NuScale Power Stock Plummets 33% Amid Analyst Downgrades and Lawsuits
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 06 2026
0mins
Source: Fool
- Significant Stock Decline: NuScale Power's stock has plummeted 33% over the past five weeks, with a 9% drop this week alone, reflecting a severe erosion of investor confidence and a pessimistic outlook on its future prospects.
- Analyst Downgrades: Several analysts have slashed their price targets for NuScale, with Citigroup reducing its target from $18.50 to $11.50 and Royal Bank of Canada cutting from $21 to $14, indicating growing concerns over the company's profitability and market position.
- Deteriorating Financials: On February 26, NuScale reported a 15% drop in projected 2025 revenue and a staggering 700% increase in general and administrative expenses, resulting in a net loss of $2.017 per share, significantly worse than the $1.47 loss in 2024, highlighting the financial strain the company is under.
- Legal Action Risks: A wave of class action lawsuits has been filed against NuScale, alleging misrepresentation of ENTRA1 Energy's capabilities, which could lead to milestone payments exceeding $300 million, further exacerbating market anxiety and uncertainty regarding the company's future cash flows.
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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: 12.650
Low
18.50
Averages
32.77
High
60.00
Current: 12.650
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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- Massive Market Opportunity: NuScale Power's market cap is currently below $4 billion, yet experts believe the company is pursuing a $10 trillion global opportunity in the small modular reactor (SMR) sector, indicating significant long-term investment potential.
- Competitive Landscape: In contrast to NuScale Power, Oklo's market cap hovers around $11 billion, nearly three times that of NuScale, reflecting market recognition of Oklo's technology and leadership, particularly following Sam Altman's involvement which has provided a strategic advantage.
- Growing Customer Demand: Oklo's customer base is primarily composed of data centers and AI startups, with expectations that energy needs will double by 2030, creating substantial market demand for Oklo's SMR technology and further enhancing its growth potential.
- Design Strategy Differences: NuScale Power's SMR designs target utility-scale deployments capable of generating 6 gigawatts, while Oklo focuses on smaller applications ranging from 15 to 50 megawatts, making it better suited for direct adoption by data centers, highlighting significant differences in market positioning between the two companies.
See More
The Promising Future of Small Modular Reactors
- Market Opportunity: NuScale Power's market cap is currently below $4 billion, yet it aims to chase a global market opportunity worth up to $10 trillion, indicating significant growth potential in the small modular reactor (SMR) sector.
- Competitive Landscape: Oklo's market cap hovers around $11 billion, nearly three times that of NuScale, and while both companies are pre-revenue, Oklo's premium valuation is largely attributed to the influence of its chairman, Sam Altman, reflecting investor confidence in its future development.
- Technology Application Differences: NuScale's SMR designs are primarily targeted at utility-scale deployments, capable of generating 6 gigawatts of power per project, whereas Oklo focuses on smaller applications suitable for specific customers like data centers, highlighting a significant divergence in market positioning between the two companies.
- Cautious Investment Advice: Although NuScale Power is considered a promising SMR stock, analysts have noted that it did not make the current list of top investment stocks, suggesting that investors should carefully assess its long-term investment value.
See More
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- Nuclear Market Recovery: Following a decade of stagnation post-Fukushima, the nuclear sector is witnessing a resurgence, with the IAEA projecting a 2.6-fold increase in global nuclear capacity by 2050, indicating strong market recovery potential driven by renewed investments in nuclear projects.
- Strategic Investment by Brookfield: Brookfield Asset Management's acquisition of a 51% stake in Westinghouse, in partnership with uranium miner Cameco, not only strengthens its position in the nuclear sector but also lays a solid foundation for future revenue growth in a booming market.
- Robust Financial Performance: Brookfield's fee-bearing capital reached $457 billion in 2023, up from $418 billion in 2022, and is projected to grow to $603 billion by 2025, reflecting its strong appeal and stability in the alternative investment space amid macroeconomic challenges.
- Future Growth Potential: Brookfield aims to double its business size from 2025 to 2030, targeting $1.2 trillion in fee-bearing capital and $5.9 billion in distributable earnings, with the nuclear market's expansion expected to directly enhance its future dividend growth prospects.
See More
Brookfield Asset Management Acquires Westinghouse Stake
- Controlling Advantage: Brookfield Asset Management now holds a 51% stake in Westinghouse, which is expected to significantly boost its profits and dividends over the next decade, particularly as the nuclear market recovers.
- Market Recovery: The International Atomic Energy Agency projects that global nuclear capacity will expand by up to 2.6 times from 2024 to 2050, and Brookfield's strategic partnership with Westinghouse positions it well to capitalize on this growth opportunity and enhance its market competitiveness.
- Financial Strength: Brookfield's management fees, distributable earnings, and fee-bearing capital have steadily increased over the past four years, with fee-bearing capital reaching $457 billion in 2023, demonstrating its strong performance in the alternative investment sector.
- Future Plans: Brookfield aims to expand its fee-bearing capital to $1.2 trillion by 2030 and is collaborating with the U.S. government to construct at least $80 billion in new reactors, further solidifying its leadership position in the nuclear market.
See More
Reminder for NuScale Power Class Action Lawsuit
- Class Action Notice: Rosen Law Firm reminds investors who purchased NuScale Power Class A common stock between May 13, 2025, and November 6, 2025, to apply as lead plaintiffs by April 20, 2026, to participate in the class action and potentially receive compensation.
- Fee Arrangement: Participants can obtain compensation without any upfront costs through a contingency fee arrangement, which reduces the financial burden on investors and encourages more affected shareholders to join the lawsuit.
- Lawsuit Background: The lawsuit alleges that NuScale failed to disclose ENTRA1 Energy LLC's lack of experience in the nuclear sector during the class period, exposing investors to significant risks that could impact the company's future commercialization strategy.
- Law Firm Advantages: Rosen Law Firm specializes in securities class actions and has recovered over $438 million for investors in 2019 alone, demonstrating its extensive experience and success in handling such cases, prompting investors to carefully select qualified legal counsel.
See More
NuScale Power Faces Financial Challenges Amid Market Sell-off
- Stock Price Decline: Since the beginning of 2026, NuScale Power's shares have lost nearly 30% of their value, despite a 15% single-day gain on April 15, indicating market concerns about its future prospects that could undermine investor confidence.
- Significant Losses: The company reported a net loss exceeding $660 million last year, marking its fourth consecutive year of losses, which highlights the financial strain in developing small modular reactors (SMRs) and may limit its ability to raise capital.
- Bleak Profitability Outlook: Analysts do not expect NuScale Power to achieve profitability in the next two fiscal years, with potential profitability not anticipated until this decade, increasing reliance on external capital during market downturns and heightening financial risks.
- Capital Raising Challenges: With its market cap plummeting from $8 billion to $4 billion, NuScale Power faces a tougher fundraising environment, likely resulting in higher borrowing costs and shareholder dilution risks, further impacting its operational and growth plans.
See More
NuScale Power Faces Massive Growth Potential in SMR Market
- Massive Market Opportunity: NuScale Power's market cap is currently below $4 billion, yet experts believe the company is pursuing a $10 trillion global opportunity in the small modular reactor (SMR) sector, indicating significant long-term investment potential.
- Competitive Landscape: In contrast to NuScale Power, Oklo's market cap hovers around $11 billion, nearly three times that of NuScale, reflecting market recognition of Oklo's technology and leadership, particularly following Sam Altman's involvement which has provided a strategic advantage.
- Growing Customer Demand: Oklo's customer base is primarily composed of data centers and AI startups, with expectations that energy needs will double by 2030, creating substantial market demand for Oklo's SMR technology and further enhancing its growth potential.
- Design Strategy Differences: NuScale Power's SMR designs target utility-scale deployments capable of generating 6 gigawatts, while Oklo focuses on smaller applications ranging from 15 to 50 megawatts, making it better suited for direct adoption by data centers, highlighting significant differences in market positioning between the two companies.
See More
The Promising Future of Small Modular Reactors
- Market Opportunity: NuScale Power's market cap is currently below $4 billion, yet it aims to chase a global market opportunity worth up to $10 trillion, indicating significant growth potential in the small modular reactor (SMR) sector.
- Competitive Landscape: Oklo's market cap hovers around $11 billion, nearly three times that of NuScale, and while both companies are pre-revenue, Oklo's premium valuation is largely attributed to the influence of its chairman, Sam Altman, reflecting investor confidence in its future development.
- Technology Application Differences: NuScale's SMR designs are primarily targeted at utility-scale deployments, capable of generating 6 gigawatts of power per project, whereas Oklo focuses on smaller applications suitable for specific customers like data centers, highlighting a significant divergence in market positioning between the two companies.
- Cautious Investment Advice: Although NuScale Power is considered a promising SMR stock, analysts have noted that it did not make the current list of top investment stocks, suggesting that investors should carefully assess its long-term investment value.
See More
Brookfield Asset Management Eyes Nuclear Market Growth
- Nuclear Market Recovery: Following a decade of stagnation post-Fukushima, the nuclear sector is witnessing a resurgence, with the IAEA projecting a 2.6-fold increase in global nuclear capacity by 2050, indicating strong market recovery potential driven by renewed investments in nuclear projects.
- Strategic Investment by Brookfield: Brookfield Asset Management's acquisition of a 51% stake in Westinghouse, in partnership with uranium miner Cameco, not only strengthens its position in the nuclear sector but also lays a solid foundation for future revenue growth in a booming market.
- Robust Financial Performance: Brookfield's fee-bearing capital reached $457 billion in 2023, up from $418 billion in 2022, and is projected to grow to $603 billion by 2025, reflecting its strong appeal and stability in the alternative investment space amid macroeconomic challenges.
- Future Growth Potential: Brookfield aims to double its business size from 2025 to 2030, targeting $1.2 trillion in fee-bearing capital and $5.9 billion in distributable earnings, with the nuclear market's expansion expected to directly enhance its future dividend growth prospects.
See More
Brookfield Asset Management Acquires Westinghouse Stake
- Controlling Advantage: Brookfield Asset Management now holds a 51% stake in Westinghouse, which is expected to significantly boost its profits and dividends over the next decade, particularly as the nuclear market recovers.
- Market Recovery: The International Atomic Energy Agency projects that global nuclear capacity will expand by up to 2.6 times from 2024 to 2050, and Brookfield's strategic partnership with Westinghouse positions it well to capitalize on this growth opportunity and enhance its market competitiveness.
- Financial Strength: Brookfield's management fees, distributable earnings, and fee-bearing capital have steadily increased over the past four years, with fee-bearing capital reaching $457 billion in 2023, demonstrating its strong performance in the alternative investment sector.
- Future Plans: Brookfield aims to expand its fee-bearing capital to $1.2 trillion by 2030 and is collaborating with the U.S. government to construct at least $80 billion in new reactors, further solidifying its leadership position in the nuclear market.
See More
Reminder for NuScale Power Class Action Lawsuit
- Class Action Notice: Rosen Law Firm reminds investors who purchased NuScale Power Class A common stock between May 13, 2025, and November 6, 2025, to apply as lead plaintiffs by April 20, 2026, to participate in the class action and potentially receive compensation.
- Fee Arrangement: Participants can obtain compensation without any upfront costs through a contingency fee arrangement, which reduces the financial burden on investors and encourages more affected shareholders to join the lawsuit.
- Lawsuit Background: The lawsuit alleges that NuScale failed to disclose ENTRA1 Energy LLC's lack of experience in the nuclear sector during the class period, exposing investors to significant risks that could impact the company's future commercialization strategy.
- Law Firm Advantages: Rosen Law Firm specializes in securities class actions and has recovered over $438 million for investors in 2019 alone, demonstrating its extensive experience and success in handling such cases, prompting investors to carefully select qualified legal counsel.
See More
NuScale Power Faces Financial Challenges Amid Market Sell-off
- Stock Price Decline: Since the beginning of 2026, NuScale Power's shares have lost nearly 30% of their value, despite a 15% single-day gain on April 15, indicating market concerns about its future prospects that could undermine investor confidence.
- Significant Losses: The company reported a net loss exceeding $660 million last year, marking its fourth consecutive year of losses, which highlights the financial strain in developing small modular reactors (SMRs) and may limit its ability to raise capital.
- Bleak Profitability Outlook: Analysts do not expect NuScale Power to achieve profitability in the next two fiscal years, with potential profitability not anticipated until this decade, increasing reliance on external capital during market downturns and heightening financial risks.
- Capital Raising Challenges: With its market cap plummeting from $8 billion to $4 billion, NuScale Power faces a tougher fundraising environment, likely resulting in higher borrowing costs and shareholder dilution risks, further impacting its operational and growth plans.
See More
