Faruqi & Faruqi Investigates Potential Claims Against NuScale Power Corporation
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 04 2026
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Should l Buy SMR?
Source: PRnewswire
- Legal Investigation Initiated: Faruq & Faruqi, LLP is investigating potential claims against NuScale Power Corporation, particularly for investors who purchased or acquired securities between May 13, 2025, and November 6, 2025, indicating a focus on investor rights.
- Investor Contact Information: The firm encourages investors who suffered losses during the specified period to contact partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310) to discuss their legal options, demonstrating a commitment to client service.
- Class Action Reminder: Faruq & Faruqi reminds investors that April 20, 2026, is the deadline to seek the role of lead plaintiff in a federal securities class action filed against NuScale, emphasizing the urgency of legal proceedings.
- Securities Law Expertise: As a leading national securities law firm, the investigation by Faruq & Faruqi suggests that NuScale may face legal challenges, urging investors to act promptly to protect their rights, reflecting potential implications for the company's future stock price.
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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: 9.300
Low
18.50
Averages
32.77
High
60.00
Current: 9.300
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.
- Earnings Announcement Date: NuScale Power is set to announce its next quarterly earnings on May 7, 2026, which could be the most significant earnings report for the nuclear stock in years, prompting investors to pay close attention.
- Project Pipeline Updates: Specializing in small modular reactors (SMRs) with a power capacity of up to 300 MW per unit, NuScale aims to meet the rising energy demand, particularly from AI data centers, which is becoming increasingly critical.
- Market Competition Landscape: While NuScale has signed promising contracts with ENTRA1 and the Tennessee Valley Authority, it has yet to secure any major data center deals this year, in contrast to competitor Oklo, which has booked several significant data center contracts.
- Long-Term Growth Potential: With an expected addition of 18GW of nuclear capacity annually until 2040, and SMR construction not anticipated to accelerate until 2035, NuScale's long-term growth potential remains substantial, especially with its current valuation at just $3.1 billion, appealing to patient investors.
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- Lawsuit Background: Bleichmar Fonti & Auld LLP has filed a class action lawsuit against NuScale Power and its executives for securities fraud, resulting in a significant stock drop of 12.4% on November 10, 2025, from $32.46 to $28.43, indicating serious investor concerns regarding the company's financial transparency.
- Financial Mismanagement: NuScale reported a staggering increase in general and administrative expenses to $519 million in Q3 2025, primarily due to a $495 million payment to ENTRA1 for services, highlighting significant failures in cost control and financial management that could impact future profitability.
- False Capability Claims: The lawsuit alleges that NuScale misrepresented ENTRA1's capabilities, claiming extensive experience in nuclear project development, while in reality, ENTRA1 has never completed any significant projects, potentially misleading investors about the company's prospects.
- Legal Implications: Investors must apply by April 20, 2026, to be appointed as lead plaintiffs; if the lawsuit succeeds, it could have profound implications for NuScale's operations and shareholder rights, further exacerbating market distrust in its management.
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- Nuclear Renaissance Opportunity: Analysts believe the upcoming nuclear renaissance represents a $10 trillion market opportunity, as the rapid buildout of global AI data center infrastructure will significantly increase demand for nuclear energy, driving growth for related companies.
- Oklo's Market Positioning: Oklo focuses on providing small modular reactors suited for data center needs, having signed a deal with Meta Platforms for a 1.2GW system expected to come online by 2030, showcasing its strategic advantage in the AI revolution.
- NuScale's Project Progress: NuScale Power has a deal with the Tennessee Valley Authority to deploy a 6GW system, although specific timelines are still pending, its potential in large utility-scale projects continues to attract investor interest.
- Industry Leader Support: Sam Altman, founder of OpenAI, served as chairman of Oklo, indicating the company's influence and credibility in the AI data center sector, further enhancing its appeal as an investment choice.
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- Space Data Center Vision: SpaceX has filed an application to launch up to one million data centers into Earth's orbit, a goal unprecedented in scale, which may also serve to generate hype for a potential IPO while supporting the AI revolution.
- Nuclear Renaissance Opportunity: Analysts at Bank of America project that the upcoming nuclear renaissance could represent a $10 trillion market opportunity, likely benefiting nuclear innovators like Oklo and NuScale Power.
- Oklo's Market Positioning: Oklo focuses on small modular reactors and has signed a deal with Meta Platforms for a 1.2GW system expected to be operational by 2030, positioning itself to meet the rising energy demands of AI data centers effectively.
- Investment Choice Analysis: Among nuclear stocks, Oklo is viewed as the superior choice due to its business model being more aligned with the needs of AI data centers, especially given the background of OpenAI's founder having served as its chairman.
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- Market Decline: Oklo's stock has plummeted over 40% in 2026, with a $10,000 investment at its peak now worth only $2,840, indicating severe market skepticism regarding its future profitability.
- Significant Regulatory Risks: Despite attention on Oklo's innovative design in the nuclear sector, the commercial viability of its micro nuclear reactor remains untested, compounded by stringent regulatory approvals that have prevented revenue generation, increasing investment uncertainty.
- Competitor Advantage: Oklo's market cap of $8 billion far exceeds NuScale Power's $3 billion, which has received Nuclear Regulatory Commission approval, reflecting excessive optimism and hype surrounding Oklo compared to its more established competitor.
- Investor Confidence Lacking: Although Oklo has partnered with the Department of Energy to expedite its licensing process and had approximately $788 million in funding at the end of 2025, investor confidence remains low amid high interest rates and increasing competition, suggesting a preference for nuclear ETFs over a single pre-revenue company like Oklo.
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- Space Data Center Vision: SpaceX's application to launch up to one million data centers into Earth's orbit represents an unprecedented initiative aimed at harnessing limitless solar energy in space to reduce cooling costs, thereby facilitating the global buildout of AI infrastructure.
- Nuclear Investment Opportunity: Bank of America analysts project that the upcoming nuclear renaissance could represent a $10 trillion market opportunity, with nuclear innovators like Oklo and NuScale Power poised to benefit directly from this trend, making them attractive options for aggressive growth investors.
- Comparison of Oklo and NuScale: While both companies focus on small modular reactor technology, Oklo's strategy is more aligned with data center needs, having signed a deal with Meta Platforms for a 1.2GW system expected to come online by 2030, highlighting its advantageous market positioning.
- Nuclear Choice for AI Revolution: In light of the rising energy demands of the AI data center industry, Oklo's business model is more targeted, and its former chairman, Sam Altman, underscores its significance in the AI sector.
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