts investor interest.
- Romania Project Prospects: The SMR project in Romania is expected to install 463 megawatts electric (MWe), which not only aids in replacing coal-fired power but also lays a foundation for future nuclear energy development.
- Japanese Investment Support: NuScale's commercial partner, ENTRA1 Energy, is poised to receive approximately $25 billion in investment from Japan to advance nuclear power, particularly as a reliable energy source for artificial intelligence, further enhancing NuScale's market outlook.
See More
