Nuclear power is carbon-free, so it is technically a clean power source. And it is always on, so it is a reliable base-load power source. With power demand expected to grow 60% over the next 20 years, up from 10% over the last 20 years, nuclear is increasingly seen as a key part of the supply equation. One big story investors don't want to miss is the huge support the nuclear power industry is getting from the U.S. government.
Massive growth plans for nuclear power The U.S. nuclear power fleet produces around 100 gigawatts of power today. The goal of Donald Trump's May 2025 executive order is to reach 400 gigawatts by 2050. There will be many steps in that process, including on the regulatory and financing fronts. Already, the groundwork has been laid to test new reactor technologies and to provide funding for both nuclear power start-ups and existing nuclear power companies seeking to expand.
Image source: Getty Images.
There are several ways for an investor to play the sector. For investors that don't want to jump in with both feet, a picks-and-shovels option like Cameco (CCJ -1.65%) or Brookfield Renewable (BEP +0.09%)(BEPC -0.24%) could be a good choice. While neither is directly benefiting from U.S. government support, Cameco produces and sells uranium. Industry growth is inherently positive for the company. Brookfield Renewable shares ownership of Westinghouse with Cameco. Westinghouse is one of the largest service providers to the nuclear power industry. Again, more nuclear power means more business for Westinghouse.
Today's Change
(
-1.65
%) $
-1.47
Current Price
$
87.86
If you want direct exposure, a more supportive regulatory environment will help Constellation Energy (CEG -0.45%) reopen shuttered power plants and sustain operations at plants scheduled for shutdown. It already has deals with Walmart (WMT +0.99%) and Meta (META -1.80%) to support its nuclear power plant operations. Notably, the U.S. government has provided Constellation with a $1 billion loan tied to its nuclear power ambitions.
Today's Change
(
-8.17
%) $
-0.72
Current Price
$
8.09
Then there are emerging new technologies, like the small modular nuclear reactors (SMR) that NuScale Power (SMR -8.17%) is looking to build. It will also benefit from increased regulatory support, as highlighted by the recent approval of a higher-capacity system the company has built. NuScale is already working with a Romanian utility and with the Tennessee Valley Authority on the potential deployment of its first SMRs. NuScale is a money-losing start-up, so only the most aggressive investors should consider it. But it could also have the biggest upside potential if its technology takes hold.
Different ways to play the nuclear renaissance If you are a conservative dividend investor, high-yield Brookfield Renewable is probably your best option, noting it operates a diversified clean energy business and sports a lofty 4.8% yield. Contract power company Constellation Energy is more growth-oriented, but still has a sizable existing business to support its nuclear ambitions. Some investors may prefer Cameco, which sells a commodity product likely to be in high demand. The most aggressive investors should consider NuScale Power, which has yet to sell its first SMR. But when it does ink its first deal, the stock could quickly see strong investor interest.
Reuben Gregg Brewer has positions in Brookfield Renewable Partners. The Motley Fool has positions in and recommends Cameco, Constellation Energy, Meta Platforms, and Walmart. The Motley Fool recommends Brookfield Renewable, Brookfield Renewable Partners, and NuScale Power. The Motley Fool has a disclosure policy.
Nuclear energy stocks have gone through a boom and bust over the last 12 months. NuScale Power (SMR -8.17%) is a prime example of this stock market trend, with shares rising 500% at one point in the past three years before violently falling back to earth.
In 2026, this trend has continued. NuScale Power's stock is down 38% this year. And yet, there is still a need for massive amounts of new electric power for future artificial intelligence (AI) data centers, which nuclear power is well positioned to provide.
Where could that lead NuScale Power shares five years from now?
Today's Change
(
-8.17
%) $
-0.72
Current Price
$
8.09
Small nuclear reactors for AI data centers By now, many readers are aware of the electricity needs for the upcoming AI data center investments. You may be well aware of them when looking at your current electric bills. This has not only become an economic issue but also a political one, in which government agencies, large and small, are trying to pass rules requiring AI infrastructure providers to pay for exclusive power agreements to avoid overly burdening residential electric bills.
Small modular nuclear reactors (SMRs) are theoretically a perfect solution for this problem, and NuScale Power has the only design approved by the Nuclear Regulatory Commission (NRC). Because of this, the company has partnered with ENTRA1 Energy as its commercial partner to develop power plants for these small nuclear reactors.
After this tie-up, the Tennessee Valley Authority committed to buying 6 gigawatts of power utilizing NuScale's SMR technology, which could mean a boom in future demand. However, as of the summer of 2026, NuScale Power has never built a nuclear reactor, even though its designs were approved years ago.
Image source: Getty Images.
Where will NuScale stock be five years from now? While there is a lot of excitement about providing electricity for the AI revolution in the next few years, NuScale Power's development timeline with ENTRA1 Energy is much longer. Its projects with the Tennessee Valley Authority, Poland, and Romania will not generate revenue until 2030, assuming no further delays. This is going to miss the meat of the AI data center build-out, which is why the boom is primarily being supplied by natural gas.
Right now, NuScale Power's free cash flow is highly negative, at $750 million over the last 12 months, while revenue is negligible. If this continues -- as it looks like it will -- the stock will be much lower five years from now.
It's been a tough year for NuScale Power (SMR -8.17%) investors. Since 2026 began, shares of the popular nuclear energy stock have fallen by roughly 45%.
NuScale's market cap is now down to just $3.2 billion. That looks like a bargain compared to the company's growth potential. Bank of America believes nuclear energy will be a $10 trillion opportunity in the coming decades. Small modular reactors, or SMRs -- the exact nuclear technology that NuScale specializes in -- are expected to take a big share of that opportunity.
NuScale's stock price has struggled in 2026 for several reasons. The biggest, perhaps, has been a lack of tangible catalysts. NuScale has several impressive opportunities in its project pipeline, but there hasn't been much traction in converting these deals into revenue-generating assets.
NuScale's biggest project is a 6 GW system intended for the Tennessee Valley Authority (TVA), a major utility serving the eastern U.S. The deal between NuScale and TVA was signed in September 2025. At the time, NuScale's stock price hovered around $40 per share. At least from a headline perspective, there has been little progress on the deal since, sending NuScale's stock price below $10 earlier this month.
But there's good news: A major catalyst for NuScale's TVA project should be arriving soon. This catalyst is so meaningful that it wouldn't be surprising to see NuScale shares double as the catalyst approaches.
Today's Change
(
-8.17
%) $
-0.72
Current Price
$
8.09
Here's the growth catalyst NuScale Power investors should be monitoring closely Right now, the deal between NuScale and TVA is largely non-binding. The next step would be to sign a power purchase agreement (PPA). This agreement would commit TVA to buy power from NuScale's SMR system at a predetermined price for years, or even decades, to come. In short, it guarantees that NuScale will generate revenue from the nuclear project, allowing it to begin construction.
Image source: Getty Images.
In May, NuScale's management team noted that it remains very bullish on signing a PPA agreement with TVA by the end of 2026.
"ENTRA1 [NuScale's financing partner, which will be the party that actually signs the PPA with TVA] has updated us the discussions with TVA are advancing well toward a definitive PPA," NuScale's CEO revealed on a call with investors. "We remain highly encouraged by the progress and the strategic alignment between ENTRA1, TVA, and NuScale."
NuScale's CFO was even more specific. "We're hopeful that TVA can come across the line at some point later this year," he added. "We believe that's a strong possibility."
There is no guarantee that a PPA will be signed before the end of 2026. And to be clear, NuScale has failed to meet its own guidance in the past. But it is hard to overstate how valuable a signed PPA would be for the company.
With its stock price tumbling, NuScale's access to capital is growing more limited and costly. If the company's biggest project gets a firm revenue pathway, expect shares to rebound aggressively. A PPA not only improves access to capital, but it would also be a huge vote of confidence in the viability of the reset of NuScale's project pipeline.
Key Takeaways NuScale's TVA program could deploy up to 6 gigawatts of nuclear capacity across multiple plants.Romania's six-module project offers SMR service revenue now and a larger equipment opportunity later.SMR ended first-quarter 2026 with $1 billion in liquidity, while revenues fell sharply year over year. NuScale Power Corporation (SMR - Free Report) sits at the center of rising interest in dependable, around-the-clock electricity. Its small modular reactor technology targets utility-scale power, industrial users and other customers with heavy electricity needs.
The opportunity is large, but still early. NuScale’s path depends on converting development programs into funded projects, customer commitments and executable construction plans.
NuScale’s TVA Program Could Redefine Its ScaleThe Tennessee Valley Authority and ENTRA1 Energy program is the biggest U.S. opportunity in NuScale’s pipeline. The plan covers up to 6 gigawatts of new nuclear capacity using NuScale Power Modules across multiple plants.
That scale matters because it could move NuScale from engineering and licensing work toward a broader commercial model. A finalized power-purchase agreement could lead to site-specific licensing, engineering services and a future equipment supply contract.
The program also could have effects beyond NuScale’s own revenue base. A large deployment schedule may encourage suppliers to expand capacity, support long-lead planning and make later projects easier to repeat.
Constellation Energy Corporation (CEG - Free Report) provides a useful industry reference point because investors are already focused on companies tied to reliable nuclear generation. Cameco Corporation (CCJ - Free Report) offers another point of comparison, as uranium and fuel-cycle readiness become more important to nuclear expansion.
SMR’s Romania Project Builds an International PathNuScale’s RoPower work in Romania gives the company a visible international development track. The planned plant in Doice??ti is expected to use six NuScale Power Modules at a former coal plant site.
The project is also important because it shows how NuScale can generate service revenue before reactor equipment is delivered. Earlier RoPower licensing and engineering work supported revenues in 2024 and 2025, even though the larger equipment opportunity remains tied to later milestones.
NuScale’s role is tied to reactor technology, design assistance and licensing support through Fluor’s work on the project. If financing is secured for the next phase, Romania could become a European reference point for future deployments.
Image Source: NuScale Power Corporation
NuScale’s Supply Chain Readiness Gains ImportanceNuScale is preparing for commercialization by focusing on fuel, manufacturing capacity and critical components. The company has expanded its supply chain partnership with Framatome across the United States and Europe to support fuel delivery.
Manufacturing readiness is also advancing through Doosan Enerbility, which has been producing key NuScale Power Module components. These steps matter because first-of-a-kind nuclear projects can be slowed by supplier bottlenecks and long-lead equipment needs.
NuScale ended the first quarter of 2026 with $1 billion in liquidity and capital resources. That balance-sheet position gives the company flexibility to support supplier commitments, design work and commercialization activities before larger project payments arrive.
SMR’s Nuclear Trend Still Faces Funding FrictionThe demand narrative around small modular reactors is favorable, but deployment remains the harder test. Large nuclear developments require financing, customer commitments, site-specific licensing and coordinated construction planning.
NuScale’s own results show the uneven path. First-quarter 2026 revenues fell to $565,000 from $13.4 million a year earlier, mainly because prior RoPower licensing and engineering activity did not recur.
Cash usage and dilution remain investor concerns. NuScale sold 3.2 million Class A shares through its at-the-market program in the first quarter of 2026, generating $37.9 million in gross proceeds after a larger equity raise in 2025.
NuScale’s Scores Temper the Emerging-Trend StoryNuScale’s long-term positioning in nuclear power remains notable, but the stock’s near-term profile is less favorable. The company is still working to turn development programs into recurring service revenues, equipment orders and future module deliveries. Reflecting these execution and commercialization challenges, NuScale shares are down 82.9% over the past year.
Image Source: Zacks Investment Research
SMR currently carries a Zacks Rank #4 (Sell). That rank warns that participation in a promising industry theme does not, by itself, make the stock attractive for the next one to three months.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Style Scores send a mixed message. SMR has a Momentum Score of B, but its Value Score of F, Growth Score of F and VGM Score of F point to weaker characteristics across valuation, growth and the combined style framework.
For investors, the distinction is important. NuScale may benefit from the broader push for reliable nuclear power, but present financial quality, project timing and estimate trends still argue for caution.
Key Takeaways NuScale remains milestone-driven despite an 81.9% one-year decline and lower valuation.Revenue is forecast to surge in 2027, largely on TVA-ENTRA1 progress and RoPower financing.More than $1.2 billion in liquidity and no debt help offset losses, cash burn and dilution risk. NuScale Power Corporation (SMR - Free Report) has absorbed a sharp valuation reset, with shares down 30.4% in the past three months and 82.9% over the past year. That decline has made the stock cheaper than its highs, but not necessarily inexpensive.
Image Source: Zacks Investment Research
The investment case now rests on a narrow balance. NuScale has regulatory approval, a debt-free balance sheet and visible project opportunities. It also has minimal current revenue, persistent losses and project timing that remains hard to pin down.
SMR’s Valuation Still Demands Commercial ProofSMR still trades at 26.83 times forward 12-month sales. That is well above 4.38 times for the Zacks sub-industry, 6.66 times for the sector and 4.97 times for the S&P 500.
That premium depends less on current operations than on future contract wins. First-quarter revenue was just $565,000, down from $13.4 million a year earlier, after earlier Romanian project activity did not recur.
Oklo Inc. (OKLO - Free Report) , another advanced nuclear company, gives investors a similar framework for judging long-horizon nuclear commercialization stories. For SMR, the key question is whether approved technology can become contracted revenue quickly enough to justify a still-rich sales multiple.
NuScale’s Revenue Outlook Hinges on Project TimingThe Zacks Consensus Estimate projects NuScale’s revenues to rise from $35.9 million in 2026 to $183.2 million in 2027. That forecast implies a major pickup from the current base.
Image Source: Zacks Investment Research
The increase depends heavily on the TVA-ENTRA1 program, which covers up to 6 gigawatts of nuclear capacity using NuScale modules. A power-purchase agreement could unlock site-specific licensing, engineering work and a future equipment supply contract.
Romania also matters. The RoPower project can enter its next development stage once financing is arranged. Earlier RoPower work generated service revenue in 2024 and 2025, showing how NuScale can earn before module deliveries begin.
SMR’s Balance Sheet Offsets Near-Term Cash BurnNuScale ended the first quarter of 2026 with about $1 billion in liquidity and no debt. Liquidity later increased to more than $1.2 billion by early May, giving the company time to fund design work, licensing and supplier readiness.
The cash cushion reduces immediate financing pressure, but it does not remove cash-burn risk. Research and development expenses rose to $12.8 million in the first quarter, while the operating loss widened to $57.5 million.
BWX Technologies Inc. (BWXT - Free Report) , a nuclear manufacturing and engineering company, represents a more established corner of the nuclear supply chain. That contrast highlights SMR’s challenge: investors are funding preparation before meaningful equipment revenue has arrived.
NuScale’s Catalysts Compete With Execution RiskThe clearest upside catalyst is a TVA power-purchase agreement through ENTRA1. Such a step could move the U.S. opportunity from planning toward revenue-producing development work.
Financing for RoPower’s next phase would add an international catalyst. Additional module orders, broader supplier commitments and manufacturing progress with critical components could also improve investor confidence.
The risks remain linked to sequencing. Customers need financing, regulators must approve site-specific work, suppliers must be ready and manufacturing has to scale. NuScale also raised $37.9 million through share sales in the first quarter, following a $475.2 million raise in the third quarter of 2025, keeping dilution risk in view.
SMR’s Sell Signal Clashes With Momentum StrengthThe bottom line is that SMR remains a milestone-driven stock after its steep decline. The valuation has reset, but the business still needs commercial proof through contracts, financing and revenue conversion.
SMR currently carries a Zacks Rank #4 (Sell). That rank supports caution over the next one to three months, especially with current revenues low and losses still meaningful.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Style Scores are mixed. SMR has a Momentum Score of B, which suggests relative price and estimate momentum is the one favorable style factor. Yet its Value Score of F, Growth Score of F and VGM Score of F indicate weak scores across valuation, growth and the blended framework. For investors, the risk-reward profile remains tied more to future commercial milestones than established fundamentals.
Key Takeaways SMR enters commercialization with approved reactor designs, a supply chain and about $1 billion in liquidity.The TVA-ENTRA1 plan could add up to 6 GW, but revenue hinges on a finalized power-purchase agreement.Funding delays and equity sales could defer module revenue and increase shareholder dilution. NuScale Power Corporation (SMR - Free Report) is entering a pivotal commercialization phase with regulatory approvals, an established supply chain and sizable liquidity already in place.
The next test is harder. NuScale must convert development programs into binding contracts, recurring service revenue and equipment sales before its long-term nuclear opportunity can support a larger revenue base.
NuScale’s Regulatory Lead Shapes the Bull CaseNuScale’s strongest advantage is regulatory. Its 50-megawatt and 77-megawatt reactor designs have received U.S. regulatory approval, giving potential customers an approved design path for plant applications.
The technology is based on familiar light-water reactors and commercially available low-enriched uranium fuel. Its safety case also supports an emergency planning zone largely limited to the plant site, which may improve siting flexibility for utilities, data centers and industrial users.
That positioning matters in a competitive nuclear market. BWX Technologies (BWXT - Free Report) offers investors a nuclear-components reference point, while Oklo Inc. (OKLO - Free Report) represents another advanced-reactor developer. NuScale’s appeal rests on having already cleared important U.S. design hurdles.
SMR’s TVA Path Could Transform RevenueThe proposed Tennessee Valley Authority and ENTRA1 Energy program is NuScale’s most visible U.S. commercial opportunity. The plan covers up to 6 gigawatts of capacity using NuScale modules across multiple plants.
Image Source: NuScale Power Corporation
A finalized power-purchase agreement could move the program into site-specific licensing and engineering work. Over time, it could also support an equipment supply contract, creating a bridge from limited current revenue to larger commercial activity.
NuScale reported first-quarter revenues of $565,000, down from $13.4 million a year earlier as prior RoPower licensing and engineering activity did not recur. That makes the timing of new service work important before larger module-related payments begin.
NuScale’s Liquidity Buys Time for ExecutionNuScale ended the first quarter with about $1 billion in liquidity and capital resources, including cash, short-term investments and long-term investments. It also had no debt, giving the company room to prepare for deployment without relying heavily on borrowing.
Image Source: NuScale Power Corporation
That capital cushion can support supplier commitments, design work, licensing activity and long-lead materials. These investments are necessary because nuclear projects require work well before major customer payments arrive.
Liquidity does not remove execution risk. It does, however, give NuScale more time to align suppliers, prepare manufacturing and support customers as projects move through financing and approval stages.
SMR’s Funding and Dilution Risks Stay ElevatedThe central obstacle remains project funding. NuScale depends on customers and partners securing financing before construction, equipment orders and long-term commercial agreements can move ahead.
Delays could postpone service revenue and module sales while NuScale continues spending on commercialization. Research and development expenses rose in the first quarter as the company worked to advance technology readiness and design maturity.
Shareholder dilution is another concern. NuScale sold 3.2 million Class A shares through its at-the-market program in the first quarter, generating $37.9 million in gross proceeds, after a larger equity raise in 2025.
SMR’s Signals Reflect a Mixed Near-Term SetupThe bottom line is that NuScale has a credible long-term commercialization case, but the near-term setup remains mixed. Its regulatory lead and liquidity are meaningful advantages, while revenue visibility still depends on contract conversion and project sequencing.
SMR currently carries a Zacks Rank #4 (Sell). That rank points to a cautious near-term earnings revision backdrop, even though the company’s commercial pipeline could become more important over a longer horizon.
You can see the complete list of today’s Zacks #1 Rank stocks here.
The stock’s Momentum Score of B indicates comparatively better price-related characteristics. However, the Value Score of F, Growth Score of F and VGM Score of F are less favorable, reinforcing a cautious view until NuScale shows clearer progress in turning approvals and development programs into recurring revenues and equipment sales.
If you've been tracking NuScale Power (SMR +1.32%), you witnessed a red-hot narrative crashing into a wall of reality over the last few months. Shares of the nuclear energy start-up crashed in the last quarter of 2025 and continued their downward slide into 2026, losing 29.2% value in the first half of the year, according to data provided by S&P Global Market Intelligence.
President Donald Trump aims to quadruple U.S. nuclear energy capacity to 400 gigawatts by 2050. Because building a traditional nuclear reactor takes years even as power demand has hit unprecedented levels amid the artificial intelligence (AI) data center boom, the government is also supporting small modular reactors (SMRs).
NuScale's SMR design is already approved by the U.S. Nuclear Regulatory Commission, and the company has begun manufacturing its first patented 77-megawatt carbon-free modules.
The problem? NuScale hasn't built a reactor yet. As that reality set in, investors ran for the exit. Here is how the fallout unfolded.
Image source: Getty Images.
Whu NuScale Power stock derailed In early 2026, TD Cowen analyst Marc Bianchi raised alarm bells, warning that NuScale's flagship project in Romania could be delayed until 2034.
NuScale's fourth-quarter earnings report delivered another blow: a massive $507.4 million milestone payment to ENTRA1 Energy, its exclusive commercialization partner. Under the agreement, NuScale owes ENTRA1 fees for its nuclear product developments without guaranteed revenues.
With the company's operating loss surging nearly fivefold to $690 million during the quarter, analysts slashed their price targets on NuScale stock while some disgruntled investors filed class action lawsuits, alleging misrepresentation of ENTRA1 Energy's capabilities and arrangement.
To make matters worse, NuScale's largest shareholder, Fluor, aggressively offloaded its position and exited NuScale completely by April 2026, pocketing $2.4 billion in proceeds. Watching an anchor insider walk away shattered whatever little remained of retail confidence.
Today's Change
(
1.32
%) $
0.12
Current Price
$
8.80
NuScale's first quarter offered no relief. Revenue plummeted from $13.4 million in the prior-year period to a paltry $0.5 million as one-time licensing revenue dried up, while net losses nearly tripled to $44 million.
Is NuScalePower stock a buy before Aug. 5? NuScale did finish Q1 with $890 million in cash and short-term investments and zero long-term debt. But cash reserves can only buy so much time when losses are mounting, and cash burn rates remain high.
Commercial deployment is still years away, with NuScale projecting first module delivery no earlier than 2031. Moreover, although ENTRA1 has been in the headlines for a big agreement with the Tennessee Valley Authority (TVA) to deploy up to 6 GW of nuclear power with NuScale's SMR equipment, the project still lacks a long-term power purchase agreement or a finalized timeline.
NuScale will release its second-quarter numbers on Aug. 5. Expectations are muted. Until the company can transition from regulatory approvals and partnership agreements to a firm revenue-generating model, its stock will remain speculative and volatile.
Roaring out of the gate to start the new year, shares of NuScale Power (SMR +0.23%) soared 23.4% in January. Expand the perspective, though, and the next-generation nuclear reactor stock's performance is much less thrilling. As of this writing, shares of NuScale Power have plummeted 45.5% year to date.
But savvy investors know that when the market sours on a stock, a sweet buying opportunity sometimes emerges -- a phenomenon that is now the case with NuScale Power. Here's why.
Image source: Getty Images.
For some, shares of this nuclear leader have lost their luster It wasn't so long ago that NuScale Power stock gleamed brightly in the eyes of growth investors. Two years ago, enthusiasm for artificial intelligence (AI) was booming, and the market soon learned that data centers required massive amounts of power due to the steep demands of AI computing.
Advanced nuclear reactor stocks like NuScale Power appeared to be the answer, and their stocks flourished. Shares of NuScale Power rocketed 445% in 2024.
Recently, however, investors haven't become restless, trimming -- or exiting altogether -- their positions. There's no clear catalyst for the decline of these stocks. Perhaps investors have lost patience with the companies' progress, or they've become disenchanted after learning that some communities are pushing back against the development of data centers. Or maybe it's the broad belief that an AI bubble has formed, and it's better to leave most AI-related stocks alone.
Today's Change
(
0.23
%) $
0.02
Current Price
$
8.73
Don't be deceived -- NuScale has numerous opportunities Investors would be short-sighted to assume that supporting data center infrastructure is the only opportunity for NuScale Power. In addition to water desalinization, the company recognizes hydrogen production facilities as two current applications for its small modular reactors (SMR).
Over the longer term, however, management recognizes additional use cases. In its annual report, NuScale Power states that it is developing micro-reactors for "niche end-markets" that would benefit from supplying power to remote, off-grid communities, including mining operations, universities, space, military installations, and disaster relief.
NuScale Power isn't alone in recognizing the growing market opportunity. According to the business intelligence firm Global Market Insights, the global small modular reactor market was valued at $3.6 billion in 2025 and is expected to total $5.3 billion in 2026, then rising at a 12.7% compound annual growth rate (CAGR) until 2035, when it's projected to total $15.6 billion.
Keep this in mind before buying this nuclear powerhouse With growing market opportunities and the fact that NuScale Power is the only company that has small modular reactor (SMR) designs approved by the U.S. Nuclear Regulatory Commission, it's clear why forward-looking investors should find this nuclear energy stock so alluring. It's critical, though, that investors remember this high-reward stock also carries significant risks, as there's no guarantee the company will obtain the required operating licenses or achieve profitability.
For those uninterested in taking on higher risk, a nuclear energy ETF that includes NuScale Power among its holdings may be a more appealing option.
Shares of NuScale Power (SMR +1.11%) have been on a roller coaster ride over the past three years. They have risen as high as 575% over the period, but are currently only up around 5%, thanks to an 80% drawdown from their highs. That, however, could make them worth buying for long-term investors. Here's the big reason why you might want to step aboard.
What does NuScale Power do? Right now, NuScale Power bleeds red ink, and a lot of it. That's not unexpected, given that it is a start-up introducing new nuclear power technology to the world. That technology is small modular nuclear reactors (SMRs). NuScale Power has key regulatory approvals and is working with several potential partners as it seeks its first sale. The problem is that it doesn't actually have that sale in the books, and until it does, the company's technology remains untested.
Image source: Getty Images.
SMRs could be a game changer for the nuclear power industry. They are factory-built, use the most modern safety protocols, and are small enough to be moved easily and placed relatively close to where they are needed. An easy win would be using an SMR to power an artificial intelligence data center. But that's not the only opportunity, since NuScale's SMRs can be linked together to create a utility-scale facility.
Utilities are the current focus The big reason to buy NuScale Power is that you believe SMRs will be a big market in the future. However, the company's future remains highly uncertain until it has actually sold one of its SMRs, built it, and seen it tested in a real-world environment. This is not a stock for the faint of heart.
Today's Change
(
1.11
%) $
0.09
Current Price
$
7.73
That said, NuScale has two potential opportunities. A Romanian power company has approved the construction of a nuclear power facility that will use six NuScale Power SMRs. But the financing for that project hasn't been finalized, so the deal is still in limbo. NuScale is also working with ENTRA1 Energy and the Tennessee Valley Authority on the use of SMRs in the United States. But this relationship is still in its early stages, and no SMR has been sold yet. If either one of these opportunities pans out, the story changes dramatically for the better.
NuScale Power still has a lot of work ahead Even after the first sale, NuScale Power is likely to continue to bleed red ink for a while longer, even if Wall Street rewards it with a higher stock price. That's because the company still needs to build the first reactor and prove it can operate as expected. So the first sale isn't the end of the road; it is really just the start of the trip. However, if you believe in the promise of SMRs, NuScale Power could be an attractive investment now that it has pulled back so much from its highs. Just go in recognizing the risks and the likely long-term nature of the investment you'll be making.
It has been a rough year for NuScale Power (SMR 2.91%) investors. Since 2026 began, shares of the nuclear energy developer have fallen by roughly 40%.
One Wall Street expert, however, thinks the best is still to come. George Gianarikas, a veteran analyst at Canaccord Genuity, thinks NuScale stock has 195% in upside from its current deflated price. He's not alone. Three other analysts in a list compiled by TipRanks.com also believe NuScale stock has at least 100% upside potential over the next 12 months.
Why is Gianarikas so bullish? Let's find out.
Image source: Getty Images.
Here's why analysts are so bullish on NuScale Power stock Gianarikas isn't excited about NuScale Power stock for any one reason. In his view, there are multiple factors lining up right now that should benefit NuScale's business and its stock price.
Gianarikas is particularly excited about NuScale's partnership with ENTRA1 and TVA. This partnership aims to build a 6-gigawatt small modular reactor (SMR) somewhere on the eastern U.S. coast. According to reports, Gianarikas sees this project as "a transformative opportunity that could significantly accelerate NuScale's path to commercialization and scale."
I am also excited about this project. To me, it represents NuScale's best opportunity to get one of its SMR nuclear systems into commercial operation. That's because NuScale's CEO expects to sign a power purchasing agreement by the end of 2026, formally committing the utility to buying power from NuScale's facility, perhaps for decades to come.
Gianarikas is also bullish on NuScale's Romanian SMR system. This project recently received critical approval from Romanian regulators, which caused some excitement. However, I'm not attributing much value to this opportunity. The Romanian project has faced several costly delays over the years, and by some estimates, the project won't be commercially viable until 2033 or 2034.
Today's Change
(
-2.91
%) $
-0.25
Current Price
$
8.35
Perhaps most critically, Gianarikas apparently uses a 5% terminal growth rate for his model that estimates the value of NuScale's stock. Most analysts don't forecast a company's financials indefinitely. Often, only a small handful of years are modeled in any detail. Analysts then apply a flat growth rate that extrapolates the final prediction year into perpetuity.
Because this flat growth rate extends indefinitely, even small changes to the assumption can have huge effects on the final valuation estimate. Terminal growth rates are often set between 2% and 4%, trying to mimic expected inflation or gross domestic product growth rates. A 5% terminal growth rate is generally considered aggressive.
To be sure, NuScale has a massive long-term growth runway. This is the type of business that could reasonably warrant an elevated terminal growth rate assumption. But investors should understand that Gianarikas' bullishness doesn't just stem from NuScale's cheap stock price. It's also a factor of aggressive assumptions for the company's growth trajectory.
Increasing power demands and the reliability of nuclear energy position it as a leading energy source, particularly amid the rapid expansion of artificial intelligence (AI)-focused data centers. With support from the U.S., the development of advanced nuclear reactors is advancing quickly and could kick-start a nuclear energy renaissance.
NuScale Power (SMR +1.92%) is the only company with a standard design approval from the Nuclear Regulatory Commission for its small modular reactor (SMR). However, with the stock down 84% from its 52-week high price of $57.42 per share, is it a buy? Let's dive into the company, what's weighing on it, and what's next for the nuclear energy stock.
Image source: The Motley Fool.
Hyperscalers are turning to nuclear power Investor enthusiasm for nuclear energy and uranium mining stocks was high last year as nuclear energy returned to favor. At COP28, several countries pledged to triple nuclear energy capacity by 2050.
In addition, nuclear energy is becoming a preferred solution for rapidly expanding AI data centers that require reliable, carbon-free baseload power. In recent years, Microsoft, Meta Platforms, and Alphabet have all inked deals to use existing nuclear power along with nuclear power from next-generation reactors.
NuScale has a first-mover advantage, but there's a catch NuScale Power is uniquely positioned in the advanced reactor space, as it is the only company with a standard design approved by the U.S. Nuclear Regulatory Commission (NRC). It has one approval for its 50-megawatt-electric (MWe) SMR and another for its upsized 77 MWe SMR module. The standard design approval gave NuScale a first-mover advantage, which could put it in a better position to capitalize on commercial orders today.
That said, regulatory changes over the past year have reduced NuScale's standard design approval as a competitive advantage. That's because the Department of Energy launched the Reactor Pilot Program, which leverages its authority to reduce red tape and fast-track the testing and licensing of these new reactor technologies.
Under Executive Order 14300, the NRC must significantly compress its traditional regulatory timelines, which could take several years, down to just 18 months. With the accelerated approval process, competitors are no longer viewed as years behind NuScale Power. Instead, advanced reactors are getting streamlined approvals, limiting NuScale's competitive advantage.
Today's Change
(
1.92
%) $
0.16
Current Price
$
8.51
What's next for NuScale Power? NuScale has one project underway in Romania, which received a crucial Final Investment Decision earlier this year. The project aims to deploy six of NuScale's 77 MWe modules by 2033. However, NuScale will build one module, so stakeholders can evaluate the results before proceeding with the remaining five units.
In addition, NuScale is working alongside ENTRA1 Energy, which is helping NuScale find customers for its SMR reactors. One potential project is with the Tennessee Valley Authority for up to 6 gigawatts of nuclear capacity. NuScale has not yet signed a firm commitment on this project, but hopes to finalize an agreement by the end of this year.
For investors intrigued by the future of SMRs and optimistic about a deal with the TVA, NuScale's cheaper stock price, down 85% from its peak, makes it more appealing today. That said, it remains a high-risk stock amid accelerating regulatory approvals for competitors and a lack of firm commitments beyond its Romania power plant project.
NuScale Power (SMR +0.11%) went public in 2022. Shares of the nuclear energy stock struggled out of the gate. From August 2022 through the end of 2023, NuScale's share price collapsed by more than 80%.
Then, something incredible happened: NuScale shares went on an incredible bull run. From the start of 2024 to the summer of 2025, NuScale stock soared by more than 1,800%!
What caused NuScale's resurgence? One catalyst: the rise of AI.
The artificial intelligence industry needs more energy to power its energy-intensive data centers. And NuScale's small modular reactor (SMR) technology could be the solution.
After its astronomical rise, however, investor enthusiasm began to wane. Since last summer, NuScale's stock price has once again slumped by more than 80%.
Is this another clear buying opportunity? To determine that, we must understand what the next few years will look like for the company.
Today's Change
(
0.11
%) $
0.01
Current Price
$
9.04
What will happen to NuScale Power now? NuScale's SMR technology is the real deal. The company was the first to receive approval from the Nuclear Energy Commission for its SMR designs in 2020. In 2025, regulators approved another upscaled design, prompting the company to announce itself as "the most near-term American SMR power solution."
SMRs are gaining real steam as a potential energy solution for the AI industry's rapidly rising energy needs. Bank of America analysts predict that nuclear energy will be a $10 trillion opportunity over the next couple of decades, with SMRs playing a key role.
"[N]ew advancements in technology may now make the tipping point in sight for small modular reactors (SMRs) to reshape nuclear energy supply chains over the next decade," the bank concludes.
Image source: Getty Images
NuScale has several projects in its pipeline. But these projects have suffered several delays, and even outright cancellations. The company's SMR development in Romania, for example, has seen its completion date pushed back from 2030 to 2034.
Repeated struggles with advancing its project pipeline make NuScale a difficult business to forecast over the next few years. It is this uncertainty that is likely plaguing the current stock price. Keep in mind that only a handful of SMR facilities currently operate worldwide. So what NuScale is attempting to do -- that is, scale production of a relatively novel energy source -- is far from guaranteed despite rosy predictions for the SMR industry overall.
I'll be mostly watching NuScale's project with the Tennessee Valley Authority: a 6GW SMR project located in the eastern United States. I don't expect that project to be built in the next three years, but we could receive news of a power purchasing agreement as early as this December, committing the utility to buying power from NuScale's facility for decades to come.
In short, don't expect NuScale to have any operational facilities by the end of this decade. The stock price, therefore, will swing based on investor confidence in its project pipeline. Swings in the market's assessment of NuScale's risk profile, therefore, should result in heavy volatility for the stock -- both up and down.
On June 30, 2026, NuScale Power Corporation (SMR +0.11%) Chief Financial Officer Robert Ramsey Hamady reported the sale of 20,000 Class A Common shares — immediately following option exercise — through a Rule 10b5-1 plan, as detailed in this SEC Form 4 filing.
Transaction summaryMetricValueShares traded (direct)20,000Transaction value$202,800Post-transaction shares (direct)97,192Post-transaction value (direct ownership)~$986,000Transaction and post-transaction values based on SEC Form 4 weighted average sell price of $10.14 on July 1, 2026.
Key questionsWhat distinguishes this transaction from standard open-market sales?
This sale was contingent on the exercise of 20,000 options, with all shares immediately sold as Class A Common Stock — demonstrating the transaction was not a discretionary open-market sale but a liquidity event tied to vesting and exercise mechanics.How does the transaction affect Hamady's direct and overall economic exposure to NuScale?
While direct Class A share ownership declined by 17.07%, Hamady maintains a material economic stake through other equity instruments, which may be exercised for additional equity exposure in the future.What is the context of this transaction within Hamady's recent trading cadence?
Since March 2025, Hamady has reduced his direct Class A holdings by 68.43%, with smaller trade sizes in 2026 reflecting diminished remaining share capacity rather than a discretionary moderation of sales.Was this transaction discretionary or pre-scheduled?
The sale was executed under a Rule 10b5-1 trading plan, indicating it was a pre-scheduled event rather than a response to contemporaneous market factors.Company overviewMetricValueEmployees330Revenue (TTM)$18.67 millionNet income (TTM)-$385.80 million1-year price change-71.90%* 1-year price change calculated as of July 1, 2026.
Company snapshotNuScale Power Corporation develops and commercializes modular light water reactor nuclear power facilities, including the NuScale Power Module and scalable VOYGR power plant configurations.The company generates revenue primarily through the design, sale, and licensing of its nuclear power modules and related engineering services for energy, heating, desalination, and industrial applications.NuScale designs its modular nuclear power plants to serve utilities and industrial operators seeking reliable, carbon-free energy for applications such as electricity generation, heating, desalination, and industrial processes.NuScale Power Corporation operates at the forefront of advanced nuclear energy technology, offering scalable reactor solutions designed for diverse energy needs. The company's strategy centers on providing flexible, low-carbon power generation options through its proprietary modular reactor systems.
NuScale's competitive advantage lies in its ability to deliver customizable nuclear solutions that address both grid-scale and distributed energy requirements.
What this transaction means for investorsThe June 30 sale of NuScale Power stock by CFO Robert Hamady came at a time when shares were beaten down. The stock eventually hit a 52-week low of $8.55 on July 8, just days after Hamady’s disposition.
However, his sale is not a red flag for investors. The transaction was automatically executed as part of the CFO’s Rule 10b5-1 trading plan, which he adopted in March of 2026. Such plans are often implemented by insiders to avoid accusations of making trades based on non-public information.
In addition, Hamady retained over 97,000 directly-held shares post-transaction, as well as 165,625 stock options. This combination indicates he maintains a significant equity stake in the company.
NuScale’s stock fell due to disappointing business performance in the first quarter. The company reported revenue of just $565,000. This is an enormous plunge from the $13.4 million made in Q1 of 2025.
The drop in income was due to the completion of some of its projects. Despite the revenue decline, NuScale management insists the opportunity for the company’s nuclear energy solutions is large. Given the expansion of data centers to support artificial intelligence, and the resulting need for power, NuScale has a potentially large market for its offerings.
Less than a year ago, NuScale Power (SMR +0.11%) was the poster child of the artificial intelligence (AI) energy craze. The nuclear energy stock catapulted to an all-time high of $57.42 on Oct. 16, 2025.
The rally, however, fizzled out even faster than it built up, with NuScale shares slumping 61% in just the last quarter of 2025 and failing to recover since. The stock has now fallen 75% in one year and is trading below $10 as of this writing.
Make no mistake: The AI power narrative isn't hype. AI data centers consume astronomical amounts of power, putting immense pressure on existing grids. This has forced governments and corporations to seek reliable, low-carbon energy alternatives to meet their growing power needs without abandoning their carbon-emission goals.
Yet NuScale became a victim of its own circumstances. A perfect storm of weak operational numbers, class action lawsuits, and its largest shareholder, Fluor, cashing out after the stock's rally sent the stock crashing.
That said, what NuScale is building holds solid potential to fill the global energy gap. Does that make the nuclear energy stock a bargain buy under $10, or is it still a value trap?
Image source: Getty Images.
What exactly does NuScale Power do? Let's first understand what NuScale's business is.
Founded in 2007, NuScale is developing small modular reactors (SMRs). They are designed to be simpler, safer, more scalable, and more cost-effective than traditional nuclear reactors. SMRs are also largely factory-built, which means shorter construction and installation times.
Its core patent is the Nuclear Power Module (NPM). Each individual module is a self-contained reactor capable of generating 77 megawatts electric of carbon-free electricity. Several NPMs can be grouped together to build a power plant that can then be installed virtually anywhere that requires round-the-clock, reliable energy, such as data centers.
NuScale's SMR design is already approved by the U.S. Nuclear Regulatory Commission, and the company has advanced from the research and development stage and has started production of the first modules.
So why is the seemingly promising nuclear energy crashing? There are three problems here.
Today's Change
(
0.11
%) $
0.01
Current Price
$
9.04
Where's the customer? The core thesis of buying NuScale is that tech giants and utilities will buy its modules and reactors and lock in several years of contracts. The company, however, hasn't yet entered into any binding contract with any customer to deliver NPMs.
Payment milestones, but no revenue NuScale has signed ENTRA1 as its exclusive global partner to develop and commercialize power plants using NPMs, but ENTRA1 hasn't yet signed any binding power purchase agreements. Moreover, NuScale is bound to pay ENTRA1 milestone fees for each NPM or NuScale product that could be used in a power plant. There's no revenue guarantee here, and this bizarre arrangement has even prompted several investor class action lawsuits.
Nothing concrete before 2030 Even with all the design and regulatory approvals, NuScale doesn't expect to deliver its first NPMs before 2031. That's if there aren't any delays or complications in design, development, and production.
I'd steer clear of NuScale Power stock, even at under $10 per share, until the company can prove its technology is commercially viable.
SMR investors continue to grapple with limited current revenues, operating losses and uncertainty around when commercial reactor sales will finally materialize.
NuScale Power (SMR 2.40%) is offering the world a technology that could radically change how energy is generated. Yes, I'm referring to small modular reactors (SMRs), which condense all the benefits of nuclear power -- carbon-free electricity, round-the-clock reliability -- into factory-built reactors that are smaller, easier to deploy, and potentially less expensive than traditional nuclear power plants.
If NuScale can deploy reactors at scale, this stock could make early investors happy with their returns. Indeed, now would be the time to buy NuScale if you're bullish on its future, as the stock is trading near all-time lows.
But before getting too bullish, let's take a closer look at where NuScale is, where it could be going, and if, indeed, it has what it takes to set you up for life.
Today's Change
(
-2.40
%) $
-0.22
Current Price
$
8.75
A first mover with a complicated commercial partnership and faltering revenue NuScale is in an enviable position: It is the only U.S. nuclear company with a small nuclear reactor (SMR) design approved by the NRC. Considering that SMR technology could unlock a trillion-dollar market opportunity, that advantage is not one to take lightly.
SMR technology, however, hasn't been proven to be commercially viable yet, not by NuScale, or by anyone else. In fact, the biggest factor driving NuScale's stock down right now is radio silence: Utilities companies aren't knocking on NuScale's door for SMRs, and the few who are interested haven't signed firm contracts yet.
Image source: Getty Images.
This lack of SMR sales has been showing up in its finances. Revenue has dropped substantially from roughly $8 million in the second and third quarters of 2025, respectively, to about $1.8 million in the fourth quarter of that year and $0.6 million in the first quarter of 2026.
Data by YCharts
To help it sell reactors, NuScale partnered with ENTRA1 Energy, a developer that finances and develops projects powered by NuScale reactors. The partnership has already proved fruitful; both energy companies are currently pursuing a big deal with Tennessee Valley Authority (TVA), which could see 72 NuScale reactors providing 6 gigawatts (GWs) of power to Tennessee and portions of six other states.
But here's where things get interesting. The deal is currently non-binding; TVA isn't legally locked into purchasing power, and it could back out without any repercussions. The same can't be said for NuScale: The non-binding agreement triggered "Milestone Contribution 1," which resulted in a roughly $507 million obligation to ENTRA1.
It doesn't end there. If TVA signs a binding customer agreement, NuScale will then have to pay ENTRA1 roughly $16 million for every reactor that's included in the deal. A 72-reactor deployment, then, could represent an expense of about $1.2 billion to ENTRA1, which would be more than the liquidity NuScale had at the end of March.
Put another way: Winning big contracts could actually require NuScale to spend a tremendous amount of cash before it records substantial revenue from reactors.
Based on the analysis above, I would check any overly bullish sentiments on NuScale stock. It's unclear how much revenue this company could generate in the future, or whether it will be enough to justify a lofty market cap. Aggressive investors might want to buy a few shares of this nuclear energy stock, but the more risk-averse will likely want to look elsewhere for their next investment.
NuScale Power stock has plummeted since hitting a high in mid-October 2025. If the stock grew 100-fold, a $10,000 investment at today's price could become $1 million.
Key Takeaways NuScale named ENTRA1 its exclusive global commercialization partner for SMR technology.ENTRA1 will develop, finance, own and operate plants using NuScale's approved SMR technology.ENTRA1 and TVA are working on a proposal for up to 6 GW of new nuclear capacity. NuScale Power Corporation’s (SMR - Free Report) partnership with ENTRA1 Energy has become an important part of its strategy to bring small modular reactors (SMRs) to market. Instead of only supplying its reactor technology, NuScale has named ENTRA1 as its exclusive global commercialization partner. Under this arrangement, NuScale provides its U.S. Nuclear Regulatory Commission-approved SMR technology, while ENTRA1 is responsible for developing, financing, owning and operating the power plants.
This partnership helps address one of the biggest challenges facing advanced nuclear projects: turning proven technology into commercial power plants that can be built and financed. It also simplifies the process for customers by offering a single, integrated solution instead of requiring them to work with multiple companies for development, financing and operations.
ENTRA1's role goes beyond building nuclear power plants. The company aims to provide complete energy solutions by offering different ownership and financing options, such as long-term power purchase agreements or transferring plant ownership to customers. ENTRA1 also plans to use NuScale's SMR technology for a wide range of applications, including electricity generation, hydrogen production, water desalination and industrial heating. This broad approach expands the potential market for NuScale's reactors and helps meet the growing demand for reliable, around-the-clock, carbon-free energy across different industries.
The partnership is already moving from planning to execution. ENTRA1 is continuing to work with the Tennessee Valley Authority (TVA) on a proposal to develop up to 6 gigawatts of new nuclear generating capacity using NuScale Power Modules. If completed, it could become one of the largest nuclear power projects in U.S. history. ENTRA1 is also working toward a long-term power purchase agreement with TVA and expects to benefit from funding opportunities under the U.S.-Japan Framework Agreement. As these projects move forward, ENTRA1 could play a key role in bringing NuScale's SMR technology into commercial use on a much larger scale.
NuScale is not the only company working to commercialize advanced nuclear technology. While its strategy combines approved SMR technology with commercialization through ENTRA1, other nuclear developers are pursuing different reactor designs to meet the growing demand for reliable, carbon-free power.
How Other Advanced Nuclear Companies are Approaching the Market
Oklo Inc. (OKLO - Free Report) is developing liquid-metal-cooled fast reactors that use metal fuel, a technology with decades of operating history. OKLO says its reactors rely on inherent safety features that allow them to respond naturally to changing conditions. OKLO is also building capabilities in fuel recycling, allowing used nuclear fuel to become a future energy source. Beyond electricity generation, OKLO is expanding into advanced fuel services and radioisotope production, creating a broader long-term business model.
NANO Nuclear Energy (NNE - Free Report) is developing compact microreactors designed for applications where large nuclear plants are impractical. NANO Nuclear's portfolio includes the KRONOS Micro Modular Reactor, the ZEUS battery reactor and the portable LOKI microreactor. NANO Nuclear is targeting data centers, industrial facilities, military sites, remote communities and microgrids. By focusing on smaller, modular reactor designs, NANO Nuclear aims to provide reliable, carbon-free power that can be deployed more quickly and flexibly than traditional nuclear plants.
The Zacks Rundown on NuScale Power
Shares of SMR have lost more than 50% over the past six months.
Image Source: Zacks Investment Research
NuScale Power currently has an average brokerage recommendation of 2.56 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 18 brokerage firms.
Image Source: Zacks Investment Research
See how the Zacks Consensus Estimate for SMR’s earnings has been revised over the past 90 days.
Image Source: Zacks Investment Research
The company currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Electricity demand is rising, and nuclear power is increasingly seen as a solution to the growing need for baseload power. The numbers are shocking, with technologies such as artificial intelligence (AI) and electric vehicles expected to drive a six-fold increase in electricity demand. NuScale Power (SMR 1.28%) has a novel nuclear power technology that could be very attractive, but the company still needs to nail down its first sale.
NuScale Power is a money-losing start-up, but the opportunity here could be huge. Small modular nuclear reactors (SMRs) are factory-built, small enough to be transported to where they are needed, and can be placed in relatively close proximity to population centers, given modern safety standards. This makes them a perfect fit for AI data centers. However, the company's SMRs are also designed to be linked together, enabling them to provide a solution for utilities looking to develop new nuclear power plants.
Image source: Getty Images.
Buying NuScale Power now will get you in early in the development process. The 30% drop in the share price in 2026 is worth noting, since it highlights the risk you take when buying a company that's still quite young. But aggressive investors willing to buy for the long term will also be maximizing their long-term growth opportunity by stepping in before the company is sustainably profitable.
Two reasons to wait before buying NuScale Power The easy reason to suggest waiting to buy NuScale Power is, of course, that it isn't yet sustainably profitable. But there are actually two other, more important reasons.
The first reason to wait is that NuScale Power hasn't yet signed a definitive agreement to sell one of its nuclear reactors. It has irons in the fire that are very promising. For example, it is working with a Romanian power company that wants to buy six NuScale reactors, but the money for the purchase hasn't been lined up yet. That one is still up in the air. NuScale is also working with the Tennessee Valley Authority and ENTRA1 Energy, but that deal is still in the early stages, as well. Until there's a confirmed sale, NuScale Power can't even take on the second big reason to wait.
Today's Change
(
-1.28
%) $
-0.13
Current Price
$
9.63
The second reason to hold off on buying NuScale is that it hasn't proven it can profitably build an SMR. Or that its SMRs will operate reliably once built. So even after the first signed-on-the-dotted-line sale, there's still a lot more that has to be done here before the company's business model can be considered sustainable.
Only aggressive growth investors should be looking at NuScale Power There's no question that NuScale Power has an exciting nuclear power technology. If that technology gains traction, the stock could be a huge winner. However, there's no firm SMR sale yet, and there's no way to know if the SMRs it builds will be reliable until they are actually being used. Most investors should probably keep this one on the watch list, with the risk of investing here probably only appropriate for the most aggressive of aggressive growth investors.
After a steep correction, NuScale Power (SMR 3.99%) -- once one of the most promising nuclear energy stocks on the market -- has seen its valuation fall below $4 billion. Last October, the company's valuation was approaching $20 billion.
Even if NuScale Power stock simply reaches its former highs, there would be more than 400% in potential upside. Looking long-term, however, there's reason to believe there could be 1,000% or more in growth potential, especially at today's discounted price.
This story isn't without risk. But there's one clear path for NuScale Power stock to generate truly impressive returns.
Today's Change
(
-3.99
%) $
-0.41
Current Price
$
9.74
Here's how NuScale Power stock can enrich your portfolio NuScale isn't just any nuclear power developer. Its initial designs -- which have already been approved by the Nuclear Regulatory Commission -- are for small modular reactors, or SMRs. Only two SMRs are currently in operation globally, but the idea has been around for decades.
SMRs are getting renewed attention given rising energy demand throughout the world, a trend deeply influenced by the rise of AI and its energy-intensive data centers. For the AI industry to continue to grow, more data centers will need to be built. Over the next few years alone, $7 trillion is expected to be spent scaling data center infrastructure.
If this build-out occurs as anticipated, the current energy grid will be nowhere near suitable. In short, more energy generation capacity will be needed. And SMRs are, at least on paper, faster, cheaper, and easier to build than conventionally sized nuclear power plants.
Image source: Getty Images.
Hype for SMRs was high late last year, sending the stock prices of NuScale Power and SMR competitor Oklo (OKLO 0.04%) soaring. That hype has died down recently, however, due to multiple factors. The chief factor may be the market's realization that the SMR build-out may happen later and more slowly than initially anticipated. NuScale itself has faced several project delays, and neither NuScale nor Oklo actually has a commercial SMR system up and running.
NuScale investors, however, may get serious relief by the end of 2026. The company's biggest project -- a 6-gigawatt SMR system for a major northeastern U.S. utility operator -- is expected to have a power purchasing agreement (PPA) signed by the end of the year. If that happens, the utility will be contractually obligated to buy power from the facility at a certain rate for years, if not decades to come.
Uncertainty surrounding NuScale's growth runway would, therefore, abate considerably. This would help raise the stock price and significantly improve NuScale's ability to raise more capital and execute on more projects. Bank of America values the nuclear revolution at $10 trillion globally over the long term. Even with plenty of execution and financing risk, it's not hard to see NuScale taking a meaningful slice of that pie and dramatically growing its current $3.5 billion market cap.
Bank of America is an advertising partner of Motley Fool Money. Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
NuScale Power's (SMR 3.84%) stock hit a record high of $53.43 on Oct. 15, 2025. But today, the nuclear energy company's stock trades at less than $10. Let's see why that pullback might be a good buying opportunity for long-term investors.
Image source: Getty Images.
Why did NuScale's stock crash? NuScale develops small modular reactors (SMRs), which are much smaller than conventional nuclear reactors. These prefabricated SMRs reduce the time, labor, and costs for building a nuclear power plant. It's working with Fluor (FLR 1.79%) to deploy six of its 77 MWe reactors in a 462 MWe plant for Romania's RoPower. In the U.S., it recently agreed to deploy up to six gigawatts of its SMR capacity across seven states for the Tennessee Valley Authority (TVA).
Today's Change
(
-3.84
%) $
-0.39
Current Price
$
9.76
However, NuScale doesn't expect to deploy any of those reactors until the early 2030s. Until that happens, it will still generate most of its revenue from its front-end engineering and design (FEED) studies, licensing fees, and consulting work.
NuScale's setbacks and delays were disappointing, but analysts still expect its revenue to rise from $31 million in 2025 to $311 million in 2028 before it deploys its first reactors. It will stay unprofitable, and its stock already trades at 11 times its 2028 sales, but its revenue and profit could skyrocket in the 2030s once its commercial reactors come online. While NuScale's stock is still speculative, it might be smart to buy it today before that explosive growth spurt occurs.
Leo Sun has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
Advanced nuclear company NuScale Power (SMR 3.84%) is developing small modular reactors (SMRs), which are manufactured in a factory and deployed in multiples.
At its core, NuScale is trying to make nuclear power more practical. Rather than constructing gigawatt-sized nuclear power plants, which can take a decade or more to build, NuScale hopes to sell compact reactors on a shorter timeline, within a reasonable budget. Its reactors can be especially attractive to utility companies that want to replace coal plants with clean energy to meet climate goals.
NuScale stock has slid quite substantially over the last year. Since last July, this nuclear energy stock has lost about 75% of its value. It currently trades at about $10 a share, with a 52-week high of $57.
If the decline has caught your interest, here's the case for and against this SMR technology leader.
Today's Change
(
-3.84
%) $
-0.39
Current Price
$
9.76
NuScale's strength is its first-mover advantage. It remains the only nuclear energy company in the U.S. with an NRC-certified SMR design. It has a huge head start on its competitors like Oklo, many of which are still undergoing NRC scrutiny for their small and micro reactors' hopes and dreams.
The company achieved NRC approval at the right moment. Unprecedented energy demands from artificial intelligence (AI) data centers have forced many utilities to consider alternative ways to provide continuous baseload power. NuScale's recent partnership with ENTRA1 -- a private power production company -- aimed at helping NuScale connect with tech clients in this very lucrative line of business.
Image source: Getty Images.
Finally, there's governmental support in the U.S. for nuclear energy. The Trump administration has made expanding nuclear power a priority -- aiming to quadruple nuclear capacity by 2050 -- with SMRs expected to play a meaningful role in that expansion. Transportation Secretary Sean P. Duffy even recently launched an initiative to develop SMRs for commercial shipping, a first step toward bringing nuclear into the maritime industry.
Support for NuScale is strong, as are the tailwinds. So why has the stock slumped?
The case against NuScale Most investors familiar with NuScale are probably jaded by the reasons given. They are, indeed, the same reasons typically given in support of NuScale, which is another way of saying that NuScale's situation hasn't changed that much.
The biggest issue with NuScale stock is the lack of a first firm sale. Despite being the first company to get an SMR design certified by the NRC, it hasn't built a reactor for commercial use. Demand for its SMRs, in fact, hasn't been overwhelmingly strong, with only a handful of projects advancing past the talking phase.
Without proof of concept, it's hard to gauge NuScale's future economics. Nuclear power plants are expensive and take time to build; if NuScale's SMRs aren't significantly more advantageous than traditional nuclear in either respect, meaningfully growing revenue will be extremely challenging for this company.
At this point, NuScale needs time to prove that its concept works; nuclear energy isn't the kind of technology you want to rush. The stock is volatile -- with a beta of 2.22, it's twice as volatile as the broader market -- and will likely face ongoing turbulence as it works out its business.
Risk-averse investors will likely want to sit this one out, though those with a greater appetite for risk should at least keep NuScale on the watch list.
In the summer of 2025, nuclear energy stocks were having a moment. Indeed, if you had bought shares in the VanEck Uranium and Nuclear ETF on June 30 of last year and stayed invested until at least Oct. 15, your investment would have grown roughly 47% -- an astonishing return for an exchange-traded fund (ETF).
Mention of Oct. 15 in the above example isn't arbitrary. It was, in retrospect, the peak of enthusiasm for nuclear energy stocks. Indeed, if you had bought shares of the VanEck Uranium and Nuclear ETF on Oct. 15, 2025, and stayed invested until today, your investment would have lost about 30% of its original value by now.
Long-term NuScale Power (SMR 3.99%) investors have similarly witnessed a dismal drop in the value of this developer of small modular reactors (SMRs), to the tune of a 75% decline. The reason for this sell-off isn't complicated; it was always there for investors to glean. Here's what's going on with NuScale.
Today's Change
(
-3.99
%) $
-0.41
Current Price
$
9.74
NuScale stock raced ahead of its business The most obvious reason for NuScale's fall is that the company became one of Wall Street's favorite AI power stocks even before NuScale showed the market a commercial reactor. The company has, to put it plainly, never deployed an SMR for commercial use. Even though NuScale has beaten every other small reactor developer to the punch by certifying an SMR design first, that design hasn't materialized in the real world.
This fact has never been hidden from investors, but it might have been subdued against the background of artificial intelligence (AI) and data center construction. NuScale's strongest tailwind last year -- which is still blowing, just with less force -- was its potential to meet tech companies' and hyperscalers' demands for power, which are expected to surpass the traditional grid's capacities. However, that demand hasn't manifested in strong SMR sales for NuScale, which could be a few years from deploying even one.
Image source: Getty Images.
On top of that, enthusiasm for AI has also abated. Fears of an AI bubble -- which originally caused the mid-October peak in 2025 to crumble for nuclear energy stocks -- have made investors more selective about the stocks they pick for this trend. I wouldn't say nuclear energy, in general, is off the table. However, given the longer timelines for nuclear reactor projects, and the billions needed to build them, tech companies are going with other solutions -- like fuel cells from Bloom Energy -- that make demand for nuclear slightly less urgent.
It's "less urgent" for now, at least. If the world fills up with data centers, as Sam Altman once predicted, then nuclear could still unleash the $10 trillion market opportunity that Bank of America estimated it would hold.
Should you buy the dip on NuScale Power? NuScale has two projects in the works: one in Romania, and the other for the Tennessee Valley Authority (TVA). Right now, the "works" are pre-development -- mostly planning -- and they likely won't manifest anything concrete until the 2030s, assuming they proceed on schedule.
As such, investors should treat NuScale as an early-stage developer with growth potential over decades, not years. I would only recommend this stock for those who have an appetite for risk, as it's not clear where this stock will be a decade from now.
NEW YORK, July 02, 2026 (GLOBE NEWSWIRE) -- Kuehn Law, PLLC, a shareholder litigation law firm, is investigating whether certain officers and directors of NuScale Power Corporation (NYSE: SMR) breached their fiduciary duties to shareholders.
According to a federal securities lawsuit, NuScale Power misrepresented the experience and capabilities of ENTRA1, with whom it entered into a global commercialization partnership. According to the lawsuit , ENTRA1 had never built, financed, or operated a significant project when NuScale entrusted its SMR commercialization strategy to this untested partner, and in doing so, the Company created material undisclosed risks of failure, delays, regulatory challenges, and other setbacks to its NPM rollout plans.
If you currently own SMR and purchased prior to May 13, 2025 please contact Sophia Anne Silayan by email at [email protected] or call (833) 672-0814. Kuehn Law pays all case costs and does not charge its investor clients. Shareholders should contact the firm immediately as there may be limited time to enforce your rights.
Why Your Participation Matters:
As a shareholder your voice matters, and by getting involved, you contribute to the integrity and fairness of the financial markets. Your investment. Your voice. Your future.™
NuScale Power (SMR 2.24%) -- one of the market's most popular nuclear energy stocks -- is expected to report its second-quarter earnings sometime in early August. I don't expect any major announcements. But I do expect an update on a critical growth catalyst that could revive the company's struggling stock price.
Today's Change
(
-2.24
%) $
-0.23
Current Price
$
10.03
NuScale is seeking a power purchase agreement this year NuScale has an exciting business model, one that is benefiting directly from some powerful growth tailwinds. Global electricity demand is rising due to the rapid growth of AI technologies, which rely on energy-intensive data centers to operate. At least on paper, nuclear power is a great way to meet this growing demand with a clean energy source that can generate plenty of reliable baseload power.
There's just one problem: Conventionally sized nuclear power plants can take a decade or longer to build. That's why NuScale is focused on small modular reactors, or SMRs.
"When compared to traditional, large-scale [nuclear power plants], SMRs require less land, shorter construction periods, and have enhanced safety features," observes a report from Bank of America. Only two SMRs currently operate worldwide. But more than 80 are currently in some sort of development -- a jump fueled by the ongoing AI data center build-out.
Image source: Getty Images.
NuScale has yet to get an SMR system online. That's understandable given the industry as a whole remains relatively immature. While faster to build than conventional nuclear power plants, SMR systems will still likely take two to five years to build.
NuScale, however, may soon make the biggest leap yet in its journey to build an actual SMR. In September, the company announced a landmark deal to build a 6 gigawatt SMR system for the Tennessee Valley Authority, a federally owned utility corporation. At the time, NuScale's share price hovered around $34. Today, NuScale's stock price is closer to $10, largely because we have yet to see any real traction in the deal since it was signed.
This lack of traction, however, should change soon. In May, NuScale CEO John Hopkins announced that he expects a power purchase agreement (PPA) by the end of 2026. I expect Hopkins to give an update on this prediction on the next quarterly earnings call in August. If there's positive news, we could finally see NuScale stock begin to recover. After all, the resolution of a PPA agreement locks the Tennessee Valley Authority into buying power from NuScale's SMR system over the long haul, vastly improving the odds that construction will begin in 2027.
It's not often that investors have the opportunity to think about where a stock will be one century from now. But in the case of NuScale Power (SMR 1.44%), it's a worthwhile exercise.
You don't have to hold onto shares that long to benefit from this type of thinking. That's because NuScale -- a nuclear energy stock valued at just $3.9 billion -- isn't benefiting from growth tailwinds that will last for a few years, let alone a few decades. NuScale's biggest growth catalyst could easily last another 100 years.
Here's how to think about NuScale as an ultra-long-term stock holding.
Image source: Getty Images.
NuScale Power has a tremendous opportunity this century Nuclear energy is experiencing a sudden renaissance. "[N]uclear energy has, in many ways, been recently 'rediscovered' amid surging electricity demand," concludes a recent research report from Bank of America.
The rapid global adoption of artificial intelligence (AI) has spurred the new construction of data centers. Data centers are energy-intensive, and the current grid isn't sized for continued AI growth. Thus, new forms of clean, reliable energy will be needed. Nuclear looks like a promising fit, so much so that Bank of America values the long-term opportunity at $10 trillion worldwide.
The $10 trillion nuclear opportunity won't play out over just a few years. It will be decades or even more. Bank of America, for example, sees nuclear adoption growing every year through at least 2050 -- the last year in its forecast. While forecasts through 2100 and beyond are scarce, experts are nearly unified in their belief that AI will continue to be rapidly integrated into nearly every facet of society. The adoption curve and long-term growth potential of AI should dwarf the previous innovation it was built on: the internet.
Today's Change
(
-1.44
%) $
-0.14
Current Price
$
9.93
Conditional on regulatory shifts and societal opinion, nuclear will play a major role in powering this long-term AI revolution. The only question left is whether NuScale itself will benefit. NuScale is specifically focused on small modular reactors, or SMRs. At least in theory, they can be faster and cheaper to build than conventionally sized nuclear power plants. They can also be expanded with additional nuclear modules down the line, allowing these systems to grow alongside the AI industry.
SMRs are intriguing. But as of now, only two SMR systems are operational globally. Many more, however, are currently in some form of development. That has drawn the interest of many competitors, including both pure-play SMR developers and diversified industrial companies with deeper budgets.
The next 100 years are fairly clear for nuclear. For NuScale, it will come down to real-world adoption of SMRs and its ability to execute on its project pipeline in ways that advance its attractiveness to future customers.
Bank of America is an advertising partner of Motley Fool Money. Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
NuScale Power (SMR 0.34%), a developer of small modular reactors (SMRs) for nuclear power plants, went public through a merger with a special purpose acquisition company (SPAC) on May 3, 2022. Its stock opened at $10.70 per share on the first day, reached a record high of $53.43 on Oct. 15, 2025, but trades at just over $10 as of this writing. Let's see why NuScale's stock plunged, and if it could stabilize and recover in the second half of the year.
Image source: Getty Images.
Why did investors ignore NuScale? NuScale's SMRs can be installed in vessels that are only 65 feet tall and nine feet wide, making them much smaller than conventional nuclear reactors. They're prefabricated and assembled on-site to reduce the time, labor, and costs required to build a nuclear power plant.
NuScale's newest SMR only generates 77 MWe on its own, while conventional nuclear power plants usually generate over 1,000 MWe. However, NuScale's SMRs can be chained together to build smaller plants in areas that aren't well-suited for larger plants.
It's currently working with Fluor (FLR 0.51%) to deploy six of its 77 MWe reactors to construct a 462 MWe plant for Romania's RoPower. It also recently agreed to deploy up to six gigawatts of its SMR capacity across seven states for the Tennessee Valley Authority (TVA).
Today's Change
(
-0.34
%) $
-0.04
Current Price
$
10.18
Those plans sound promising, but NuScale doesn't expect any of its reactors in Romania and the U.S. to come online until the early 2030s. It repeatedly postponed its first deployments as inflation drove up its costs, challenging the bullish view that SMRs would be a cheaper, faster alternative to conventional reactors for the booming AI market. It also faces intense competition from companies like Oklo (OKLO 3.90%), which are developing even smaller microreactors.
NuScale's constant delays sparked class action lawsuits, and Fluor -- which owned over half of its shares before its public debut -- liquidated its remaining shares this year. Over the past three months, its insiders sold 460 times as many shares as they bought.
Will NuScale's stock bounce back? NuScale will generate most of its revenue from its front-end engineering and design (FEED) studies, licensing fees, and consulting work until it deploys its first commercial SMRs.
For 2026, analysts expect its revenue to rise 79% to $56 million, while narrowing its net loss to $164 million. For 2027, they expect its revenue to more than triple to $173 million with a slightly wider net loss of $171 million. That growth trajectory would be impressive, but it's already priced for perfection at 63 times this year's sales. That high valuation will limit its upside potential as long as the messy macro environment drives investors away from speculative growth stocks.
The nuclear renaissance reached a major milestone in the commercialization of small modular reactors (SMRs). Elementl Power announced it is developing a utility-scale advanced nuclear power project in Southeast Ohio, selecting GE Vernova’s (GEV) BWRX-300 SMR technology for the site.
Key Takeaways Elementl Power is deploying GE Vernova’s BWRX-300 SMR for a new utility-scale advanced nuclear power project in Ohio. BWXT’s mPower reactor is gaining traction across both terrestrial and maritime applications via partnerships with Applied Atomics and Core Power. The accelerating commercial adoption of SMR technology provides a fundamental growth driver for the Range Nuclear Renaissance ETF (NUKZ). How New Advanced Nuclear Power Projects Secure Terrestrial & Floating Contracts This commercial momentum is expanding into diverse industrial applications outside traditional utility grids. BWXT’s (BWXT) mPower SMR technology is capturing significant market share across both land and sea environments. Applied Atomics is currently advancing the reactor’s licensing for land-based applications, while marine energy developer Core Power has launched an assessment to use the mPower design for floating nuclear power plants.
These concurrent developments highlight a critical inflection point for the global energy supply chain. Advanced nuclear power projects are securing corporate commitments that validate the economic viability of next-generation reactors. Consequently, for investors looking to position portfolios for this structural shift, tracking these industrial components is important.
Capturing the Nuclear Supply Chain via Index ETFs The accelerating adoption of SMR designs directly impacts targeted investment vehicles like the Range Nuclear Renaissance ETF (NUKZ). The fund tracks the VettaFi Nuclear Renaissance Index (NUKZX), which provides exposure to companies across the nuclear energy ecosystem, including hardware providers and fuel suppliers.
As components like GE Vernova and BWXT secure these foundational contracts, their positions within the sector underscore the benefits of an index-based strategy. Rather than taking on single-stock technology risk or picking individual reactor winners, advisors can use NUKZ to gain diversified exposure to the entire supply chain necessary for this global nuclear expansion.
Looking for nuclear insights in your inbox? Subscribe here to keep a pulse on nuclear investing through our weekly research. For more news, information, and analysis, visit the Nuclear Energy Content Hub.
vettafi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for NUKZ, for which it receives an index licensing fee. However, NUKZ is not issued, sponsored, endorsed, or sold by VettaFi. VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of NUKZ.
NuScale Power (SMR 4.56%) has a first-mover advantage as the only small modular reactor (SMR) company with a design approved by the U.S. Nuclear Regulatory Commission (NRC). Still, NuScale has a high cash burn rate and has not quite reached commercialization.
Given the stock's volatility, is it worth the risk for long-term investors? I'll dive in to find out.
Today's Change
(
-4.56
%) $
-0.49
Current Price
$
10.37
Still holding on to a first-mover advantage NuScale's advantage is NRC approval, which puts the company months, or perhaps years, ahead of competitors seeking the same milestone. This moat matters particularly at a time when utilities and data centers are desperately seeking reliable power sources.
NuScale's pipeline is also very impressive. It's working to deploy up to 6 gigawatts (GW) of SMR capacity with the Tennessee Valley Authority, alongside NuScale's commercialization partner, ENTRA1 Energy.
NuScale is also working on a Romanian initiative with RoPower Nuclear. The project's execution is phased, but if completed, it would be a huge win for NuScale investors. Both projects could generate substantial revenue for NuScale by the early 2030s.
Lastly, NuScale has about $900 million in cash reserves and short-term investments. This cash cushion provides the company with sufficient runway to continue advancing toward commercialization without the risk of further dilution or running out of money.
Image source: The Motley Fool.
No shortage of risks for NuScale investors There are still real risks associated with the company. While NuScale cobbled together revenue of $31.5 million in 2025, net losses ballooned to $355.8 million. This was a 160% jump from the year before. In the first quarter of 2026, revenue plunged to nearly nothing.
Wall Street analysts responded negatively, with some lowering price targets or downgrading the stock altogether. The more bullish analysts understand that real revenue likely won't come for at least another few years.
A class action lawsuit is also weighing on the SMR company. The lawsuit alleges NuScale executives misled investors regarding the capabilities of ENTRA1. Not only could this lawsuit cause real financial damage, but the reputational injury may be difficult to rebound from.
Competition could also theoretically catch up to NuScale. Companies such as Oklo (OKLO 5.09%) pose a real threat, especially if NuScale isn't able to successfully deliver on its pipeline projects. Just this week, Oklo announced a partnership with Standard Nuclear to enhance its nuclear supply chain and further align with federal electricity goals in the artificial intelligence (AI) age.
All this said, shares of NuScale are quite volatile. The stock's beta is over 2, meaning it is more than twice as volatile as the market. The stock is down over 26% since the start of the year and well off the 52-week high of $57 per share.
Investors should have a decade of patience ready The lawsuit is nerve-racking, but it doesn't negate the fact that NuScale has a design already approved and that its commercialization projects are still moving forward. The nuclear industry as a whole is also experiencing a global resurgence.
While this stock isn't appropriate for many investors, if you have a long-term horizon, are comfortable with considerable risk, and remain bullish on NuScale's innovative technology, there could be significant upside for investors who are willing to stick around for the next decade. In this bullish view, buying the stock at less than $15 per share is opportunistic.
Energy has always been the backbone of the global economy, but the spotlight is brighter now than ever. Data centers for artificial intelligence (AI) have cranked up energy demand, especially in the United States, opening the door for nuclear energy to make a comeback after lying relatively dormant for years.
Some new technologies, including small modular reactors (SMRs), have become the hottest topics on Wall Street. NuScale Power (SMR 4.56%) sits squarely within that space, as the only company with SMR design approval from the U.S. Nuclear Regulatory Commission.
The stock is a classic case of high risk, high reward. Here's why in 10 years, investors might wish they had bought NuScale Power stock today, and how to protect your portfolio in case the stock doesn't live up to the hype.
Image source: Getty Images.
A compelling investment narrative Small modular reactors are a potential game changer in the energy industry. They have smaller footprints, making them suitable for various sites and applications that would be too small for a traditional nuclear power plant. Most of the global SMR market currently resides in the Asia-Pacific region, but there are opportunities in the United States. President Trump signed an executive order last year, calling for America to increase its nuclear energy capacity from 100 GW to 400 GW by 2050.
NuScale Power's design approval in the United States gives it a huge head start, since everything moves slowly in nuclear due to all the regulatory red tape. In September 2025, ENTRA1 Energy and the Tennessee Valley Authority agreed on plans for a 6 GW deployment of NuScale's SMRs, the largest in U.S. history.
To be clear, this will take many years to plan, approve, and build. NuScale Power began working with Fluor on an SMR project in Romania in 2021 and only received formal funding approval for construction earlier this year. That first reactor won't begin commercial operations until 2033. So, investors almost need a 10-year timeline just to see how the current events ultimately play out.
How these projects unfold will directly affect NuScale's ability to book future projects, especially since there aren't even any commercial SMRs active in the United States yet.
But the story has fallen apart before The other side of this story is that a lot can go wrong along the way. The Romania project is moving forward, but what if something happens to the Tennessee Valley Authority project? It wouldn't be the first time.
NuScale Power had a project with the Utah Associated Municipal Power Systems that would have been the first operational commercial SMR in the United States. Unfortunately, they canceled the project in late 2024 due largely to soaring cost projections that ultimately derailed it.
The technical advantages of SMRs and nuclear power as a whole are only part of the equation. President Trump's executive order doesn't carry the weight of formal legislation. Political regimes will come and go over the next decade, and nuclear energy's resurgence could prove a fad if costs are too high or political momentum falls off.
Today's Change
(
-4.56
%) $
-0.49
Current Price
$
10.37
Is NuScale Power a winner over the next 10 years? NuScale has generated only minimal revenue from preliminary engineering work for the Romania project, $18.6 million over the past year. That will grow as the project progresses, but a lot is riding on this new project with the Tennessee Valley Authority. It probably holds the key to SMRs catching on in the United States, where NuScale has a unique advantage as the approved design.
If it all goes well, investors could wish they had bought NuScale right now. The stock has swung between $8 and $57 over the past year, and sits at just $12 today, a market cap of $4.1 billion. You want to buy speculative stocks at their lows. But you're clearly buying the stock for its story, and it could have a wide range of eventual endings.
It's worth buying near the lows so you don't miss out on the upside. Chasing it higher could be a mistake, and any investment should be kept to a small portion of a portfolio. Like with most lottery tickets, the biggest regret usually comes from risking more than you can afford to lose.
The Space Exploration Technologies (SPCX +0.69%) IPO is now behind us. The space stock is now armed with more than $85 billion in fresh capital that it can deploy to fuel growth. Reports also suggest SpaceX could target a $20 billion bond sale this summer, further bolstering its capital firepower.
SpaceX won't find it difficult to spend its newfound riches. "It's no secret that SpaceX is a capital-intensive business," observes a recent research report from Morningstar. Whether it's building rockets and sending humans to the moon or constructing orbital data centers and launching them into low Earth orbit, SpaceX will be heavily reliant on its IPO proceeds -- as well as continued capital raises in the years to come -- to realize its growth ambitions.
While SpaceX is diversified, it is not completely vertically integrated. In fact, there's one constraint to SpaceX's growth that could derail the growth trajectory of the company's most valuable business in the long term: artificial intelligence. Thankfully, a nuclear energy stock most investors have never heard of could provide a solution.
This nuclear stock could help SpaceX realize its growth ambitions According to the SpaceX IPO prospectus, likely the biggest benefactor of the company's IPO cash will be its AI division. After all, AI alone accounts for more than 90% of the company's claimed total addressable market. If SpaceX can't fund growth in its AI division, its IPO valuation may not be justified.
A huge portion of SpaceX's AI spending will be dedicated to building data centers. The company wants to build several supercomputers that would be among the largest ever built. How to power these facilities, however, is another question.
Image source: Getty Images
So far, SpaceX's data centers have relied on a variety of fuels, from grid-connected utilities to off-grid solar power and Megapacks -- huge energy storage batteries designed and sold by Tesla (TSLA 0.13%). Orbital data centers harnessing solar power in space may eventually solve the energy challenge. But more terrestrial solutions will also be needed.
NuScale Power (SMR 4.56%) designs small modular reactors, which can -- at least in theory -- be faster, cheaper, and safer to construct than larger conventional nuclear power plants. The SMR industry hopes to get SMR energy systems online within two to three years from the start of construction. Larger nuclear systems, for comparison, often take a decade or more to bring online.
For now, SpaceX seems intent on pursuing orbital data centers. But given the challenges involved, as well as the critical importance of the company's terrestrial data center build-out for growth, I wouldn't be surprised to see the company pursue a more diversified approach to its energy needs over the coming years. If SpaceX does move toward nuclear energy to power its data centers, SMR technology would seem like the greatest fit on paper due to its speed of deployment.
With several approved SMR designs, initial modules already under construction, and a measly $4 billion market cap, it's possible we even see SpaceX acquire an SMR stock like NuScale at some point to accelerate its energy sourcing as quickly and broadly as possible.
NuScale Power (SMR) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions may not translate into further price increase in the near term.
NuScale Power stands out with the only U.S. NRC Standard Design Approval, providing a significant regulatory moat in the emerging SMR sector. Despite Q1 revenue dropping to $0.6 million due to project timing, SMR maintains a strong $1.2 billion liquidity position, supporting ~5 years of runway. The pending ENTRA1/TVA Power Purchase Agreement could catalyze the largest U.S. nuclear deployment, representing a major upside catalyst for SMR.
NuScale Power (SMR +4.55%) is trying to change how we generate nuclear energy. Instead of a big nuclear power plant -- with iconic bell-shaped cooling towers and domed reactors -- it wants to deploy small modular reactors (SMRs), essentially mini nuclear power plants.
NuScale shares the dream of deploying SMRs with other nuclear energy companies, like Oklo and Nano Nuclear Energy. Unlike these two, however, NuScale has an SMR design approved by the Nuclear Regulatory Commission (NRC), a major first-mover advantage in the highly regulated nuclear power space.
NRC approval is the most commonly cited reason to buy NuScale over other novel nuclear energy stocks. But it comes with an asterisk: To date, NuScale has yet to deploy its SMR technology commercially.
Image source: Getty Images.
That said, NuScale has a few prospects lined up. Leading the way is an SMR project in Romania, which could see 463 megawatts electric (MWe) of NuScale technology installed at a former coal plant. The plant's first SMR is expected to be in commercial operation in 2033.
On top of that, NuScale's commercial partner, ENTRA1 Energy, is positioned to receive a substantial investment from Japan -- on the order of $25 billion. The investment is in support of advancing nuclear power, especially as a reliable source for artificial intelligence (AI).
Today's Change
(
4.55
%) $
0.45
Current Price
$
10.34
NuScale stock trades about 75% lower than its all-time highs, as investors have been more cautious on SMRs in 2026 than last year. For patient investors, that pullback could create an opportunity. If NuScale can successfully bring its first commercial SMR online by 2033, the company could look very different from the pre-commercialization developer it is today.
Steven Porrello has positions in Nano Nuclear Energy, NuScale Power, and Oklo. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
CORVALLIS, Ore. & FORT WORTH, Texas--(BUSINESS WIRE)--Paragon, a Mirion Technologies company and a leading supplier of safety-related products and components for the nuclear industry, has been awarded a contract by NuScale Power Corporation (NYSE: SMR), the industry-leading provider of proprietary and innovative advanced small modular reactor (SMR) nuclear technology, to complete final design development of Paragon's Highly Integrated Protection System (HIPS) for the NuScale Power Module™ (NPM). NuScale has the first and only SMR design to be approved by the U.S. Nuclear Regulatory Commission (NRC).
The award marks a significant milestone, as NuScale already has certain components of 12 power modules in production. We anticipate that nuclear plants that deploy NPMs will feature one common control room that supports up to 12 NuScale Power Modules, each capable of generating up to 77 megawatts of clean, carbon-free power.
Under the contract, Paragon will complete the non-recurring engineering and design deliverables for three critical instrumentation and control systems built on the HIPS platform. The Module Protection System (MPS) is a nuclear safety-related reactor protection system that safeguards each individual NPM. The Safety Data Interface System (SDIS) is an augmented quality, post-accident monitoring system that provides operators with essential plant data in the event of an incident. The Plant Protection System (PPS) is a non-safety-related system responsible for control room habitability functions such as HVAC. The contract also includes Independent Verification and Validation services for MPS development, an important step in qualifying safety-critical software for nuclear applications.
“Paragon has been a valuable technology partner in the development of the HIPS technology, advancing the digital instrumentation and control systems that are essential to safe and reliable plant operations,” said John Hopkins, President and Chief Executive Officer of NuScale Power. “This partnership helps us to achieve the goal of delivering reliable, carbon-free power to our customers while ensuring the highest level of safety.”
"This contract represents the culmination of years of collaboration between Paragon and NuScale, and we are proud that our HIPS platform is at the heart of the NPM's protection systems," said Doug VanTassell, President and CEO of Paragon. "The work we are doing on MPS, SDIS, and PPS is foundational to bringing the first SMR of its kind into operation, and there is no greater validation of our technology than being entrusted with the safety-critical systems of the most significant new reactor design in a generation."
HIPS was purpose-built to meet today's cybersecurity requirements and the complexity of next-generation reactor designs. The platform delivers analog-like reliability while incorporating modern diagnostics that reduce operations and maintenance costs, and its architecture can be configured from a single channel up to a full four-division Reactor Protection System. HIPS also employs Model-Based Design to integrate system behavior and design documentation into a single environment, streamlining development and regulatory review — including NRC Safety Evaluation Report (SER) approval of its topical report in 2017, co-developed with NuScale.
About NuScale Power
Founded in 2007, NuScale Power Corporation (NYSE: SMR) is the industry-leading provider of proprietary and innovative advanced small modular reactor (SMR) nuclear technology, with a mission to help power the global energy transition by delivering safe, scalable, and reliable carbon-free energy. The NuScale Power Module™, the Company’s groundbreaking SMR technology, is a small, safe, pressurized water reactor that can each generate 77 megawatts of electricity (MWe) or 250 megawatts thermal (gross), and can be scaled to meet customer needs through an array of flexible configurations up to 924 MWe (12 modules) of output.
As the first and only SMR to have its designs certified by the U.S. Nuclear Regulatory Commission, NuScale is well-positioned to serve diverse customers across the world by supplying nuclear energy for electrical generation, data centers, district heating, desalination, commercial-scale hydrogen production, and other process heat applications.
To learn more, visit NuScale Power’s website or follow us on LinkedIn, Facebook, Instagram, X, and YouTube.
About Paragon
Paragon, a Mirion Technologies company, has delivered comprehensive solutions for nuclear industry needs, producing and testing mission-critical equipment with proven customer satisfaction for more than three decades. Through obsolescence and parts availability strategies, innovation, and efficiency, Paragon directly addresses the challenges facing today’s operating fleet and the advanced reactors of tomorrow, all while maintaining the highest standards of quality and nuclear safety culture. www.paragones.com or (817) 284-0077. Follow Paragon on YouTube, LinkedIn or X.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding the agreement described herein, the anticipated benefits and opportunities arising from such agreement, and its potential future impacts. These forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such statements. Further information regarding risks, uncertainties, and other factors that could affect each company’s respective financial results and operations is included in the filings of Mirion Technologies and NuScale Power Corporation, respectively, with the United States Securities and Exchange Commission (the SEC), including each company’s respective Annual Reports on Form 10-K and most recent Quarterly Reports on Form 10-Q, as well as other periodic reports filed or to be filed with the SEC.
You should not rely on these forward-looking statements, as actual outcomes and results may differ materially from those contemplated by these forward-looking statements as a result of such risks and uncertainties. All forward-looking statements in this press release are based on information available to each of us as of the date hereof, and neither of us assumes any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made.
Los Angeles, June 17, 2026 (GLOBE NEWSWIRE) -- Applied Atomics announced today that it has entered a licensing agreement with BWX Technologies, Inc. (NYSE: BWXT) in connection with BWXT’s mPower™ small modular reactor (SMR) technology. Under the agreement, Applied Atomics will have exclusive rights to use mPower in the commercial development and deployment of land-based nuclear facilities in the United States, Canada and elsewhere. BWXT retains ownership of the mPower IP and will hold exclusive manufacturing rights for all mPower components plus royalty rights for any components manufactured by Applied Atomics or other third parties.
mPower is designed as an integral pressurized light water reactor that will be manufactured in a factory and shipped by conventional transportation. It is designed to generate 195 megawatts of electricity and 575 MWth of heat per reactor.
Its integrated steam generator design eliminates the primary coolant piping found in conventional nuclear plants. By housing all primary components in a single vessel, the mPower design attempts to remove a key failure mode – the LOCA or loss of coolant accident – of traditional reactors. The reactor is designed to use standard low enriched uranium fuel and is designed for a refueling cycle of at least two years.
"BWXT spent a decade working to design mPower. Our job is to complete its development then design and deploy the first optimized, vertically integrated SMR power plant," said Benjamin Kellie, CEO of Applied Atomics.
The agreement comes as domestic electricity demand is projected to grow at its fastest rate in a generation, driven in part by data center construction that industry analysts estimate will require more than 300 gigawatts of new power capacity in the United States by 2035. In addition to utilities, Applied Atomics has identified dedicated industrial and technology sector power supply as the primary initial market for mPower deployment, citing the modular plants and site flexibility as well-suited to behind-the-meter and campus-scale configurations.
BWXT preserved the mPower engineering archive and test facilities following the program's 2017 suspension. In selecting Applied Atomics, BWXT evaluated partners against criteria including capital commitment and funding capability, deployment intent, nuclear safety culture alignment, market positioning, and its founder’s successful record commercializing other technologies.
Under the terms of the agreement, Applied Atomics will re-engage the NRC to resume mPower design certification activities and develop site-specific engineering for initial commercial deployments. Applied Atomics will also contract with BWXT to provide technical support as the licensing process advances.
About Applied Atomics
Applied Atomics is a nuclear energy company focused on the commercial deployment of proven small modular reactor technology. The company holds an exclusive license to commercialize the mPower Generation III+ SMR, designed and manufactured by BWXT Advanced Technologies. Applied Atomics serves industrial, technology, and utility customers actively seeking 100MW to 1GW of firm, carbon-free power. The company is headquartered in Anchorage, Alaska and has a design studio in Los Angeles, CA. applied-atomics.com
Additional images, diagrams and executive interview availability upon request. Visit applied-atomics.com/presskit for downloads and contact information.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those anticipated. Neither Applied Atomics nor BWXT undertakes any obligation to update forward-looking statements.
Key Takeaways NuScale's E2 Centers give users hands-on exposure to simulated small modular reactor operations.The centers recreate a 12-module control room where users adjust settings and run scenarios.Simulators include digital procedures, automated controls, alerts and emergency-response tools. NuScale Power Corporation’s (SMR - Free Report) Energy Exploration Centers, or E2 Centers, are designed to make small modular reactor (“SMR”) technology easier to understand through simulation rather than theory alone. These centers give users a hands-on way to apply nuclear science and engineering principles in a simulated power plant setting. The key point is not simply education; it is practical exposure. By recreating real-world nuclear plant operation scenarios, the E2 Centers help students, researchers and future operators see how an SMR control room functions before they ever enter an operating facility.
The E2 Centers are built around an advanced simulator that recreates the control room of a 12-module NuScale power plant. Users can step into the role of a plant operator, adjust operating settings, run different scenarios and see how the reactors respond in real time. Each workstation can monitor and control any of the 12 modules, giving users a broad understanding of how a multi-reactor SMR facility operates. This is especially relevant because future SMR plants are expected to rely on digital controls, automation and coordinated management of multiple reactor units.
The biggest benefit of the E2 Centers is that they help users gain practical experience with the technologies that will be used in advanced nuclear power plants. The simulator includes features such as digital operating procedures, automated control functions, system alerts and emergency-response tools. This allows students, researchers and future operators to learn how modern nuclear facilities are monitored and managed in a safe environment. For NuScale, the E2 Centers help increase familiarity with its SMR technology while supporting workforce training and preparedness as advanced nuclear projects move closer to deployment.
While NuScale’s E2 Centers focus on building familiarity with SMR operations through training and simulation, other advanced nuclear companies are working on different reactor designs aimed at making nuclear energy more flexible, compact and deployable.
Other Advanced Reactor Designs Gain Ground
Oklo Inc.’s (OKLO - Free Report) nuclear technology is built around liquid-metal-cooled, metal-fueled fast reactors, a design OKLO says has more than 400 reactor-years of global operating history. OKLO focuses on inherent safety, meaning the reactor can stabilize itself using natural forces rather than depending only on active systems. The company also highlights fuel recycling, because fast reactors can use used nuclear fuel as input. In simple terms, OKLO aims to provide clean power, advanced fuel and radioisotopes through compact fast-reactor systems.
Meanwhile, NANO Nuclear Energy’s (NNE - Free Report) nuclear technology is centered on portable and stationary microreactors that can deliver clean, reliable energy in smaller packages than traditional reactors. NANO Nuclear is developing the patented KRONOS Micro Modular Reactor Energy System, a stationary high-temperature gas-cooled reactor, along with ZEUS, a solid-core battery reactor, and LOKI MMR for portable and space-capable uses. In simple terms, NANO Nuclear wants its microreactors to be modular, easier to deploy and useful for power, heat, microgrids and remote locations.
The Zacks Rundown on NuScale Power
Shares of SMR have lost 37.2% over the past six months.
Image Source: Zacks Investment Research
NuScale Power currently has an average brokerage recommendation of 2.56 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 18 brokerage firms.
Image Source: Zacks Investment Research
See how the Zacks Consensus Estimate for SMR’s earnings has been revised over the past 90 days.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Global energy demand is growing exponentially, and more entities are embracing nuclear energy as a key part of this energy transition. Nuclear energy provides carbon-emission-free, reliable baseload power, making it a popular choice for hyperscalers seeking to meet energy needs while advancing low-carbon goals.
Small modular reactors (SMRs) are an emerging technology that could help hyperscalers power their artificial intelligence (AI) infrastructure while also reducing strain on the electric grid, and NuScale Power (SMR +4.55%) is one company advancing this next-generation nuclear technology. If you're a prospective or current shareholder, here are one reason to buy and two reasons to sell NuScale Power stock.
Image source: Getty Images.
Reason to buy: NuScale has a first-mover advantage NuScale Power has a first-mover advantage in the SMR space as the only developer to secure a design certification from the Nuclear Regulatory Commission (NRC) for its 50-megawatt and 77-megawatt power modules. NRC approvals can be a drawn-out, arduous process, and this certification gives NuScale an edge over developers that are still in the pre-licensing phase.
Reason to sell No. 1: NuScale has yet to bring an SMR online NuScale has a first-mover advantage, but it hasn't yet deployed its SMR technology. In 2015, the company had a major project with the Utah Associated Municipal Power Systems, which it had hoped to open by 2023. After an initial price tag estimate of $3 billion, the project experienced huge cost overruns, ballooning to $9.3 billion by 2023 before the client pulled the plug.
The company currently has one project underway in Romania, but needs to secure more deals to become commercially viable.
Today's Change
(
4.55
%) $
0.45
Current Price
$
10.34
Reason to sell No. 2: It's on the hook for huge milestone payments NuScale is working closely with ENTRA1 Energy to help commercialize its SMR technology. ENTRA1 led an ambitious 6-gigawatt deployment plan with the Tennessee Valley Authority (TVA). As part of this agreement, ENTRA1 is responsible for financing, developing, and owning six power plants across the region, with the TVA purchasing the electricity generated through future power-purchase agreements, which could be a huge opportunity for NuScale.
The partnership between NuScale and ENTRA1 has faced heavy scrutiny from investors due to questions about the latter's lack of operational history and qualifications, and NuScale Power is facing class-action lawsuits as a result. According to Guggenheim Securities, ENTRA1 is a three-year-old company with no track record of managing projects of this scale.
On top of that, the milestone payments from NuScale to ENTRA1 are huge. Last year, it paid a $495 million milestone payment to ENTRA1 for the TVA deal, which still hasn't led to any firm commitments. And estimates suggest NuScale could pay up to $3 billion in milestone payments under the TVA deal.
This nuclear start-up comes with significant risk NuScale Power has a first-mover advantage with its NRC design certification, but it still needs to prove its business model is scalable, which could take years. SMRs aren't expected to be operational until the 2030s, and the company has its work cut out for it securing more deals, getting them operational, and scaling up, making it a high-risk stock for investors buying today.
NuScale (SMR +4.55%), a producer of small modular reactors (SMRs), went public through a merger with a special purpose acquisition company (SPAC) in May 2022. Its stock opened at $10.70 per share, set a record high of $53.43 last October, but now trades at about $11.
NuScale is volatile because it's a divisive stock. The bulls claim that its SMRs, which are smaller than conventional nuclear reactors, will reshape the nuclear energy market and address the soaring energy needs of the cloud, AI, and industrial automation markets. The bears claim it will struggle to grow its business amid intense competition and macro headwinds. Let's see which argument makes more sense -- and if it's the right time to buy or sell this nuclear stock.
Image source: Getty Images.
What are NuScale's catalysts? NuScale's SMRs, which can be installed in vessels that are only 65 feet tall and 9 feet wide, can generate up to 77 MWe. It prefabricates these reactors, and they're assembled on site to reduce the time, labor, and costs of constructing a nuclear power plant.
On their own, these SMRs are less powerful than conventional nuclear power plants, which typically generate more than 1,000 MWe. But they can be combined with additional SMRs to construct larger plants in remote areas that aren't well-suited for conventional nuclear plants.
Today's Change
(
4.55
%) $
0.45
Current Price
$
10.34
NuScale has been working with Fluor (FLR +2.51%) to combine six of its 77 MWe SMRs to build a 462 MWe plant for Romania's RoPower. Most of its revenue comes from its front-end engineering and design (FEED) studies for that project. It's also working with the Tennessee Valley Authority (TVA) to deploy up to six gigawatts of its SMR capacity across seven states.
The bulls believe once NuScale deploys those reactors, its revenue will skyrocket, economies of scale will dilute its expenses, and it will narrow its losses. The soaring demand for nuclear power will drive more countries to deploy those SMRs. However, the bears will point out that NuScale probably won't activate any of those reactors until the early 2030s.
Is it the right time to buy or sell NuScale's stock? From 2025 to 2028, analysts expect NuScale's revenue -- which will mainly come from its FEED studies, licensing deals, and consulting work -- to rise from $31.5 million in 2025 to $310.7 million in 2028. But with a market cap of $3.4 billion, it already trades at 11 times its 2028 sales. It will also remain unprofitable for the foreseeable future.
That's probably why Fluor, which owned over half of NuScale's shares before its market debut, recently liquidated its remaining holdings. Its insiders are also still net sellers.
NuScale could have a bright future, but it's still a highly speculative stock. If you believe it will successfully deploy its SMRs in the 2030s and disrupt conventional nuclear reactors, it could be smart to nibble on the stock as the bulls look the other way. However, you should also brace for a lot of volatility -- since it doesn't look cheap relative to its near-term growth.
After powering to higher closes than the previous days of trading on both Thursday and Friday last week, NuScale Power (SMR +8.04%) stock is poised to extend the streak for a third consecutive day of trading. Although the company hasn't reported any positive news to drive the advanced nuclear reactor stock higher, a Swedish utility announced today, a move the market is interpreting as a positive sign for the industry.
As of 2:00 p.m. ET, shares of NuScale Power are up 10.7%, retreating slightly from an earlier rise of 13.7%.
Image source: Getty Images.
News from Sweden has investors bidding this American stock higher Vattenfall, a Swedish state-owned power company operating in Sweden, Germany, the Netherlands, Denmark, and the U.K., announced today that it has selected Rolls-Royce to supply three SMRs, each with a power capacity of 470 megawatts.
While the U.S. is currently experiencing a nuclear industry renaissance, the Vattenfall announcement suggests that markets outside of the U.S. are also embracing SMR solutions, providing companies like NuScale Power with greater growth opportunities.
NuScale Power touts itself as the only SMR company with designs approved by the U.S. Nuclear Regulatory Commission.
Is NuScale Power stock a buy on the news from Scandinavia? Despite the positive news from Sweden, it's rather foolhardy to click the buy button on NuScale Power stock solely because of Vattenfall's announcement. There's still a significant risk with a NuScale Power investment, so only those comfortable with speculative investments should consider positions. For all others, a nuclear energy ETF may be a more compelling option.
Scott Levine has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power and Rolls-Royce Plc. The Motley Fool has a disclosure policy.
Few stocks embody the promise and frustration of the nuclear energy renaissance quite like NuScale Power (SMR +3.29%).
Back in 2020, NuScale became the first U.S. company to get a small modular reactor (SMR) design approved by the NRC. Since then, the company hasn't deployed a commercial SMR model in a real-world setting. And while electricity demands from artificial intelligence (AI) and data centers are expected to surge, NuScale has yet to emerge as tech's most obvious beneficiary.
Today's Change
(
3.29
%) $
0.32
Current Price
$
9.88
Over the next three years, a few possibilities could emerge for this first-mover in the SMR space. In the most bearish scenario, NuScale's projects continue to move slowly but steadily. It may begin conversations with utilities or industrial companies about another project, but most of its concentration will be on developing the two it currently has underway: the SMR plant in Romania and the deployment of 6 gigawatts (GW) of SMRs to the Tennessee Valley Authority (TVA).
Image source: Getty Images.
Cranking the bull dial to a more aggressive level, a three-year timeline could see NuScale's commercial partner, ENTRA1 Energy, secure customers in the data center space. In this scenario, the TVA project would be moving closer to completion, with meaningful revenue coming into view. Success there could also validate NuScale's technology, which in turn would open the door to additional deployments across the U.S.
Regardless of the exact outcome, NuScale's first SMR is unlikely to come online for another few years. This means investors interested in NuScale will need to keep a watchful eye on its two developing projects, as their success could determine whether the company evolves into the major nuclear energy stock it's expected to become.
Steven Porrello has positions in NuScale Power. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
NuScale Power (SMR +3.01%) is an ambitious nuclear energy company at the forefront of a potential nuclear renaissance. In a world hungry for clean energy -- hungry for energy, period -- NuScale has a tremendous opportunity to solidify its lead in the development of small modular reactor (SMR) technology.
Yet despite being near the center of a multitrillion-dollar market opportunity for nuclear power -- an opportunity driven by artificial intelligence (AI), cloud computing, data center construction, and wider electrification efforts -- NuScale also faces challenges. The company is still reporting losses -- a net loss of about $44 million in the first quarter -- and hasn't yet seen its technology deployed in the real world. Soon, its potential market could also get crowded with similar companies competing for the same business, like Oklo.
The stock has taken a dive lately, falling over 75% from its recent all-time high. It's the only nuclear company in the U.S. with approval from the Nuclear Regulatory Commission (NRC) to deploy SMR technology for commercial use, but is that first-mover advantage enough to make this nuclear energy stock a long-term buy?
Today's Change
(
3.01
%) $
0.28
Current Price
$
9.57
First-mover advantage, commercial growing pains NuScale Power sits at the intersection of two powerful trends in energy: first, the global push for clean energy; and second, the rapid construction of AI infrastructure, including data centers, whose power needs in some areas largely surpass the capacity of local grids.
Electricity generated from nuclear energy does not emit carbon dioxide, at least not directly. But given the pace at which AI infrastructure is moving, the typical huge nuclear plant simply takes too long to construct. It can take a decade or longer to build a conventional nuclear power plant. A hyperscaler's data center, on the other hand, can take 12 to 36 months.
Image source: Getty Images.
Which brings us back to NuScale. NuScale's reactors are smaller than traditional nuclear power plants and should take less time to deploy. The company says so itself: On its website, it claims its SMR technology can be operational in 36 months. With thousands of data centers being planned or built across the U.S., NuScale's SMR technology seems ripe for a breakout.
And yet, the company hasn't yet inked a sale of its technology.
One reason for this could be related to costs. Nuclear engineering is notorious for cost inflation, and a new technology such as NuScale's likely requires components and parts that can't be manufactured at scale. This was one of the reasons its project in Idaho was canceled in 2023, as costs were getting out of hand.
NuScale isn't completely up a creek without a paddle. It has two projects in different phases of planning, one in Romania, and another with the Tennessee Valley Authority. It has also entered a binding partnership with ENTRA1 Energy, a private energy development company, which will handle the development, financing, and operation of NuScale's SMR plants.
If NuScale eventually becomes the default provider of SMR technology, today's investors could notch a substantial gain over the long run. But NuScale is a speculative stock, and there's no guarantee its technology will be adopted. Expect this stock to trade on sentiment in the near term -- possibly dipping lower than today's price -- until clearer revenue streams open up.
George Gianarikas, an analyst at Canaccord Genuity, is a big fan of NuScale Power (SMR +3.01%), one of the most popular nuclear energy stocks on the market today. This month, he reiterated his "buy" recommendation on the stock, reaffirming his $25 price target. If his predictions come to pass, NuScale shares could have more than 100% upside over the next 12 months.
Is this Wall Street analyst warranted in his bullishness? Let's find out.
Does NuScale stock really have 107.1% upside potential? The first thing to get out of the way is that predicting short-term fluctuations in stock prices is a very challenging game. Most Wall Street analysts have so-so track records when it comes to setting 12-month price targets. It's for that reason that you frequently see these price targets adjusted throughout the year, often following big upward or downward price action.
That said, Wall Street analysts spend a lot of time -- indeed, nearly their entire workdays -- trying to figure out where a certain stock price is headed. So listening to their conclusions is worthwhile, as long as their advice isn't followed blindly.
Today's Change
(
3.01
%) $
0.28
Current Price
$
9.57
Right now, Gianarikas is one of the most bullish analysts covering NuScale stock. In total, 15 analysts currently cover the stock, with an average price target of just $15.67 -- far below Gianarikas's $25 price target. What makes Gianarikas so bullish? He apparently is a big fan of the company's project pipeline, as well as its specific approach to nuclear energy.
NuScale isn't just any nuclear developer. It specializes in small modular reactors, or SMRs, which, in theory, can be built faster and at a lower initial price point than larger conventional nuclear power systems. This makes NuScale's technology a better fit to meet rising electricity demand in the U.S. and abroad -- a trend driven by the massive build-out of energy-intensive data centers.
Whereas SMR competitors like Oklo are focused on so-called "microreactors" that can be placed directly adjacent to data centers, NuScale is focused on larger, grid-scale applications like its deal in the U.S. with the Tennessee Valley Authority (TVA), or its deal in Romania with RoPower.
Gianarikas specifically called out the promise of TVA as a long-term partner in a recent note to investors. Reports suggest that he views this deal as a "transformative opportunity that could significantly accelerate NuScale's path to commercialization and scale." In the same note to investors, Gianarikas praised NuScale's deal with RoPower. Reports say that he views this project as "validation of NuScale's technology and global appeal."
Image source: Getty Images.
I agree with all of the bullish points made by Gianarikas. But that doesn't mean that I also see 107.1% upside over the next 12 months. And there's one major reason why.
"Despite acknowledging execution and operational risks, [Gianarikas] maintains confidence in NuScale's long-term prospects and values the stock using a DCF framework with a 14% WACC and 5% terminal growth rate, supporting an unchanged $25 price target and continued Buy rating," concluded one report after Gianarikas reiterated his price target.
These so-called "execution and operational risks" are what keep me on the sidelines regarding NuScale stock today. These risks are at least partially offset by Gianarikas's high discount rate, but even that elevated rate is arguably too generous.
Put simply, the bull and bear cases for NuScale are very asymmetric. The bull case sees the company execute on all its current pipeline on time and on budget, with more partners filling the pipeline quickly following successful case studies. Conversely, there could be delays or cost overruns, pushing the company's path toward profitability and resulting in massive shareholder dilution.
NuScale Power remains a very promising business in the long term. But predicting the company's share price over the next 12 months is next to impossible. Don't jump in unless you're willing to accept both heavy volatility and a very extended holding period.
CORVALLIS, Ore.--(BUSINESS WIRE)--NuScale Power Corporation (NYSE: SMR) welcomed two new members, Mr. Stuart A. Harshaw and Dr. Dale E. Klein, to its Board of Directors.
NuScale Power (SMR +3.01%) just reported earnings in early May. No shocking disclosures were revealed, but the nuclear stock did drop some nuggets worth paying attention to.
The two biggest updates dealt with the two biggest projects in NuScale's pipeline: a 6 gigawatt nuclear system in the U.S., and a 462 megawatt system in Romania. Neither of these projects have entered the construction phase. In fact, both are still waiting for clear financing updates that will clear up how exactly these projects will be paid for.
Until those financing decisions are finalized, the market will price NuScale stock at a discount given the extreme remaining uncertainty that these small modular reactor (SMR) systems will ever see the light of day. Here's the thing: We could gain a lot of clarity regarding these concerns by November of this year.
Today's Change
(
3.01
%) $
0.28
Current Price
$
9.57
Here's why NuScale Power stock is a buy before November NuScale Power is set to release its next earnings sometime in August. The following earnings announcement should occur sometime in November. That makes the November announcement management's last major opportunity to reveal any sizable updates to its project pipeline.
There is a chance that we will receive a positive update on the company's project with RoPower, which in February was approved for investment by the shareholders of Romanian nuclear operator Nuclearelectrica.
"The Final Investment Decision for the SMR project in Doicești marks the transition from the analysis phase to the implementation phase, consolidating Romania's position at the forefront of the new European nuclear industry," commented Romania's Minister of Energy. "We are replacing 600 MW from a former thermal power plant with 462 MW of clean, stable, and predictable energy."
I wouldn't count on any major update for this project this year. However, given that the next planning stage is expected to last around 15 months, that puts a future announcement sometime in mid-2027.
Image source: Getty Images.
This year, I have my eyes more set on NuScale's project with the Tennessee Valley Authority (TVA) in the eastern U.S. This is a much bigger deal, anyway, in terms of sheer size.
During the latest conference call, NuScale's CFO noted encouragingly, "We're hopeful that TVA can come across the line at some point later this year." That's because a binding power purchasing agreement (PPA) -- an agreement that commits TVA to buy power from the project at a certain rate, often for decades to come -- is expected to be closed this year, clearing way for construction to begin.
Management lamented "a quieter quarter from an announcement perspective" on the latest earnings call. I expect management to do everything possible to close a PPA deal with TVA and ready a sizable announcement for the November earnings call.
Shares of NuScale Power (SMR +3.01%) are back on the rise. Following a 50% decline that began with the new year, the nuclear reactor stock has spiked nearly 30% in value over the past two weeks.
NuScale's story won't be written over a matter of weeks, or even months. The company is targeting what some experts believe will be a $10 trillion global opportunity due to rising electricity demand from artificial intelligence (AI) technologies and a resurgence of interest in nuclear energy.
Even after the recent run, NuScale stock remains 75% cheaper than its all-time highs set last summer. Is this growth stock -- with its small modular reactors -- the smartest investment you can make today? The answer may either be yes or no, depending on the answer to the question below.
Today's Change
(
3.01
%) $
0.28
Current Price
$
9.57
When will SMR technology take off? There's no question that NuScale has a tremendous growth opportunity. "Capital is pouring into data center development, but there are real constraints on growth," said a recent report from McKinsey & Co. What's the biggest growth constraint? "Incumbents can't meet demand for power," the report says.
Data centers are energy intensive because of what they're asked to do. The rapid and continuous explosion of AI technologies requires these data centers to run intensive, computationally complex processes nearly without pause. That requires huge amounts of energy not only to power the computing, but also to cool down the GPUs to maintain efficiency and longevity.
The current electric grid isn't designed for the amounts of demand growth year after year. From 2000 to 2020, for instance, electricity demand in the U.S. barely budged. So, new sources of energy will be needed to fuel the ongoing AI revolution and global data center build-out. Nuclear power is an ideal antidote, but large conventional nuclear plants can take a decade or more to get on line.
NuScale's small modular reactors (SMRs), at least on paper, can be deployed much faster with lower initial costs, without sacrificing the ability to scale up generation capacity down the line. In short, NuScale's SMR technology could be a key enabler of the AI economy. There's just one problem for investors: timing.
Image source: Getty Images
NuScale has never successfully commercialized an SMR system. As such, its revenue remains minimal. Last year, the company reported just $31.5 million in sales, with a net loss of roughly $355 million -- more than $100 million greater than the year before. To cover the financial gap, management was forced to sell 39.3 million shares during the fourth quarter of 2025, generating $750 million in capital.
Over the past 12 months, total shares outstanding have more than doubled. That follows years of additional shareholder dilution -- a trend that investors should expect to continue.
It will likely be years until the company gets its first SMR on line. Even if successful, the accumulated shareholder dilution may be too heavy to outpace with true growth. So while NuScale Power is a promising long-term choice, investors must decide what they think the company's execution timeline will be. That will dictate how smart an investment NuScale Power is today.
Key Takeaways SMR's NuScale Power Module is a 77-MW small reactor built on proven pressurized water tech.Factory-built, shippable components aim to simplify construction and cut delays and project risk.NRC approvals came in 2020, 2023 and 2025; TVA plans and Romania's RoPower project progress. NuScale Power Corporation’s (SMR - Free Report) main technology is the NuScale Power Module, a small nuclear reactor (“SMR”) designed to make nuclear power projects easier and more practical to build. The reactor is based on proven pressurized water reactor technology already used in the nuclear industry, which reduces the need for entirely new or untested systems. One of its biggest advantages is that it became the first small modular reactor design to receive approval from the U.S. Nuclear Regulatory Commission, including Standard Design Approval in 2020, Design Certification in 2023 and a second Standard Design Approval in 2025. This regulatory approval provides an important level of validation and could help support future commercial deployment.
The NuScale Power Module is designed to generate 77 megawatts of electricity and operate more than 95% of the time, making it suitable for delivering reliable, around-the-clock power. The reactor and steam generator are housed inside a compact cylindrical vessel measuring about 76 feet in height and 15 feet in width. It uses commercially available low-enriched uranium fuel, with enrichment levels below 5%, and benefits from an established fuel supply chain. The reactor only needs refueling about once every 21 months. Another key advantage is its modular design. Major components can be built in factories and shipped to project sites in sections, while multiple suppliers are available for critical equipment. This approach is intended to simplify construction, reduce delays and lower some of the risks that have historically affected large nuclear power projects.
The biggest advantage of the NuScale Power Module is its flexibility and scalability. A power plant can begin with a small number of modules and add more over time as electricity demand increases, allowing operators to expand capacity gradually instead of building a large plant all at once. The reactor is also designed with passive safety features, meaning it can automatically shut down and cool itself without operator intervention, external power or additional water.
NuScale’s design also has a site-boundary emergency planning zone, an unlimited coping period approved by the NRC, and capabilities such as black-start, island-mode and off-grid operation. In simple terms, NuScale is marketing the technology as a smaller, expandable nuclear power solution for customers that need dependable clean energy, particularly in locations where building a large traditional nuclear plant may not be practical due to land, grid or industrial requirements.
Recent commercialization efforts also provide additional support to the technology. ENTRA1 Energy and the Tennessee Valley Authority (“TVA”) are advancing plans for up to 6 gigawatts of new nuclear generation using NuScale's technology across TVA’s seven-state service area, while the RoPower project in Romania continues to move forward through development. These projects highlight growing interest in deploying NuScale’s technology at scale.
While NuScale represents one approach to SMR commercialization through light-water reactor technology and larger modular deployment, other companies are pursuing different reactor designs aimed at serving more specialized power needs. OKLO and NANO Nuclear Energy are two such names, with technologies focused on compact reactors, alternative fuels and flexible deployment models.
Other Emerging Nuclear Technologies to Watch
Oklo Inc.’s (OKLO - Free Report) nuclear technology is built around liquid-metal-cooled, metal-fueled fast reactors, a design OKLO says has more than 400 reactor-years of global operating history. OKLO focuses on inherent safety, meaning the reactor can stabilize itself using natural forces rather than depending only on active systems. The company also highlights fuel recycling, because fast reactors can use used nuclear fuel as input. In simple terms, OKLO aims to provide clean power, advanced fuel and radioisotopes through compact fast-reactor systems.
Meanwhile, NANO Nuclear Energy’s (NNE - Free Report) nuclear technology is centered on portable and stationary microreactors that can deliver clean, reliable energy in smaller packages than traditional reactors. NANO Nuclear is developing the patented KRONOS Micro Modular Reactor Energy System, a stationary high-temperature gas-cooled reactor, along with ZEUS, a solid-core battery reactor, and LOKI MMR for portable and space-capable uses. In simple terms, NANO Nuclear wants its microreactors to be modular, easier to deploy and useful for power, heat, microgrids and remote locations.
The Zacks Rundown on NuScale Power
Shares of SMR have lost 47.4% over the past six months.
Image Source: Zacks Investment Research
NuScale Power currently has an average brokerage recommendation of 2.56 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 18 brokerage firms.
Image Source: Zacks Investment Research
See how the Zacks Consensus Estimate for SMR’s earnings has been revised over the past 90 days.
Image Source: Zacks Investment Research
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Every company in an emerging industry wants to be the first at something: to get through the regulatory process, into production, or into a customer's hands. For NuScale Power (SMR +3.01%), however, being first has had an unfortunate disadvantage: finding a customer who's willing to be first, too.
It's not hard to imagine why. NuScale is developing a small modular reactor (SMR) that shrinks the benefits of a nuclear power plant -- clean, reliable, always-on power -- but without necessarily shrinking the costs. Indeed, the cost of NuScale's first major project, the Carbon Free Power Plant, had risen to about $9 billion before it was canceled in 2023. Large-scale nuclear power plants can have a similar cost yet produce more electricity.
Today, NuScale still lacks a firm sale of its SMR technology. And yet its outlook is changing. Data center growth has made reliable power one of the biggest bottlenecks in the build-out of artificial intelligence (AI). A company like NuScale could easily become the linchpin for keeping that boom going.
Image source: Getty Images.
With NuScale trading 20% lower on the year, should you buy before the company inks its first deal or wait this one out?
Closer than most, but still waiting In simplest terms, NuScale's technology has three advantages: The reactors are scalable (customers can use up to 12 modules based on their needs); they're factory-built, reducing deployment time; and they can supply clean, round-the-clock power.
In theory, then, NuScale could help usher in a new era of clean energy, in which nuclear reactors are smaller and more widely used, powering everything from data centers to hospitals with no greenhouse gas emissions.
Today's Change
(
3.01
%) $
0.28
Current Price
$
9.57
To get there, NuScale needs to build its first SMR power plant on time and (more importantly) on a budget. To that effect, it has two critical projects in the works, possibly three. The company recently got the green light to move forward with a planned 462-megawatt electric (MWe) SMR power plant in Romania. It is also partnering with the Tennessee Valley Authority (TVA) through its ENTRA1 Energy partner to deploy up to 6 gigawatts of power across TVA's seven-state service area.
NuScale recently mentioned in its first-quarter earnings that South Korea might be interested in investing in certain U.S. industries, including nuclear power. To be sure, this isn't the same as investing directly in NuScale, nor does it mean it will ink a firm sale of SMR technology. But NuScale and South Korea have long been in talks over developing an SMR power plant. Indeed, since 2019, NuScale and South Korea's Doosan Enerbility have been business partners -- so this could be a sign that the deal is inching closer.
Without a firm sale, however, NuScale's revenue pales in comparison to its costs. The company reported a first-quarter net loss of about $44 million, with revenue of about $565,000. Annual revenue is expected to grow over the next two years, though not nearly enough to make this company profitable.
Data by YCharts
Most investors will probably want to wait until NuScale deploys its first SMR before taking a position. Only very aggressive investors who can stomach the near-term volatility before it does should consider this high-risk, high-reward play on the future of nuclear power.
