NuScale Power Faces Securities Fraud Class Action Lawsuit
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 16 2026
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Should l Buy SMR?
Source: PRnewswire
- Lawsuit Background: A securities fraud class action lawsuit has been filed by Kessler Topaz Meltzer & Check, LLP against NuScale Power Corporation on behalf of investors who purchased Class A common stock between May 13, 2025, and November 6, 2025, raising serious concerns about the company's financial transparency.
- Financial Crisis: NuScale's general and administrative expenses surged over 3,000% to $519 million in Q3 2025, primarily due to a $495 million payment to ENTRA1, resulting in a quarterly net loss skyrocketing to $532 million, indicating significant financial distress for the company.
- Stock Price Plunge: On November 6, 2025, NuScale's stock price dropped by $5.45, or approximately 14.4%, from $37.91 to $32.46 following the financial report, reflecting the market's pessimism regarding its future prospects.
- Investor Action: Affected investors have until April 20, 2026, to apply for lead plaintiff status in the class action, highlighting strong concerns over corporate governance and financial management while providing a legal avenue for potential compensation.
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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: 9.580
Low
18.50
Averages
32.77
High
60.00
Current: 9.580
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 Shares Rise on UK Nuclear Investment News
- Stock Surge: NuScale Power's shares jumped 7.7% to $10.18 by noon ET on Tuesday, driven not by company-specific actions but by positive news from overseas, indicating sustained market interest in the nuclear sector.
- UK Investment Support: The UK's National Wealth Fund announced an $805 million investment in Rolls-Royce's SMR subsidiary to support the development of small modular reactors, which is expected to boost the overall nuclear industry, although the direct impact on NuScale may be limited.
- Market Outlook Analysis: Despite the positive stock reaction, analysts caution that the UK-led project with a local contractor could negatively affect NuScale's sales prospects in the UK market, reflecting concerns about future sales opportunities.
- Increased Industry Competition: With the UK government planning to purchase three Rolls-Royce SMRs, each rated at 470 MWe, NuScale faces intensified competitive pressure, potentially eroding its market share in the small modular reactor segment.
See More
NuScale Power Faces Securities Fraud Class Action Lawsuit
- Lawsuit Background: NuScale Power Corporation (NYSE: SMR) is facing a securities fraud class action lawsuit for material misstatements regarding its commercialization strategy for nuclear power projects during the period from May 13 to November 6, 2025, which has shaken investor confidence.
- Financial Losses: On November 6, 2025, NuScale reported a staggering 3,000% increase in general and administrative expenses to $519 million for Q3, resulting in a quarterly net loss of $532 million, a significant rise from $46 million the previous year, which directly led to a 14.4% drop in stock price.
- Investor Action: Affected investors are encouraged to file for lead plaintiff status by April 20, 2026, to represent other investors in the lawsuit, with Kessler Topaz Meltzer & Check, LLP offering free consultations to ensure their legal rights are protected.
- Legal Risks: The lawsuit alleges that NuScale entrusted its commercialization and distribution to ENTRA1 Energy LLC, which lacks experience in nuclear projects, exposing its commercialization strategy to significant undisclosed risks that could lead to future regulatory challenges and project delays.
See More
NuScale Power Faces Class Action Lawsuit
- Financial Loss Surge: NuScale Power reported a staggering increase of over 3,000% in general and administrative expenses, reaching $519 million in Q3 2025, resulting in a quarterly net loss of $532 million, a significant rise from $46 million the previous year, indicating severe deterioration in the company's financial health.
- Contractual Risk Exposure: The company’s $495 million payment to ENTRA1 Energy LLC raised concerns as analysts highlighted ENTRA1's lack of experience in building, financing, or operating projects, exposing NuScale's commercialization strategy to substantial risks of failure or delays.
- Stock Price Volatility: Following the earnings announcement, NuScale's stock price plummeted by $4.03, or 12.4%, over two trading days, closing at $28.43 per share, which reflects a significant loss for investors and a lack of confidence in the company's future prospects.
- Lawsuit Initiation: Investors have filed a class action lawsuit alleging that NuScale failed to disclose material adverse facts about its business and operations throughout the class period, potentially exposing the company to greater legal and financial risks.
See More
NuScale Executives Sued for Securities Fraud Amid Stock Plunge
- Lawsuit Background: NuScale Power Corporation and its executives are facing a class action lawsuit for alleged misrepresentations about ENTRA1, leading to a stock price drop of over 12.4% within two days, from $32.46 to $28.43 per share, reflecting serious investor concerns about the company's financial transparency.
- Financial Misrepresentation: In Q3 2025, NuScale's general and administrative expenses surged from $17 million to $519 million, primarily due to a $495 million payment to ENTRA1 for services, raising significant doubts about the company's financial health among investors.
- ENTRA1's True Status: Despite NuScale's claims of ENTRA1's extensive project development experience, it was revealed that ENTRA1 is a three-year-old company that has never completed any significant projects, with only three employees and one investor, further eroding market confidence following this disclosure.
- Legal Implications: Investors have until April 20, 2026, to apply to lead the lawsuit, and if successful, this could result in substantial financial and reputational damage to NuScale's executives and the company, highlighting the serious nature of the securities fraud allegations.
See More
NuScale Power Faces Securities Class Action Lawsuit
- Lawsuit Background: NuScale Power Corporation is facing a securities class action lawsuit for false representations regarding its ENTRA1 project from May 13 to November 6, 2025, allowing investors to seek compensation, highlighting significant failures in the company's disclosure practices.
- Stock Price Plunge: Following the lawsuit's revelation, NuScale's stock price plummeted from over $57 to $17, a decline exceeding 70%, reflecting severe market concerns about the company's financial health and potentially impacting future financing capabilities.
- False Promises: NuScale portrayed ENTRA1 as a robust commercialization engine with extensive energy infrastructure experience, yet investigations revealed ENTRA1 had only three employees and no completed projects, misleading investors significantly.
- Legal Consequences: The lawsuit alleges that NuScale executives knowingly or recklessly disregarded false statements about ENTRA1, leading to investors' erroneous perceptions of the company's commercialization readiness, artificially inflating stock prices and potentially resulting in substantial liability.
See More
NuScale Power Faces Class Action Lawsuit for Securities Fraud
- 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.
See More
NuScale Power Shares Rise on UK Nuclear Investment News
- Stock Surge: NuScale Power's shares jumped 7.7% to $10.18 by noon ET on Tuesday, driven not by company-specific actions but by positive news from overseas, indicating sustained market interest in the nuclear sector.
- UK Investment Support: The UK's National Wealth Fund announced an $805 million investment in Rolls-Royce's SMR subsidiary to support the development of small modular reactors, which is expected to boost the overall nuclear industry, although the direct impact on NuScale may be limited.
- Market Outlook Analysis: Despite the positive stock reaction, analysts caution that the UK-led project with a local contractor could negatively affect NuScale's sales prospects in the UK market, reflecting concerns about future sales opportunities.
- Increased Industry Competition: With the UK government planning to purchase three Rolls-Royce SMRs, each rated at 470 MWe, NuScale faces intensified competitive pressure, potentially eroding its market share in the small modular reactor segment.
See More
NuScale Power Faces Securities Fraud Class Action Lawsuit
- Lawsuit Background: NuScale Power Corporation (NYSE: SMR) is facing a securities fraud class action lawsuit for material misstatements regarding its commercialization strategy for nuclear power projects during the period from May 13 to November 6, 2025, which has shaken investor confidence.
- Financial Losses: On November 6, 2025, NuScale reported a staggering 3,000% increase in general and administrative expenses to $519 million for Q3, resulting in a quarterly net loss of $532 million, a significant rise from $46 million the previous year, which directly led to a 14.4% drop in stock price.
- Investor Action: Affected investors are encouraged to file for lead plaintiff status by April 20, 2026, to represent other investors in the lawsuit, with Kessler Topaz Meltzer & Check, LLP offering free consultations to ensure their legal rights are protected.
- Legal Risks: The lawsuit alleges that NuScale entrusted its commercialization and distribution to ENTRA1 Energy LLC, which lacks experience in nuclear projects, exposing its commercialization strategy to significant undisclosed risks that could lead to future regulatory challenges and project delays.
See More
NuScale Power Faces Class Action Lawsuit
- Financial Loss Surge: NuScale Power reported a staggering increase of over 3,000% in general and administrative expenses, reaching $519 million in Q3 2025, resulting in a quarterly net loss of $532 million, a significant rise from $46 million the previous year, indicating severe deterioration in the company's financial health.
- Contractual Risk Exposure: The company’s $495 million payment to ENTRA1 Energy LLC raised concerns as analysts highlighted ENTRA1's lack of experience in building, financing, or operating projects, exposing NuScale's commercialization strategy to substantial risks of failure or delays.
- Stock Price Volatility: Following the earnings announcement, NuScale's stock price plummeted by $4.03, or 12.4%, over two trading days, closing at $28.43 per share, which reflects a significant loss for investors and a lack of confidence in the company's future prospects.
- Lawsuit Initiation: Investors have filed a class action lawsuit alleging that NuScale failed to disclose material adverse facts about its business and operations throughout the class period, potentially exposing the company to greater legal and financial risks.
See More
NuScale Executives Sued for Securities Fraud Amid Stock Plunge
- Lawsuit Background: NuScale Power Corporation and its executives are facing a class action lawsuit for alleged misrepresentations about ENTRA1, leading to a stock price drop of over 12.4% within two days, from $32.46 to $28.43 per share, reflecting serious investor concerns about the company's financial transparency.
- Financial Misrepresentation: In Q3 2025, NuScale's general and administrative expenses surged from $17 million to $519 million, primarily due to a $495 million payment to ENTRA1 for services, raising significant doubts about the company's financial health among investors.
- ENTRA1's True Status: Despite NuScale's claims of ENTRA1's extensive project development experience, it was revealed that ENTRA1 is a three-year-old company that has never completed any significant projects, with only three employees and one investor, further eroding market confidence following this disclosure.
- Legal Implications: Investors have until April 20, 2026, to apply to lead the lawsuit, and if successful, this could result in substantial financial and reputational damage to NuScale's executives and the company, highlighting the serious nature of the securities fraud allegations.
See More
NuScale Power Faces Securities Class Action Lawsuit
- Lawsuit Background: NuScale Power Corporation is facing a securities class action lawsuit for false representations regarding its ENTRA1 project from May 13 to November 6, 2025, allowing investors to seek compensation, highlighting significant failures in the company's disclosure practices.
- Stock Price Plunge: Following the lawsuit's revelation, NuScale's stock price plummeted from over $57 to $17, a decline exceeding 70%, reflecting severe market concerns about the company's financial health and potentially impacting future financing capabilities.
- False Promises: NuScale portrayed ENTRA1 as a robust commercialization engine with extensive energy infrastructure experience, yet investigations revealed ENTRA1 had only three employees and no completed projects, misleading investors significantly.
- Legal Consequences: The lawsuit alleges that NuScale executives knowingly or recklessly disregarded false statements about ENTRA1, leading to investors' erroneous perceptions of the company's commercialization readiness, artificially inflating stock prices and potentially resulting in substantial liability.
See More
NuScale Power Faces Class Action Lawsuit for Securities Fraud
- 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.
See More
