NuScale Power: A New Investment Opportunity in Nuclear Energy
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 16 hours ago
0mins
Source: Fool
- Massive Market Opportunity: NuScale Power focuses on small modular reactors (SMRs), with over $10 trillion expected to be spent on new nuclear systems over the coming decades, indicating significant market potential for SMRs.
- Clear Technological Advantages: SMRs offer smaller footprints, shorter construction times, and lower initial costs compared to traditional nuclear plants, enabling quicker deployment to meet rising energy demands, particularly from the energy-intensive data centers of the AI industry.
- Favorable Investment Timing: With NuScale Power's stock currently priced at $11.96, having shed nearly one-third of its value this year, investors may find it advantageous to buy shares ahead of the upcoming earnings report on May 7, potentially leading to significant capital appreciation.
- Future Growth Potential: Although only two SMRs are currently operational globally, over 80 commercial SMR designs are in development, with NuScale Power aiming to have its first design operational by 2030, highlighting the long-term appeal of investing in this sector.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy SMR?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on SMR
Wall Street analysts forecast SMR stock price to rise
13 Analyst Rating
5 Buy
6 Hold
2 Sell
Hold
Current: 12.720
Low
18.50
Averages
32.77
High
60.00
Current: 12.720
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: A New Investment Opportunity in Nuclear Energy
- Massive Market Opportunity: NuScale Power focuses on small modular reactors (SMRs), with over $10 trillion expected to be spent on new nuclear systems over the coming decades, indicating significant market potential for SMRs.
- Clear Technological Advantages: SMRs offer smaller footprints, shorter construction times, and lower initial costs compared to traditional nuclear plants, enabling quicker deployment to meet rising energy demands, particularly from the energy-intensive data centers of the AI industry.
- Favorable Investment Timing: With NuScale Power's stock currently priced at $11.96, having shed nearly one-third of its value this year, investors may find it advantageous to buy shares ahead of the upcoming earnings report on May 7, potentially leading to significant capital appreciation.
- Future Growth Potential: Although only two SMRs are currently operational globally, over 80 commercial SMR designs are in development, with NuScale Power aiming to have its first design operational by 2030, highlighting the long-term appeal of investing in this sector.
See More
NuScale Power Pursues $10 Trillion Opportunity
- Massive Market Opportunity: Bank of America estimates that over $10 trillion will be spent on new nuclear systems over the coming decades, with small modular reactors (SMRs) playing a significant role, despite only two SMRs currently in operation globally, indicating substantial market potential.
- Clear Technological Advantages: NuScale Power specializes in SMRs, which offer smaller footprints, shorter construction times, and lower initial costs, enabling a rapid response to the rising energy demands, particularly from the energy-intensive data centers required by the AI industry.
- Favorable Investment Timing: Investors have the opportunity to buy shares before the May 7 earnings report, as the stock has dropped nearly one-third in value, and while volatility may occur, entering now could lay the groundwork for long-term gains.
- Optimistic Future Outlook: NuScale Power aims to have its first design operational by 2030, although delays are possible; with over 80 commercial SMR designs in development, the next decade could see significant commercialization, further driving company growth.
See More
X-energy IPO Sets Record for Nuclear Financing Amid Electrification Boom
- IPO Performance: X-energy's stock opened at $30.11 during its IPO, a 26% increase from the $23 pricing, indicating strong market interest and confidence in the nuclear sector amid the electrification trend.
- Record Financing: The IPO raised over $1 billion, marking the largest public offering in nuclear history, reflecting investors' high regard for advanced reactor technology and expectations for future market potential.
- Technology and Market Positioning: The xe-100 reactor has a generation capacity of 80 megawatts and can be scaled up to 960 megawatts, suitable for both electricity generation and hard-to-decarbonize industrial applications, highlighting its strategic significance in the energy transition.
- Partnerships and Development Plans: The company has established an order pipeline exceeding 11 gigawatts with partners like Amazon and Dow, and plans to begin construction of its fuel fabrication facility in Tennessee in 2025, indicating a long-term strategic focus in the nuclear market.
See More
NASDAQ 100 Pre-Market Indicator Rises Significantly
- Market Indicator Surge: The NASDAQ 100 Pre-Market Indicator rises by 347.58 points to 27,130.2, indicating a positive shift in market sentiment that may attract more investors to tech stocks.
- Intel's Strong Performance: Intel Corporation (INTC) sees its stock price increase by 17.76 to $84.54, with a trading volume of 21,456,313 shares, and has had three upward revisions in earnings forecasts over the last four weeks, reflecting strong market confidence in its future performance.
- WiMi and Direxion ETF Activity: WiMi Hologram Cloud Inc. (WIMI) rises by 0.23 to $2.01 with 12,765,242 shares traded, while Direxion Daily TSLA Bull 2X ETF (TSLL) increases by 0.13 to $12.15, showcasing investor interest in tech-related ETFs.
- Other Stock Movements: Nokia Corporation (NOK) increases by 0.50 to $10.83, currently at 133.72% of its target price, while Organon & Co. (OGN) rises by 2.62 to $11.22, indicating growing market confidence in these companies.
See More
Oklo Accelerates Nuclear Deployment with Major Tech Partnerships
- Strengthened Partnerships: Oklo is ramping up collaborations with major tech firms like Nvidia and Meta to accelerate the deployment of its fast-fission power plants, aiming to meet the surging power demands of AI data centers, which is expected to significantly enhance the company's market competitiveness.
- Leading Technological Innovation: NuScale Power's advanced Small Modular Reactor technology, certified by the U.S. Nuclear Regulatory Commission and capable of generating 77 megawatts of electricity, stands as the only certified technology in the market, which is anticipated to drive its commercialization efforts in the nuclear sector.
- Strong Stock Performance: Oklo's shares have surged over 214% in the past year, while NuScale's shares have declined by 23%, reflecting strong investor confidence in Oklo and highlighting its potential in the clean energy market.
- Positive Analyst Ratings: HSBC initiated coverage on Oklo with a 'Buy' rating and a price target of $96, indicating a potential upside of 25.6%, while NuScale received a 'Hold' rating with a target of $13, showcasing differing market perceptions of these two companies.
See More
Oklo Inc.: A Massive Opportunity in the Nuclear Market
- Massive Market Potential: The AI industry is expected to drive approximately $7 trillion in data center infrastructure spending over the next few years, highlighting the rapid growth and urgent energy needs of this sector.
- Nuclear Renaissance Outlook: Bank of America predicts a global nuclear renaissance worth around $10 trillion, positioning Oklo, as a developer of small modular reactors, to capture significant market share, especially with SMR technology projected to command 15% of nuclear spending by 2050.
- Clear Competitive Advantage: Oklo's market strategy involves locating its power plants directly with data center infrastructure, which has led to a stronger customer signing performance compared to competitors like NuScale Power, who face challenges in this area.
- Investment Return Potential: With the global nuclear market expected to reach several hundred billion dollars, Oklo achieving a $100 billion market cap implies a potential 1,000% upside from current prices, although it faces challenges in execution and market expansion.
See More
NuScale Power: A New Investment Opportunity in Nuclear Energy
- Massive Market Opportunity: NuScale Power focuses on small modular reactors (SMRs), with over $10 trillion expected to be spent on new nuclear systems over the coming decades, indicating significant market potential for SMRs.
- Clear Technological Advantages: SMRs offer smaller footprints, shorter construction times, and lower initial costs compared to traditional nuclear plants, enabling quicker deployment to meet rising energy demands, particularly from the energy-intensive data centers of the AI industry.
- Favorable Investment Timing: With NuScale Power's stock currently priced at $11.96, having shed nearly one-third of its value this year, investors may find it advantageous to buy shares ahead of the upcoming earnings report on May 7, potentially leading to significant capital appreciation.
- Future Growth Potential: Although only two SMRs are currently operational globally, over 80 commercial SMR designs are in development, with NuScale Power aiming to have its first design operational by 2030, highlighting the long-term appeal of investing in this sector.
See More
NuScale Power Pursues $10 Trillion Opportunity
- Massive Market Opportunity: Bank of America estimates that over $10 trillion will be spent on new nuclear systems over the coming decades, with small modular reactors (SMRs) playing a significant role, despite only two SMRs currently in operation globally, indicating substantial market potential.
- Clear Technological Advantages: NuScale Power specializes in SMRs, which offer smaller footprints, shorter construction times, and lower initial costs, enabling a rapid response to the rising energy demands, particularly from the energy-intensive data centers required by the AI industry.
- Favorable Investment Timing: Investors have the opportunity to buy shares before the May 7 earnings report, as the stock has dropped nearly one-third in value, and while volatility may occur, entering now could lay the groundwork for long-term gains.
- Optimistic Future Outlook: NuScale Power aims to have its first design operational by 2030, although delays are possible; with over 80 commercial SMR designs in development, the next decade could see significant commercialization, further driving company growth.
See More
X-energy IPO Sets Record for Nuclear Financing Amid Electrification Boom
- IPO Performance: X-energy's stock opened at $30.11 during its IPO, a 26% increase from the $23 pricing, indicating strong market interest and confidence in the nuclear sector amid the electrification trend.
- Record Financing: The IPO raised over $1 billion, marking the largest public offering in nuclear history, reflecting investors' high regard for advanced reactor technology and expectations for future market potential.
- Technology and Market Positioning: The xe-100 reactor has a generation capacity of 80 megawatts and can be scaled up to 960 megawatts, suitable for both electricity generation and hard-to-decarbonize industrial applications, highlighting its strategic significance in the energy transition.
- Partnerships and Development Plans: The company has established an order pipeline exceeding 11 gigawatts with partners like Amazon and Dow, and plans to begin construction of its fuel fabrication facility in Tennessee in 2025, indicating a long-term strategic focus in the nuclear market.
See More
NASDAQ 100 Pre-Market Indicator Rises Significantly
- Market Indicator Surge: The NASDAQ 100 Pre-Market Indicator rises by 347.58 points to 27,130.2, indicating a positive shift in market sentiment that may attract more investors to tech stocks.
- Intel's Strong Performance: Intel Corporation (INTC) sees its stock price increase by 17.76 to $84.54, with a trading volume of 21,456,313 shares, and has had three upward revisions in earnings forecasts over the last four weeks, reflecting strong market confidence in its future performance.
- WiMi and Direxion ETF Activity: WiMi Hologram Cloud Inc. (WIMI) rises by 0.23 to $2.01 with 12,765,242 shares traded, while Direxion Daily TSLA Bull 2X ETF (TSLL) increases by 0.13 to $12.15, showcasing investor interest in tech-related ETFs.
- Other Stock Movements: Nokia Corporation (NOK) increases by 0.50 to $10.83, currently at 133.72% of its target price, while Organon & Co. (OGN) rises by 2.62 to $11.22, indicating growing market confidence in these companies.
See More
Oklo Accelerates Nuclear Deployment with Major Tech Partnerships
- Strengthened Partnerships: Oklo is ramping up collaborations with major tech firms like Nvidia and Meta to accelerate the deployment of its fast-fission power plants, aiming to meet the surging power demands of AI data centers, which is expected to significantly enhance the company's market competitiveness.
- Leading Technological Innovation: NuScale Power's advanced Small Modular Reactor technology, certified by the U.S. Nuclear Regulatory Commission and capable of generating 77 megawatts of electricity, stands as the only certified technology in the market, which is anticipated to drive its commercialization efforts in the nuclear sector.
- Strong Stock Performance: Oklo's shares have surged over 214% in the past year, while NuScale's shares have declined by 23%, reflecting strong investor confidence in Oklo and highlighting its potential in the clean energy market.
- Positive Analyst Ratings: HSBC initiated coverage on Oklo with a 'Buy' rating and a price target of $96, indicating a potential upside of 25.6%, while NuScale received a 'Hold' rating with a target of $13, showcasing differing market perceptions of these two companies.
See More
Oklo Inc.: A Massive Opportunity in the Nuclear Market
- Massive Market Potential: The AI industry is expected to drive approximately $7 trillion in data center infrastructure spending over the next few years, highlighting the rapid growth and urgent energy needs of this sector.
- Nuclear Renaissance Outlook: Bank of America predicts a global nuclear renaissance worth around $10 trillion, positioning Oklo, as a developer of small modular reactors, to capture significant market share, especially with SMR technology projected to command 15% of nuclear spending by 2050.
- Clear Competitive Advantage: Oklo's market strategy involves locating its power plants directly with data center infrastructure, which has led to a stronger customer signing performance compared to competitors like NuScale Power, who face challenges in this area.
- Investment Return Potential: With the global nuclear market expected to reach several hundred billion dollars, Oklo achieving a $100 billion market cap implies a potential 1,000% upside from current prices, although it faces challenges in execution and market expansion.
See More
