NuScale Power Faces Challenges in Securing First Customer
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 04 2026
0mins
Source: Fool
- Rising Project Costs: NuScale's first major project, the Carbon Free Power Plant, saw costs soar to approximately $9 billion before its cancellation in 2023, which not only impacted the company's financial health but also increased pressure in securing customers.
- Lack of Customer Orders: Despite the advantages of NuScale's SMR technology, including scalability, factory construction, and round-the-clock clean power, the company has yet to secure any formal customer orders, placing it at a disadvantage in the competitive nuclear energy market.
- International Collaboration Potential: NuScale's partnership with South Korea's Doosan Enerbility, established in 2019, shows signs of potential investment interest from South Korea in U.S. nuclear industries, which could open new opportunities for SMR technology sales, although no specific agreements have been reached yet.
- Severe Financial Condition: The company reported a net loss of approximately $44 million in the first quarter, with revenue of only about $565,000, and while annual revenue is expected to grow over the next two years, it remains insufficient for profitability, prompting investors to carefully assess risks.
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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: 10.340
Low
18.50
Averages
32.77
High
60.00
Current: 10.340
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.
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- Legal Litigation Risks: NuScale is facing a class action lawsuit alleging that executives misled investors, which could lead to financial losses and reputational damage, further exacerbating market concerns about its future, especially as competitors like Oklo emerge.
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