Key Takeaways NuScale Power's six-module plant could produce about 250-270 metric tons of hydrogen per day.Its reactors can be built near industrial users, reducing the need to transport hydrogen long distances.NuScale Power can shift between electricity and hydrogen production while working alongside renewables. NuScale Power Corporation’s (SMR - Free Report) hydrogen opportunity comes from using its small modular reactors to produce large quantities of carbon-free hydrogen for industrial users. The advanced nuclear company has been studying this application since 2014. A NuScale plant with six reactor modules, connected to a hydrogen production system, could generate about 250-270 metric tons of hydrogen per day. This could serve industries that already use large amounts of hydrogen, including fertilizer, refining and methanol production.
A major advantage is the ability to place NuScale’s reactors close to factories that actually need hydrogen. The plants require roughly 40 acres and can operate without depending on the wider electricity grid. This could allow a facility to be built near an ammonia plant or another industrial customer, reducing the need to transport hydrogen over long distances. The same plant could also provide electricity, process heat and oxygen, giving customers several useful energy products from one site.
NuScale’s technology could also make hydrogen production more dependable and flexible. Nuclear reactors can provide a steady supply of electricity and heat, helping hydrogen facilities operate for long periods without frequent interruptions. NuScale’s reactors can also shift between producing electricity and supporting hydrogen production based on demand. They can work alongside renewable energy as well, giving industrial customers a more flexible way to meet both their power and hydrogen needs.
The hydrogen market is increasingly attracting interest as industries look for cleaner ways to meet their energy and fuel needs. Opportunities are emerging across hydrogen production, supporting equipment and infrastructure, creating multiple paths to benefit from wider adoption.
Other Companies Tapping the Hydrogen Opportunity
FuelCell Energy’s (FCEL - Free Report) hydrogen opportunity comes from technology that can produce hydrogen while generating electricity and heat. FuelCell Energy already supplies hydrogen and power to Toyota’s Long Beach site under a 20-year agreement. FuelCell Energy’s carbonate fuel cells can also produce hydrogen alongside carbon capture, which could lower the overall cost of capturing emissions. This gives the company exposure to cleaner industrial energy and hydrogen demand.
Meanwhile, Plug Power (PLUG - Free Report) is building its hydrogen opportunity around both hydrogen production plants and electrolyzers, which are machines to produce hydrogen. Plug Power has hydrogen plants in Georgia, Louisiana and Tennessee with 40 tons-per-day of combined designed capacity. Plug Power is also advancing electrolyzer projects in Portugal, Spain and the U.K., while pursuing larger opportunities in Canada and Uzbekistan, including green ammonia and sustainable aviation fuel applications.
The Zacks Rundown on NuScale Power
Shares of SMR have lost more than 20% over the past six months.
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NuScale Power currently has an average brokerage recommendation of 2.58 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 19 brokerage firms.
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See how the Zacks Consensus Estimate for SMR’s earnings has been revised over the past 90 days.
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The company currently carries a Zacks Rank #3 (Hold).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
A stock that just hit a 52-week low doesn't usually need much to bounce. NuScale Power (SMR +15.26%) found that out in August, gaining 10.1% during the month according to data provided by S&P Global Market Intelligence, after a brutal July.
Has the nuclear energy stock bottomed out, and should investors buy it while they still can amid the artificial intelligence (AI) power crunch?
Image source: Getty Images.
NuScale's Q2 revenue plunged 99% The biggest single-day pop came around Aug. 25 when NuScale announced plans to roll out nuclear-specific AI tools built with Nuclearn and NPX's AtomAssist platform. Early testing showed a cut of up to 80% in the time it takes engineers to find key design information.
Simply put, NuScale, which is developing small modular reactors (SMRs), plans to use custom nuclear AI to sift through mountains of technical documents and regulatory rules to extract data quickly. That should mean quicker decisions and no costly project delays as a reactor moves from design to deployment.
Earlier in the month, though, the news was nowhere near as flattering. NuScale kicked off August by reporting revenue of only $75,000 for the second quarter, down 99 % from $8 million a year earlier.
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The slump wasn't really about business erosion. It was a job ending, as NuScale finished front-end engineering design work on a project in Romania. The company doesn't have anything meaningful yet to replace that revenue with. It also continues to incur big losses and burn cash.
Should you buy NuScale Power stock now? NuScale ended Q2 with $1.9 billion in cash and investments, up $900 million from Q1. On Aug. 11, it filed to sell another $750 million in shares. That's more stock dilution, and a bet that only pays off if NuScale can sign a power purchase agreement (PPA) before investors run out of patience.
That's the single biggest development investors are waiting for, as commercial execution remains unproven. NuScale has the regulatory head start as its SMR design is already approved by the U.S. Nuclear Regulatory Commission.
The AI boom has created an insatiable demand from hyperscalers and data centers for massive, uninterrupted, carbon-free energy. NuScale's certified SMR design puts it in a prime position to meet that need, but commercial execution remains unproven with its first operational reactor still years away.
Until its commercial development partner, ENTRA1 Energy translates non-binding framework agreements into signed PPAs and turns regulatory milestones into concrete factory orders, NuScale Power stock will keep trading on pure speculation rather than revenue or earnings visibility.
Shares of NuScale Power (SMR +15.26%) have fallen roughly 70% over the past year. Today, it trades around $9.70, making it look a lot more interesting relative to its 52-week high of $ 57.42. But I'm still not a buyer. Not until it gets closer to around $7 a share. Let me explain.
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To be sure, NuScale has a lot going for it. Its 77-megawatt small modular reactor design received approval from the Nuclear Regulatory Commission in 2025, and the company has assembled a supply chain of more than 60 specialized partners. That's a big deal given what it takes to build a nuclear power company from scratch.
Then there's the company's commercialization partner, ENTRA1 Energy, which is working with the Tennessee Valley Authority (TVA) on a potential deployment of up to 6 gigawatts of NuScale reactors. That could eventually involve 72 NuScale modules and would be one of the largest nuclear energy deployments in U.S. history.
Image source: Getty Images.
None of this is trivial, but the problem is that it's still only a potential scenario. ENTRA1 and TVA haven't signed a definitive power purchase agreement. Meanwhile, NuScale isn't really generating any meaningful commercial revenue yet. Revenue in the second quarter was only about $75,000. Indeed, the stock remains highly speculative.
The balance sheet is strong Despite the speculation, NuScale finished June with approximately $1.9 billion in cash, cash equivalents, and investments. That's an enormous cushion for a nuclear energy company at this stage of development. Although shareholders paid for some of it.
During the first six months of 2026, NuScale sold nearly 89.7 million shares through an at-the-market offering, raising about $985 million after expenses. That's significant dilution, and investors shouldn't assume additional capital raises are off the table forever.
At roughly $9.70, NuScale still carries a market capitalization of around $4 billion. That's difficult for me to justify for an energy company with almost no revenue and no binding order for its first major commercial nuclear power project.
Why I'd buy at $7 At $7 per share, NuScale would be roughly another 28% below today's price and slightly below its current 52-week low of $7.21. I'd start with a small position there. Not because $7 magically makes NuScale cheap. It doesn't. But it gives me a better margin of safety while still providing enormous upside if the TVA project becomes real. There's also a scenario where I'd buy above $7.
If ENTRA1 signs a binding agreement with TVA and NuScale finally has a clear path toward deploying dozens of reactors, I'd be willing to pay more because the risk would have changed. The bottom line is that at $7, I'm interested. Below $6, I'd get much more aggressive.
It has been a tough year for NuScale Power (SMR -0.51%). Shares have fallen nearly 40% since 2026. One Wall Street analyst remains unfazed.
In early August, Rinny Singh, an analyst at Bank of America, reiterated her buy rating on SMR stock, setting a share price target of $12, implying roughly 24% upside over the next 12 months.
Why does Singh remain so bullish despite recent share price weakness? Her bull thesis comes down to one key catalyst -- a catalyst that may soon receive some much-needed momentum.
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Here's why Rinny Singh remains bullish on NuScale Power stock Singh's bull thesis on NuScale stock largely comes down to one critical factor: Can NuScale convert its customer pipeline into revenue-generating projects? The biggest mover from this perspective is the company's 6-gigawatt (GW) project with its financing partner, ENTRA1, and utility provider, the Tennessee Valley Authority (TVA).
Right now, NuScale remains the only company in the U.S. with regulatory permission to build a small modular reactor, or SMR. If built, the company's TVA project would be the biggest SMR facility in the world by a large margin.
Here's the catch: TVA still hasn't made any firm financial commitments to the project. The deal will be non-binding until a power-purchase agreement (PPA) is signed, locking the utility into buying power from the future NuScale facility.
In a note to clients earlier this year, Singh conceded that "converting agreements to firm deals has been slower than anticipated." Singh also expressed concern about NuScale's financial position, citing increased cash burn and near-term funding risk.
Image source: Getty Images.
Since that note was published, however, NuScale has significantly improved its capital position. As of last quarter, the company has around $1.9 billion in cash and cash equivalents. This resolves most of Singh's funding concerns, though at the price of shareholder dilution.
A vastly improved balance sheet now let's NuScale focus on executing Singh's most valuable catalyst: converting the non-biding TVA deal into a firm, revenue-generating project. That catalyst would be realized with the signing of a PPA. According to NuScale's management team, a PPA could be in place by the end of 2026.
Last quarter, NuScale's CEO specifically called out "continued advancement on the ENTRA1 and TVA power purchase agreement discussions." NuScale's CFO added that the nuclear company is "hopeful that TVA can come across the line at some point later this year."
If NuScale can secure a PPA for this project, Singh's bull thesis may ultimately look conservative. A PPA not only would provide serious social validation for NuScale's technology and go-to market strategy, but it would also clear up many financing concerns. ENTRA1, NuScale's financing partner, was approved for $25 billion in government funding last year to build large-scale energy projects. Not all of that funding will go to NuScale. But if the TVA deal reaches firm financial commitments this year, expect the market to assign more value to NuScale's future customer pipeline.
Importantly, Singh is not alone in her bullishness. The Wall Street consensus price target for NuScale stock is also around $12 per share. The investment thesis, however, will largely hinge on getting a PPA signed for the 6-gigawatt SMR project with TVA.
NuScale stock has fallen sharply on a spate of negative news. The company lacks a firm first sale, has lost a big long-term shareholder, and is burning cash.
Last October, shares of NuScale Power (SMR -3.03%) hit an all-time high of about $57. Today, shares trade at just under $10, representing a massive 84% decline.
What happened? Nothing that an 84% decline might suggest: no bankruptcy, no regulatory complications, no nuclear accidents (thank goodness). The drawback was more likely a sign that investors had lost patience with an overvalued nuclear stock with no reactor operating in the real world, and no firm first customer.
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Funny thing is, NuScale actually looks better positioned as a company than it did at the height of its AI-nuclear boom. Investors looking for a value may want to reconsider NuScale, especially with a multi-state project moving closer to a signed deal.
The 6-gigawatt elephant in the room If you're new to NuScale, here's a quick catch-up: The company wants to build and sell small modular reactors (SMRs), which are essentially compact nuclear power plants designed to generate carbon-free electricity from a much smaller physical footprint than your traditional nuclear facility. It is currently the only company in the U.S. with an NRC-approved SMR design, but it has not yet built a reactor for a customer.
To that end, NuScale has partnered with ENTRA1 Energy, which essentially acts as the developer for projects that use its technology. And ENTRA1 has potentially landed one of the biggest SMR projects ever conceived: 6 gigawatts (GW) of NuScale-powered nuclear capacity for the Tennessee Valley Authority (TVA), potentially involving 72 of its modules.
A definitive power purchase agreement (PPA) has not been signed; however, TVA and ENTRA1 have inked a nonbinding agreement to work on the project together. They have also identified four prospective sites, have selected at least one for a plant, and are currently evaluating the others.
Image source: The Motley Fool.
The opportunity is huge, but so is the bill So what could this project actually be worth to NuScale?
Well, it all depends on how much revenue NuScale would eventually generate, which could be enormous or utterly disappointing. We know, for instance, that NuScale managed to eke out about $63 million in licensing and engineering revenue from a much smaller six-module project in Romania. TVA's project should be bigger, though exactly how much more NuScale would earn is anyone's guess.
That early-stage work, though, would just be the appetizer. The bigger opportunity would come from selling 72 modules to ENTRA1. There's no sticker price on those modules just yet, and I'm not going to pretend I can pull a sensible estimate out of thin air.
But here's the rub: NuScale may have to spend a lot of money before it makes any. Its deal with ENTRA1 requires additional milestone payments, including a potentially huge one if a binding PPA gets signed. It's already incurred about $507 million for the first milestone, and a PPA covering 72 modules could trigger roughly another $1.2 billion more.
I wouldn't go so far as to call NuScale a bargain -- not yet. With the stock under $10, investors are paying less for NuScale than they were last autumn, even though it has a clearer path to commercialization. Still, until TVA turns into a binding agreement -- and that agreement into revenue -- this stock is no less speculative than it was at its height.
At today's price, I find NuScale more interesting than last year, but I wouldn't call it a value stock in hiding. Risk-tolerant investors might want to consider it for its nuclear potential, but value investors should definitely not confuse it with a beaten-down stock with a proven business.
Technology giants like Microsoft, Alphabet, Meta Platforms, and Oracle have moved to secure nuclear power agreements and are looking to the future of nuclear power by partnering with companies developing innovative small modular reactors (SMRs).
NuScale Power (SMR -3.03%) doesn't currently have any deals with hyperscalers, but it has a first-mover advantage as the only nuclear company with a standard design approval for its SMR from the Nuclear Regulatory Commission (NRC). While its SMRs could power the next generation of artificial intelligence (AI) data centers, NuScale is turning AI on its own business. Here's what that means for NuScale Power investors.
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NuScale Power is putting AI to work on its own workflows On Aug. 25, NuScale announced it was putting AI tools from Nuclearn and NPX to work on its own critical information to support engineering, regulatory, and knowledge work as it advances its SMR technology. Nuclearn provides its AtomAssist nuclear AI platform, while NPX helps NuScale implement these tools into its business.
These tools are specifically built to handle nuclear engineering terminology and compliance frameworks from the NRC, as well as NuScale's proprietary technical documentation. The tool will help it cross-reference design schematics and regulatory filings with full source traceability.
The company hopes to address operational bottlenecks, including compliance drag and engineering verification cycles, and noted that the process reduced its time spent searching for and verifying critical information by up to 80%. Ideally, this new system will help NuScale speed up design modifications or regulatory response times.
Investors need to maintain a long-term outlook on NuScale NuScale enjoys a first-mover advantage with its 50-megawatt electric (MWe) and 77 MWe NuScale Power Modules, which are currently the only SMRs to have a standard design approval from the NRC. That said, the company is still in pre-commercial operations and currently has one project secured in Romania. This project is in the front-end engineering phase, and the company hopes to open the plant by 2033.
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Beyond this, NuScale, along with ENTRA1 Energy, is seeking a firm commitment from the Tennessee Valley Authority (TVA). The parties entered a collaborative agreement to explore deploying up to 6 gigawatts (GW) of NuScale's SMRs, and discussions between ENTRA1 and the TVA continue. NuScale management hopes to secure a deal before the end of this year.
By applying specialized AI to its business, NuScale is embracing the technology that could be its key growth driver in the coming decades. That said, the company is still in the capital-intensive early stages, so most investors are best off waiting to see it secure more deals before diving into this risky stock.
Courtney Carlsen has positions in Alphabet, Meta Platforms, Microsoft, NuScale Power, and Oracle. The Motley Fool has positions in and recommends Alphabet, Meta Platforms, Microsoft, and Oracle. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
On paper, NuScale Power (SMR +1.99%) has a bright future. The nuclear power stock is the only company currently approved by regulators to build a small modular reactor (SMR) in the U.S. SMRs are essentially miniature nuclear power plants, a form of nuclear energy generation that is receiving renewed interest from AI companies. The AI industry needs more electricity quickly. With much shorter construction times and lower upfront costs, SMRs have a distinct advantage over conventionally sized nuclear power plants.
A quick look at NuScale's stock performance during the past year, however, paints a different story. The shares are down more than 30% year to date and have plunged more than 70% during the past 12 months.
Many Wall Street analysts haven't given up hope. In fact, some are incredibly bullish on the stock, predicting more than 100% gains during the next 12 months.
What is keeping Wall Street so bullish despite the share price tumble? There are three primary reasons for continued optimism.
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Here's why Wall Street still loves NuScale Power stock On Aug. 16, Ryan Pfingst, an analyst at B. Riley Financial, lowered his price target on NuScale stock from $19 to $15 while maintaining his buy rating. Pfingst is particularly excited about a potential power purchase agreement (PPA) with the Tennessee Valley Authority (TVA), NuScale's biggest customer.
Thus far, the company's deal with TVA is largely a handshake agreement. Minimal financial obligations have been made. A PPA, however, would commit TVA to buying power from the future SMR facility at a predetermined rate for years to come. In short, it would ensure future revenue for NuScale, allowing it to begin construction.
NuScale has faced customer cancellations in the past. The company's collapsing stock price partially reflects this risk. If a PPA is signed, however, that risk point diminishes significantly, lifting a major overhang on NuScale's valuation.
Image source: Getty Images.
The TVA deal alone has the potential to make or break NuScale's stock price. But it's not the only project in NuScale's pipeline. Pfingst is also optimistic about the company's project in Romania, which recently advanced to the next stage of government review.
NuScale's deal with RoPower Nuclear aims to build Europe's first SMR facility. It has been delayed several times, and construction is not expected to be completed until the early 2030s. Investors should view this more as a long-term option than a near-term catalyst. But there is reason for optimism. Earlier this year, Romanian officials cleared the project for formal investment. The next step is to determine exactly where those investment dollars will come from.
"Over the next six months, the project will enter a phase of financial structuring and partnership consolidation, during which financing mechanisms will be defined and discussions with potential investors for the execution phase will be advanced," an official stated. With that six-month period recently completed, a positive catalyst for the project could be revealed at any time.
This brings us to the third reason Pfingst remains bullish on NuScale stock: He believes the company has enough financial resources to survive until positive catalysts regarding these two SMR projects are announced. NuScale has essentially no debt, and it's sitting on $1.9 billion in cash. Much of that cash position was raised through stock sales, diluting investors. And more share dilution may be on the way.
The important factor, however, is that NuScale likely has enough capital to sustain itself until positive catalysts arrive. In recent quarters, it has posted operating losses of roughly $60 million, though cash-flow figures varied more widely due to obligatory payments made to project partners. But the next few months could see NuScale benefit from some of the longtime catalysts that investors have been waiting for. NuScale's chief financial officer recently suggested a PPA for its TVA project could be signed by the end of 2026. And although the RoPower deal does not have a formal deadline, previous comments from government officials suggest positive news on that front could also be revealed before year-end.
NuScale Power (SMR +3.09%) is a popular nuclear energy stock with significant upside potential. The company is valued at just $4 billion despite operating in what could become a $300 billion global market.
In general, Wall Street analysts are bullish on the company. The consensus price target of $11.85 suggests nearly 30% in near-term upside. Two analysts believe shares could double in value over the next 12 months.
There's no doubt about NuScale's potential. The company specializes in small modular reactors, or SMRs. This technology has been around for decades, with only two SMR facilities ever commercialized worldwide. Adoption of SMRs, however, is heating up quickly. More than 80 SMR systems are currently in development, largely thanks to a single catalyst: rapidly rising energy demand from artificial intelligence (AI) companies.
These companies require large amounts of reliable baseload power. And due to climate commitments, much of this emerging power demand must be met by low-carbon generation. AI companies will need more power years down the line, but they also need more power now. That makes SMRs a better fit versus conventional nuclear power plants. SMRs are essentially miniature nuclear power plants that can be built faster and with lower upfront costs. They can also be located directly next to data center infrastructure.
While SMR competitors are currently in the application pipeline, NuScale remains the only company in the U.S. cleared by regulators to construct an SMR system. This reality, combined with AI's rapidly rising energy needs, paints an optimistic picture for NuScale's future. But there's one risk point every investor should be keenly aware of.
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This is what worries me about NuScale Power stock The long-term demand picture for nuclear energy is promising. Bank of America believes it will be a $10 trillion global opportunity through 2050. Importantly, however, Bank of America believes that SMRs will make up a minority of that opportunity. The bank estimates that meaningful SMR adoption will not arrive until 2035 or later.
NuScale is already ahead of the curve with several major projects in its pipeline. For example, it has a 6-gigawatt deal signed with their financing partner, ENTRA1, and a northeastern utility, the Tennessee Valley Authority. If built, this SMR system will be the largest in the world by far. NuScale also has a 462-megawatt deal in Romania that is advancing through government approvals.
Image source: Getty Images.
Here's the problem with NuScale: The company has repeatedly faced customer delays and cancellations. In 2023, its biggest deal at the time collapsed as cost estimates surged.
"Although there were problems specific to that project, the financial challenges and cost trends witnessed in this case will afflict any small modular nuclear reactor project," M.V. Ramana, a professor at the University of British Columbia, warned at the time. "In a rational world, no utility or government would invest another dime on these theoretical reactor concepts."
Even NuScale's Romania deal has faced several delays. Construction has not officially begun, but completion estimates have already been pushed out to 2034.
Good news could be on the way for NuScale's most valuable project, its 6-gigawatt deal in the U.S. NuScale's CFO recently guided investors to expect a power purchase agreement (PPA) by the end of 2026. If signed, a PPA would clear the way for construction to begin.
A PPA would be meaningful for NuScale's prospects as well as its stock price. A delay, however, could be devastating. NuScale remains unprofitable, and pushing out its most promising revenue-generating project would likely require additional shareholder dilution. So while NuScale's long-term prospects remain bright, shareholders should expect a long holding period with the potential for considerable dilution along the way.
Key Takeaways NuScale fabricated first-of-a-kind boron-oxide pellets with MillenniTEK for its passive ECCS.The pellets are designed to help control core reactivity without requiring operator intervention.NuScale is advancing manufacturing, engineering and supply chain readiness for future SMR deployments. NuScale Power Corporation (SMR - Free Report) is making further progress toward the commercialization of its small modular reactor (“SMR”) technology after successfully fabricating first-of-a-kind boron-oxide pellets with advanced nuclear materials manufacturer MillenniTEK. The development marks an important step in preparing specialized components and manufacturing processes for future SMR deployments.
First-of-a-Kind Component Supports Reactor SafetyThe boron-oxide pellets are being developed for NuScale’s passive emergency core cooling system (ECCS), a key safety feature of its reactor technology. If the ECCS is activated, the pellets are designed to dissolve into the reactor coolant, helping control and maintain core reactivity at safe levels without requiring operator intervention.
The successful fabrication therefore represents more than a manufacturing achievement. It demonstrates progress in developing specialized components that can support the safety and reliability requirements of NuScale’s SMR design while also helping advance the company’s broader manufacturing capabilities.
Manufacturing Readiness Becomes a Key FocusNuScale said the milestone reflects its continued efforts to build the production-ready processes required for commercial deployment. The company is working with MillenniTEK to mature manufacturing processes for critical nuclear components while also advancing engineering, supply chain development and customer deployment planning.
For an emerging nuclear technology provider, developing a capable supply chain and reliable manufacturing processes is an important part of moving from an approved reactor design toward actual deployment. The latest achievement indicates that NuScale is continuing to address this part of its commercialization roadmap.
NuScale Builds on Its NRC-Approved TechnologyNuScale highlighted that its technology is based on a focus on safety, simplicity and deployability. The company also emphasized that it remains the only SMR technology with designs approved by the U.S. Nuclear Regulatory Commission (NRC).
The latest manufacturing milestone adds another piece to that commercialization effort. While the fabrication of the boron-oxide pellets does not by itself represent a commercial reactor deployment, it shows continued progress in developing the specialized components and industrial capabilities needed to support future projects.
A Step Toward Commercial DeploymentNuScale’s latest collaboration with MillenniTEK highlights the company’s broader push to strengthen the technical and industrial foundation behind its SMR technology. The successful fabrication of the ECCS pellets supports its focus on safety while advancing manufacturing readiness and supply chain development.
As NuScale works toward its first customer deployments, continued progress in engineering and component manufacturing will remain important to translating its NRC-approved design into commercial projects.
SMR’s Zacks Rank & Key PicksNuScale develops small modular nuclear reactor technology built around its 77-megawatt NuScale Power Module. Currently, SMR has a Zacks Rank #3 (Hold).
Investors interested in the nuclear energy sector may consider some better-ranked stocks like NANO Nuclear Energy Inc. (NNE - Free Report) , Rolls-Royce (RYCEY - Free Report) and Uranium Energy Corp. (UEC - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
NANO Nuclear Energy is an emerging, advanced technology-driven nuclear energy company seeking to become a commercially focused, diversified and vertically integrated company across multiple business lines, including cutting-edge portable microreactor technology, nuclear fuel fabrication, nuclear fuel transportation and nuclear industry consulting services. The Zacks Consensus Estimate for NNE’s 2026 earnings indicates 24.5% year-over-year growth.
Rolls-Royce, a world-leading provider of power systems and services for use on land, at sea and in the air, operates in four global markets: civil aerospace, defense aerospace, marine and energy. The Zacks Consensus Estimate for RYCEY’s 2026 earnings indicates 46.2% year-over-year growth.
Uranium Energy is involved in uranium mining and related operations, including exploration, pre-extraction activities, extraction and the processing of uranium concentrate across projects in the United States, Canada and Paraguay. The Zacks Consensus Estimate for UEC’s current quarter earnings indicates 42.9% year-over-year growth.
X-Energy is rated a Buy based on its strong management, technology moat, and de-risked commercialization path. XE's Xe-100 reactor leverages TRISO fuel for superior safety, passive shutdown, and rapid construction, reducing capital costs and build times. The company's vertical integration, notably its TRISO-X facility, addresses critical fuel supply bottlenecks and enhances commercialization prospects.
CORVALLIS, Ore. & KNOXVILLE, Tenn.--(BUSINESS WIRE)--NuScale Power Corporation (NYSE: SMR), the industry leading provider of proprietary and innovative advanced small modular reactor (SMR) technology, and MillenniTEK, an advanced nuclear materials manufacturer, today announced that they have successfully fabricated first-of-a-kind boron-oxide pellets for NuScale’s passive emergency core cooling system (ECCS).
The achievement marks an important step in NuScale’s continued progress toward commercialization readiness by furthering the development of specialized components and manufacturing processes that support the deployment of its U.S. Nuclear Regulatory Commission (NRC) approved SMR technology.
It also demonstrates NuScale’s commitment to safety, technical rigor, and the continued maturation of its supply chain and manufacturing capabilities. Upon ECCS actuation in a plant with NuScale technology, the pellets are designed to dissolve into the reactor coolant to help control and maintain core reactivity at safe levels without operator intervention.
“NuScale’s technology is built on a commitment to safety, simplicity, and deployability, and this milestone reflects the continued progress we are making to prepare our technology and supply chain for commercial deployment in the near-term,” said John Hopkins, NuScale President and Chief Executive Officer. “By working with experienced advanced nuclear manufacturers like MillenniTEK, we are progressing the production-ready processes needed to support our first customer deployments and bring NuScale’s technology – the only SMR with NRC approval – to market.”
“This first-of-a-kind fabrication milestone demonstrates MillenniTEK’s ability to support the advanced manufacturing needs of next-generation nuclear technologies,” said Steve Getley, MillenniTEK President. “We are proud to work with NuScale to help mature a critical manufacturing process that supports the safe and reliable deployment of its small modular reactor technology.”
NuScale remains focused on advancing the commercialization of its technology through disciplined engineering, manufacturing readiness, supply chain development, and customer deployment planning. As the only SMR technology with NRC-approved designs, NuScale continues to build the technical and industrial foundation needed to deliver reliable, carbon-free energy for customers around the world.
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 MillenniTEK
MillenniTEK was formed in 2010 by a management buy-out of Millennium Materials, a company that was owned by the UK company, Dyson Group PLC. In 2024, Houston based Pelican Energy Partners acquired the company.
MillenniTEK focuses on innovation and quality, our NQA-1 focused team has doubled production capacity, achieved yields greater than 95%, and introduced new ceramic product lines. Whether it’s technical ceramic manufacturing or rapid prototyping, MillenniTEK is dedicated to changing the world through cutting-edge materials.
The company is split into two divisions, the first being technical ceramic manufacturing where we convert materials that are in powder form into solid high tolerance components, in a high production output environment. The second division develops prototype parts in an array of high temperature materials to support the emerging SMR, Microreactor and Space Reactor sectors. To learn more, visit MillenniTEK’s website.
Forward Looking Statements
This release contains forward-looking statements (including without limitation statements containing words such as "will," "believes," "expects," “anticipates,” "plans" or other similar expressions). These forward-looking statements may include statements relating to our strategic and operational plans, expectations (including regarding our market positioning, our progress toward deploying our technology, the market for nuclear energy and providing energy technology for communities around the world), future growth, and the outlook of our business.
Our actual results may differ materially from what may be included in forward-looking statements as a result of a number of factors, including, among other things, the following: our ability to enter into binding contracts with customers to deliver NPMs; competition from other nuclear reactor technologies; delays in the development and manufacturing of NPMs and related technology; the possibility that we may continue to incur losses in the future and may not be able to achieve or maintain profitability; the cost of electricity generated from nuclear sources or our NPMs may not be cost competitive; the market for SMRs is not yet established and may not achieve growth as expected; our dependence on our relationships with ENTRA1 and other strategic partners; risks related to the Partnership Milestones Agreement that we entered into with ENTRA1; our ability to manage our growth effectively; our need for additional funding in the future; our partners’ and potential customers’ ability to secure funding; manufacturing and construction issues, including that our supply base in constrained; the politically sensitive environment we operating in and the public perception of nuclear energy; our dependence on senior management and other highly skilled personnel; our ability to obtain design approvals internationally; our customers’ ability to obtain required regulatory approvals on a timely basis or at all; compliance with environmental laws and evolving government laws and regulations; the impact of changing trade policies and new or increased tariffs; risks related to cybersecurity; changes in tax laws; our ability to protect our intellectual property; our limited number of authorized shares available for issuance; the price of our Class A common stock may be volatile; additional sales of our common stock or exercise of our options could result in dilution to our stockholders; we have and may in the future be subject to short selling strategies; NuScale Power, LLC being treated as a corporation for U.S. federal income tax or state tax purposes; and requirements under the Tax Receivable Agreement. Caution must be exercised in relying on these and other forward-looking statements. Due to known and unknown risks, our results may differ materially from its expectations and projections.
Additional information concerning these and other factors can be found in the Company's public periodic filings with the Securities and Exchange Commission, including the general economic conditions and other risks, uncertainties and factors set forth in the sections entitled “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2025 and in subsequent filings we make with the SEC. The referenced SEC filings are available either publicly or upon request from NuScale's Investor Relations Department at [email protected]. The Company disclaims any intent or obligation other than as required by law to update or revise any forward-looking statements.
NuScale Power's (SMR -4.62%) big goal is to mass-produce small-scale modular nuclear reactors (SMRs). These factory-built reactors could help to revolutionize the nuclear power industry, but there's one small problem. NuScale Power has yet to get a customer to sign on the dotted line. And even then, that's just the start of the process of proving the company's SMR technology is a winner. Here's the trade-off investors have to consider when looking at NuScale Power today.
NuScale Power is a money-losing start-up NuScale Power is only appropriate for the most aggressive investors. To put the risk here into perspective, the company generated just $75,000 in revenue in the second quarter of 2026. However, its business expenses totaled over $64 million. To be fair, it's a start-up in a capital-intensive business, so the fact that it is losing money isn't shocking. But the yawning gap between revenues and expenses highlights the risk.
Image source: Getty Images.
Another risk, however, is that the losses here mean NuScale is burning through cash. It has to generate money in some way if it wants to keep supporting its business. And in this situation, a key source of funding is the sale of stock. It recently announced plans to sell up to $750 million in shares. Every new share issued dilutes the nuclear power upstart's existing shareholders.
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The truth is, most investors will probably be better off waiting until NuScale Power has at least signed a definitive contract for one of its SMRs. However, even then, the company still has a lot to prove. After a contract is signed, the company needs to successfully build and deliver an SMR. And that SMR needs to operate as expected. Assuming everything goes well with that first SMR, the company still needs to ramp up production to a level that allows it to operate profitably over the long term. There are a lot of puzzle pieces that need to fit together perfectly here.
NuScale Power is only appropriate for risk takers Surging electricity demand, especially from artificial intelligence data centers that could benefit from dedicated SMRs, suggests a significant opportunity for NuScale Power. However, the company's early stage of development means costs are likely to continue to outrun revenues for a while longer. And that means only the most aggressive investors should even consider owning NuScale Power today. Dilution is a big deal, but it is just one of many risks you'll need to keep in mind.
Chief Financial Officer Robert Ramsey Hamady reported a sale of 29,880 shares of NuScale Power Corporation (SMR -4.62%) on August 27, 2026, according to a recent SEC Form 4 filing.
Transaction summaryMetricValueTransaction value~$280,573Shares sold29,880Post-transaction shares (directly held)124,235Post-transaction value$1.21 millionTransaction value based on SEC Form 4 weighted average sale price ($9.39); post-transaction value based on August 27, 2026 market close ($9.74).
Key questionsWas this a discretionary market sale?
No, the disposition was non-discretionary and was executed solely to cover mandatory tax withholding obligations triggered by the vesting and settlement of 76,923 restricted stock units (RSUs).How did the CFO's total direct equity exposure change in this transaction?
The executive's direct holdings increased from 77,192 shares to 124,235 shares because the number of units that vested and settled exceeded the amount sold for tax purposes.What is the current status of the executive's remaining equity awards?
Following this transaction, Hamady continues to hold 76,923 derivative securities, which represent the remaining unvested portion of a restricted stock unit grant issued in August of 2023.How has the stock performed leading up to this vesting event?
Shares of NuScale Power Corporation delivered a one-year total return of -72% as of the August 27, 2026 transaction date.Company OverviewMetricValueShare Price (as of market close 2026-08-27)$9.76Market Capitalization$3.9 billionRevenue (TTM)$10.7 millionNet Income (TTM)-$415.7 millionCompany SnapshotNuScale Power Corporation develops and commercializes proprietary small modular reactor (SMR) nuclear technology, with its primary product being the VOYGR SMR plants powered by NuScale Power Modules (NPM), light water nuclear reactors capable of generating 77 megawatts of electricity per unit.The company produces revenue through the design, development, and licensing of its advanced SMR technology, positioning itself as a provider of scalable, carbon-free energy solutions for the global energy transition.NuScale targets utility companies, industrial energy consumers, and government entities seeking reliable, safe, and emissions-free power generation capacity to meet decarbonization objectives and energy security requirements.NuScale Power Corporation is an early stage nuclear technology developer with a market cap of $3.9 billion, currently in the commercialization phase of its proprietary small modular reactor platform.
The company's strategic focus on scalable, modular nuclear technology positions it to capture significant market opportunity as global energy markets transition toward carbon-free generation. NuScale's competitive differentiation lies in its innovative reactor design, regulatory pathway progress, and ability to provide flexible, deployable energy solutions across diverse customer applications.
What this transaction means for investorsNuScale CFO Ramsey Hamady's Aug. 27 disposition of company shares comes the day after 76,923 RSUs vested. This non-discretionary transaction was executed to fulfill tax withholding obligations in connection with the vesting of these RSUs.
An RSU is a form of compensation where a company grants an employee shares of stock at a future date. When that vesting date arrives, as was the case here, a "sell to cover" transaction occurs to pay the related taxes. Consequently, this sale does not reflect the insider's view on the stock.
NuScale Power's shares plunged 72% over the trailing 12 months through Hamady's Aug. 27 sale due to falling sales. In the second quarter, the company produced just $75,000 in revenue compared to $8.1 million in the prior year as it failed to capture new customer contracts. This resulted in a net loss of $50.1 million, an increase from 2025's loss of $37.6 million.
Robert Izquierdo has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
CORVALLIS, Ore. & PHOENIX & KINCARDINE, Ontario--(BUSINESS WIRE)--NuScale is deploying nuclear-specific AI in partnership with Nuclearn and NPX to speed development of its groundbreaking SMR technology.
Over the coming decades, nuclear energy will be a $10 trillion opportunity. That's according to Bank of America analysts, who are particularly excited about a relatively novel method of producing nuclear power: small modular reactors, or SMRs.
"Amid surging electricity demand, driven in part by the rise in AI/data centers, nuclear energy offers a potential solution," Bank of America concluded in a recent report. "And new 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."
NuScale Power (SMR -4.62%) is currently the only company in the U.S. approved by regulators to build an SMR system. On a recent call with investors, CEO John Hopkins stressed that the company remains "the only SMR company in the world to have earned U.S. Nuclear Regulatory Commission standard design approval," adding that it has "done it for two separate designs, our 50-megawatt and our 77-megawatt modules."
Many other companies are currently working through the approval process for SMRs. But NuScale has leveraged its early approvals to secure large deals, including a 6-gigawatt project for the Tennessee Valley Authority (TVA). If built, that system would be the largest SMR facility in the world by a large margin.
NuScale's second-quarter numbers are already in the books, and it's expected to report Q3 earnings on Nov. 5. Only one detail will likely matter from that announcement: Has a power purchase agreement (PPA) been signed with the TVA?
A power purchase agreement would essentially lock the TVA into buying power from the project. This financial commitment would allow NuScale to begin construction.
It's hard to understate how significant a PPA would be for NuScale's business model and stock price. Right now, the market seems skeptical that the TVA project will ever move forward, and NuScale's struggling stock price and market cap under $4 billion reflect that.
To gauge how much shares could spike with a signed PPA, it's important to consider NuScale's history of failed projects.
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NuScale investors must remember this failed nuclear energy project NuScale has signed major customers before, only to see them cancel the projects before major financial commitments were made firm.
For example, in 2019, it inked a deal with the Utah Associated Municipal Power Systems (UAMPS) to build SMRs to supply electricity to the utilities. The project's original scope called for six 77-megawatt SMR modules, generating a total of 462 MW. It was expected to enter service in 2029. Project delays and higher-than-expected costs led NuScale's utility partners to withdraw, which led to the cancellation of the whole project.
"[S]ubstantial cost overruns and delays from its originally scheduled 2026 operational date spooked utilities ... leading several to withdraw from a 2019 agreement to buy 200 MW from the reactors once completed," one industry report observed.
Before the cancellation was made public in late 2023, NuScale's stock price had already fallen by nearly 80% that year, signaling the market's lack of confidence that the deal would ever result in meaningful revenue, let alone profits.
Image source: Getty Images
"Although there were problems specific to that project, the financial challenges and cost trends witnessed in this case will afflict any small modular nuclear reactor project," one industry insider warned at the time. "In a rational world, no utility or government would invest another dime on these theoretical reactor concepts."
These fears have largely kept a lid on NuScale's stock price, even as the latest deal with TVA moves forward. A PPA would lift a large part of that uncertainty discount. And if NuScale's CFO is right, a PPA could be on the way as early as the company's next earnings announcement.
Key Takeaways NuScale Power is bringing nuclear-specific AI into engineering and knowledge-management workflows.A proof of concept showed information-retrieval time could fall by as much as 80%.The initiative combines NuScale's expertise with Nuclearn's AI platform and NPX's project experience. NuScale Power Corporation (SMR - Free Report) is taking a significant step toward modernizing nuclear engineering and project execution by deploying nuclear-specific artificial intelligence tools across its engineering and knowledge-management functions. The initiative brings together NuScale Power’s advanced small modular reactor (“SMR”) expertise, Nuclearn’s AtomAssist nuclear AI platform and NPX’s nuclear project and AI implementation experience to develop purpose-built solutions designed for the highly regulated nuclear industry.
The development is notable because it demonstrates how artificial intelligence can become an operational tool within the next generation of nuclear energy — not simply a technology experiment. As NuScale advances the commercialization and deployment of its NuScale Power Modules (NPMs), the ability to locate, interpret, validate and apply complex engineering information quickly could become an important contributor to project execution.
NuScale Power and Nuclear AI: Improving Engineering EfficiencyAdvanced reactor projects generate enormous volumes of technical information, including engineering documentation, licensing evidence, technical standards, safety requirements, operating knowledge and project records. As these projects progress from design toward deployment, engineering teams must be able to retrieve the right information quickly while maintaining confidence in the accuracy and provenance of that information.
NuScale Power’s initial proof of concept reportedly demonstrated that nuclear-specific AI terminology and workflows could reduce information-retrieval time by as much as 80%. The system also helped surface relevant engineering methods and standards, highlighting the potential for AI to reduce time spent searching through complex technical knowledge.
For an organization developing and commercializing small modular reactor technology, this efficiency can have meaningful implications. Faster access to validated information can support engineering productivity, improve knowledge sharing and help teams make informed decisions without sacrificing the documentation and traceability expected in the nuclear sector.
Why Purpose-Built AI Matters in the Nuclear IndustryNuclear energy presents requirements that differ substantially from those of conventional enterprise software applications. Engineering decisions can have safety, licensing, quality-assurance and regulatory implications. As a result, an AI system used in nuclear engineering must do more than generate plausible answers.
The initiative emphasizes controlled engineering and licensing information, traceability and nuclear-specific context. Nuclearn’s AtomAssist platform is designed to work with nuclear terminology, workflows and operational requirements, while connecting generated or retrieved information back to controlled source material.
That distinction is particularly important for investors evaluating the commercial potential of AI in nuclear energy. The value proposition is not merely automation. It is the combination of speed, domain expertise, controlled information and traceability in an environment where accuracy and accountability are essential.
SMR, Nuclearn and NPX Create a Specialized Technology StackThe partnership combines three complementary capabilities. NuScale Power, a Corvallis, OR-based pioneer and developer of advanced SMR technology,contributes proprietary engineering knowledge, advanced reactor expertise and experience developing its NPM technology. This provides the technical and institutional foundation on which the AI tools can operate.
Nuclearn contributes AtomAssist, its nuclear-focused AI platform. The platform is intended to help nuclear professionals retrieve and work with information while maintaining connections to controlled source documentation and relevant operational context.
NPX contributes nuclear project experience and implementation discipline. Its role reflects an important consideration for enterprise AI adoption: successful deployment requires integrating technology into real engineering workflows rather than treating AI as a standalone software product.
Together, the companies are targeting practical applications in which AI can support engineers and technical teams while preserving the standards required by the nuclear industry.
Supporting NuScale Power’s Next Generation of Nuclear EnergyNuScale Power has positioned its SMR technology as a pathway toward scalable nuclear generation. The company’s deployment strategy requires more than successful reactor design. It also requires disciplined execution across engineering, licensing, project management, manufacturing, construction and operations.
Against that backdrop, improving access to institutional knowledge can become increasingly valuable as project complexity grows. AI tools that help teams identify applicable standards, engineering methods, licensing information and previously developed knowledge could support consistency across functions and reduce duplicated effort.
The potential investor takeaway is therefore broader than an individual AI implementation. The initiative illustrates how digital infrastructure can complement advanced nuclear technology, potentially helping organizations manage the information complexity associated with deploying new reactor systems.
AI Could Become an Operational Advantage for Advanced ReactorsThe nuclear industry is entering a period in which new reactor technologies are receiving increased attention from utilities, governments, industrial customers and investors. As projects move toward commercialization, execution speed is becoming increasingly important — but speed cannot come at the expense of nuclear safety, quality or regulatory discipline.
Purpose-built AI offers a potential way to address that tension. Instead of replacing engineering judgment, nuclear AI can help professionals reach the information needed to exercise that judgment more efficiently.
NuScale Power’s reported 80% improvement in information retrieval during its proof of concept provides an early indication of the potential productivity opportunity. If such capabilities can be successfully expanded across engineering and knowledge-management workflows, the resulting benefits could include faster research, improved access to institutional knowledge and more efficient use of highly specialized technical personnel.
Investor Perspective: Technology Meets ExecutionThe partnership provides another example of the company investing in the infrastructure needed to support advanced reactor deployment. The significance lies in how AI is being applied: specifically to the information-intensive, highly regulated processes that underpin nuclear engineering.
The initiative also reflects a broader evolution in the nuclear sector. As advanced reactors progress from technology development toward commercial deployment, companies will increasingly need tools that allow them to scale expertise without compromising quality or regulatory rigor.
By combining NuScale Power’s proprietary nuclear knowledge with Nuclearn’s nuclear AI capabilities and NPX’s implementation experience, the initiative aims to make critical technical information faster to find, easier to understand and more practical to apply.
For the next generation of nuclear energy, that combination of advanced reactor technology and purpose-built digital intelligence could become an important component of execution — and a potentially meaningful operational advantage as NuScale Power works to turn its SMR technology into deployable nuclear power infrastructure.
SMR's Zacks Rank & Key PicksCurrently, SMR has a Zacks Rank #3 (Hold).
Investors looking for some better-ranked stocks may want to consider Nano Nuclear Energy Inc. (NNE - Free Report) , Rolls-Royce (RYCEY - Free Report) and Uranium Energy Corp. (UEC - Free Report) , each of which currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Nano Nuclear Energy is valued at $981.07 million. It is an advanced nuclear technology company developing portable and stationary microreactors, including the KRONOS MMR. Nano Nuclear Energy is also pursuing nuclear fuel, transportation, and space applications.
Rolls-Royce is valued at $170.11 billion. It is a major aerospace and engineering company. Rolls-Royce focuses on civil and military aircraft engines, submarine nuclear power systems, and other power and propulsion technologies.
Uranium Energy is valued at $6.19 billion. It is a U.S.-focused uranium producer. Uranium Energy operates in-situ recovery mines and is expanding its domestic uranium supply chain, including production from the Burke Hollow project in Texas.
NuScale Power (SMR -4.62%) has cleared major regulatory hurdles just as AI data centers are reviving demand for reliable nuclear power. This video examines why its TVA and ENTRA1 opportunity could become the commercial proof investors have been waiting for, what UAMPS revealed about project economics, and how a successful deployment could strengthen the company's long-term growth case.
Stock prices used were the market prices of Aug. 13, 2026. The video was published on Aug. 22, 2026.
Rick Orford has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy. Rick Orford is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link, they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
It's no secret that artificial intelligence data centers need more power than the electric utility industry will be able to effectively offer them anytime soon. Morgan Stanley equity strategist Michelle Weaver recently quantified the problem, suggesting earlier this month that "there's a potential shortfall of around 38 gigawatts needed through 2028." That's enough electricity to power a couple of dozen major metropolitan cities, for perspective, or perhaps a few dozen AI data centers (depending on their size).
This is why so many artificial intelligence data center owners/operators are taking matters into their own hands, setting up their own power production solutions alongside their facilities. That spells opportunity for investors.
To this end, here's a closer look at three industrial names offering the stand-alone power-generation solutions the artificial intelligence industry so desperately needs.
GE Vernova GE Vernova (GEV -4.39%) remains arguably the top way of plugging into AI data centers' so-called BYOP (bring-your-own-power) movement for one simple reason. That is, its natural gas power turbines are proven and accessible. The company took orders for a few dozen of these massive, on-site power-production machines last quarter alone, accounting for the bulk of this division's $16.7 billion in orders during the three months ending in June, up 134% year over year. For perspective on that figure, GE Vernova is now looking for total revenue of about $46 million for the entirety of 2026 versus last year's companywide top line of $38 billion, with natural gas power equipment driving most of this growth.
This is still only the beginning, though. An outlook from Global Market Insights suggests that the worldwide natural gas power turbine market, which GE Vernova currently leads, is poised to grow by more than 11% per year through 2035, when it should be worth nearly $65 billion annually.
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That being said, don't dismiss the potential of this company's other profit centers. While gas turbines will be its breadwinner for the foreseeable future, the proliferation of power-hungry data centers is also underscoring the inadequacy of the United States' (not to mention the rest of the world's) electrical grids. Analysts with J.P. Morgan expect $5.8 trillion worth of upgrades to be made to the planet's power grids between now and 2035, with $1 trillion of that to be made within the United States alone. That brings GE Vernova's other businesses, like nuclear power, energy storage, and power grid technologies, into the picture as well.
Simply put, GE Vernova is very much in the right place at the right time, and will be for a while.
Bloom Energy Bloom Energy (BE -3.24%) CEO KR Sridhar's recent comment that his company's equipment is "now a standard for AI onsite power" may be somewhat overstated. But his bigger philosophical point still stands -- the company did a record-breaking $1.06 billion in business last quarter (up 166% year over year), the bulk of which was product sales.
That product is fuel cells, and in Bloom's specific case, proprietary solid-oxide fuel cells.
In simplest terms, fuel cells convert a gas like hydrogen or natural gas into electricity through an electrochemical process rather than a combustion-powered mechanical one. Specifically, when the gas-based fuel passes through the fuel cell's electrolyte membrane, which only allows positively charged ions through it, that equipment effectively becomes a conventional -- albeit enormous -- battery with a negatively charged anode on one side and a positively charged cathode on the other. The only byproducts are water and heat.
Image source: Getty Images.
This low-emissions footprint is clearly something AI data center owners appreciate, but it's not necessarily why the artificial intelligence industry is suddenly embracing Bloom Energy's tech. It's the flexibility of Bloom's solution. Whereas most commercialized fuel cells thus far have been built to use hydrogen fuel that isn't exactly cheap or abundant, Bloom Energy's solutions are capable of utilizing hydrogen or natural gas, the latter of which is readily available.
And as was the case with GE Vernova, Bloom Energy's second quarter was just a taste of what lies ahead. A projection from Precedence Research suggests the global fuel cell industry is set to grow at an average annualized pace of more than 25% between now and 2035, when it could be worth more than $73 billion per year. On-site power for AI data centers will account for a huge piece of that growth.
NuScale Power Finally, add NuScale Power (SMR -4.62%) to your list of stocks that are poised to perform well as artificial intelligence data centers seek out their own power-generation solutions.
The idea of using small-scale nuclear reactor power plants to produce electricity at the very same facility where it's being used was unthinkable several years ago. Now it's not only possible, but likely. NuScale Power's small modular reactor (SMR) designs have already been approved for use within the United States by the U.S. Nuclear Regulatory Commission, with its second, higher-output (77 megawatt) design approved in May last year.
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That doesn't mean pre-profit NuScale Power's small-scale nuclear power plants will be generating electricity anytime soon, or even by 2028. It still takes years to plan, permit, and then construct such a facility, even with an approved design. That's what makes NuScale's stock the riskiest and most difficult to value among the three names in focus here.
Nevertheless, there's no denying that small modular reactors feature prominently in the AI data center industry's longer-term future. The International Energy Agency predicts that total electricity output from SMRs like the ones NuScale builds will start to soar beginning in 2030 as the first SMRs come online, growing from roughly 1.5 gigawatts then to over 100 gigawatts' worth of power production capacity by 2050.
This might help in the meantime: The analyst community's current 12-month price target of $12.59 is more than 30% above NuScale stock's current price. That's not a bad way to start out a new position.
NuScale Power (SMR -4.62%) is currently the only nuclear energy company in the U.S. approved by regulators to build a small modular reactor, or SMR. To be sure, competition is on the way. Several companies are working through the nuclear regulatory approval process, including Oklo Inc. (OKLO -5.62%), another pure-play SMR developer.
But NuScale is unique in that it is both cleared by regulators to build an SMR system and it already has several major customers lined up, one of which is looking to build the largest SMR system in the world.
Here's the problem: NuScale investors have been burned before by major customers canceling deals before financial commitments are made. So while NuScale has major customers lined up on paper, there's no guarantee that this deal pipeline will result in meaningful revenue, or profits for that matter.
Image source: Getty Images.
Given this execution uncertainty, NuScale's market cap still hovers around $4 billion despite lucrative long-term growth potential. When this uncertainty is lifted, expect the stock price to react strongly. Fortunately for NuScale investors, much of the company's execution uncertainty could be lifted as soon as this year.
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Time to buy NuScale Power stock? NuScale's biggest customer in its pipeline is the Tennessee Valley Authority (TVA), a major electric utility in the eastern U.S. The deal is actually being handled mostly by NuScale's financing partner, ENTRA1. But NuScale is the project partner providing the actual reactors.
In total, the TVA SMR system could be as large as 6 gigawatts. For comparison, the largest SMR system in existence today produces just 210 megawatts from two 105 MWe (megawatt electrical) reactor modules.
TVA signed a deal for the project last September. Importantly, nothing in the agreement was binding. In other words, TVA can pull out at any time. This makes the next major catalyst the signing of a power purchase agreement (PPA). PPAs are typically binding agreements that commit a utility to purchase power from a generation facility at a fixed price, often for years or decades. Signing a PPA ensures the facility's builders will be paid for their work, clearing the way for construction to begin.
When might a PPA be signed? "We're hopeful that TVA can come across the line at some point later this year," NuScale's CFO commented in May, speaking about the potential for a PPA. NuScale expects to move quickly once a deal is finalized. "We're in a mode right now that as soon as these PPAs are finalized, we're ready to move. By move, I mean enter into, start to call a position, start the front-end engineering design, and initiate the OEM contracts or negotiations," NuScale's CEO added in August.
If a PPA is signed, there should be plenty of upside for NuScale stock relative to today's prices. I wouldn't be surprised to see shares surpass their previous 2026 highs of around $20, implying more than 100% in potential upside. That's how heavily the market seems to be pricing in uncertainty surrounding the deal.
Pricing in that much uncertainty is reasonable given NuScale's past failures and the relative immaturity of the SMR sector overall. But a PPA would provide critical momentum to NuScale's struggling stock price, validating its business model and designs in an unprecedented way.
NuScale Power's (SMR -4.62%) stock market value stands near $4 billion as of this writing. Nearly all of it rests on one program: the Tennessee Valley Authority's plan to add up to 6 gigawatts of nuclear power built on NuScale's small modular reactors. That could mean about 72 of the company's 77-megawatt modules -- the largest deployment of its kind in U.S. history if it converts.
But the agreement behind that program was signed by TVA and ENTRA1 Energy, NuScale's exclusive commercialization partner. NuScale wasn't a party to it.
That detail, I'd argue, matters more than it seems, because the structure of the arrangement determines what a landed contract actually pays NuScale. And based on the companies' own releases and filings, what NuScale stands to collect is narrower than the growth stock's moves on TVA news suggest.
Image source: Getty Images.
ENTRA1 owns the plantsUnder the announced structure, ENTRA1 would develop, finance, own, and manage the plants (it brands them ENTRA1 Energy Plants) and sell the electricity to TVA under future power purchase agreements.
NuScale, meanwhile, is named the key supplier of that reactor technology (the only small modular reactor design approved by U.S. regulators). They also hold ENTRA1 NuScale, a 50/50 joint venture the two companies formed.
The scale explains the market's interest. TVA and ENTRA1 say the program could power the equivalent of about 4.5 million homes, or 60 new data centers, at a time when artificial intelligence (AI) and other energy-hungry technologies are pushing electricity demand higher.
Importantly, the September 2025 agreement between TVA and ENTRA1 is non-binding. NuScale said earlier this month that ENTRA1 "continues to advance discussions" with TVA toward a definitive power purchase agreement.
Until one is signed, nothing is contracted.
So NuScale's role, if the program converts, is that of a supplier -- selling modules into plants someone else owns, while that someone else collects the power revenue.
NuScale pays as the deal advancesInterestingly, at this stage the money is moving from NuScale to its partner. Under a Partnership Milestones Agreement the companies signed in August 2025, NuScale owes ENTRA1 payments as the program hits milestones. And the first one has already come due.
When ENTRA1 reached its non-binding agreement covering 72 modules, NuScale recorded a $507.4 million expense for that first milestone, which its filings describe as 15% of the total. The company paid $247.5 million of it in 2025 and another $259.9 million in the first half of this year. Largely as a result, NuScale's operating cash outflow reached $372.9 million in the first half of 2026, up from $56.1 million in the same period a year earlier.
And bigger payments are still ahead.
A binding power purchase agreement (the very milestone investors are waiting for) triggers the second payment, worth 35% of the total. If the 72-module scope holds, the math puts that second payment near $1.2 billion. A third tranche, worth half the total, comes only with an actual module order.
For scale, NuScale's revenue in the second quarter of 2026 was $75,000. Not $75 million -- $75,000, down from $8.1 million in the year-ago quarter, most of which came from a single related-party project. The company produces no net income either, with its loss over the past 12 months topping $400 million. Revenue, in other words, is shrinking while the payments to its partner climb.
To be fair, the company holds $1.9 billion in cash and investments, though it raised about $962 million of that by selling new stock in the second quarter alone. And on Aug. 11, it opened another program to sell up to $750 million more.
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What does a landed contract pay?An order for dozens of modules would, to be sure, transform NuScale's revenue line -- a business measured in billions of dollars, and the order book NuScale has spent two decades working toward. And the $1.9 billion of liquidity can likely cover that second payment.
But the terms shape how profitable that business can be. NuScale's filings say the milestones agreement includes "a negotiated maximum sale price" for each module delivered into an ENTRA1 project (a ceiling on pricing, set before any order exists). ENTRA1 also retains sole and full discretion to select, contract with, or purchase from NuScale.
My stance on this stock hasn't changed. I'd stay on the sidelines. A signed power purchase agreement would be a milestone for the industry, and the stock would likely rally on one. But it would also trigger a payment near $1.2 billion from NuScale to its partner, with module revenue arriving years later at a capped price. Before buying the stock at today's valuation, I'd want to see the terms of an actual module order -- what NuScale earns per reactor, not just when the reactors get built. Until then, the deal driving this stock belongs mostly to someone else.
As artificial intelligence and data centers drive massive demand for electricity, investors are choosing between two very different power providers. Bloom Energy Corp (BE -3.24%) and NuScale Power Corp (SMR -4.62%) offer unique solutions for this energy transition.
Bloom Energy provides on-site power systems using solid oxide fuel cell technology, while NuScale Power is developing small modular reactors for carbon-free nuclear energy. Choosing between them requires weighing established revenue against high-potential innovation.
The case for Bloom EnergyBloom Energy manufactures and installs onsite power systems known as Bloom Energy Servers, which provide clean and reliable electricity for large commercial users. The company has pivoted aggressively toward serving the artificial intelligence infrastructure and semiconductor manufacturing sectors, where stable power is a critical requirement. Notable strategic partners include American Electric Power Co (AEP -0.33%) and Brookfield Corp(BN -0.24%), which recently established a $5 billion framework to finance clean energy deployments.
In FY 2025, revenue reached more than $2 billion, representing approximately 37% growth over the prior year. Despite this strong top-line performance, the company reported a net loss of roughly $88.4 million. This results in a negative net margin of about 4.4%, which is a measure of how much profit a company retains from its total sales. This loss was significantly narrower than the prior year, suggesting a move toward profitability as the company scales its operations among industrial stocks.
As of its December 2025 balance sheet, the debt-to-equity ratio was approximately 3.9x. This ratio measures a company's total debt relative to the value of its shareholders' equity, and a higher number indicates more financial leverage. The company maintains what is called the current ratio of roughly 6x, which shows it has six times more short-term assets than short-term liabilities. Free cash flow for the year reached roughly $57.2 million. Free cash flow equals cash flow from operations minus capital expenditures, and a positive result means the business generated more cash than it spent on equipment.
The case for NuScale PowerNuScale Power is working to commercialize proprietary small modular reactor technology, which aims to provide carbon-free nuclear power at a smaller scale than traditional plants. The company focuses on global markets for electricity generation, data centers, and hydrogen production. Currently, NuScale has not entered into any binding contracts for the delivery of its power modules. It relies heavily on strategic partners like ENTRA1 and the Tennessee Valley Authority (TVC -0.35%) to move its projects from the design phase toward actual deployment.
During FY 2025, the company generated revenue of approximately $31.5 million, which was a decrease of nearly 15% from the previous year. NuScale reported a wider net loss of close to $356 million for the same period. This led to a deeply negative net margin of approximately 1,130.3%, indicating that operating costs and research spending far exceed current sales. Because the company is still in the early stages of commercializing its nuclear technology, these heavy losses are expected as it navigates regulatory hurdles.
As of its December 2025 balance sheet, the company had a debt-to-equity ratio of 0.0x, meaning it carried no total debt relative to its equity. Its sold-called current ratio was approximately 4.3x, which suggests a healthy ability to meet its immediate financial obligations. However, free cash flow for FY 2025 was negative at more than $460 million. This negative cash flow reflects the high capital intensity of developing nuclear technology without having a finished product generating recurring revenue for the business.
Risk profile comparisonBloom Energy faces risks related to its status in the emerging hydrogen and distributed energy markets, where demand may not meet expectations. The company is currently dealing with multiple securities class action lawsuits filed in 2026. These suits allege that Bloom made misrepresentations regarding its supply chain, specifically concerning the sourcing of materials linked to China. Furthermore, the business relies heavily on government incentive programs and faces intense competition from established utilities and other modular power providers.
NuScale Power carries significant risk because it has no material revenue and has not delivered a single power module to a customer. The company is also involved in 2026 class action litigation regarding the qualifications of its partner, ENTRA1. Financial stability is a concern due to recurring net losses and large cash payment obligations that must be met even if no revenue-generating contracts are signed. NuScale also faces competition from well-funded modular reactor developers based in Russia and China.
Valuation comparisonBloom Energy offers an established revenue base and a calculable Forward P/E, while NuScale Power remains a pre-revenue speculative play with a much higher sales multiple.
MetricBloom EnergyNuScale PowerForward P/E84.0xn/aP/S ratio19.4x234xValuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
Bloom Energy's core product is its Energy Server, a stand-alone power source for commercial and industrial customers. The Energy Server is based on solid oxide fuel cell technology and runs on natural gas, biogas, or hydrogen. Natural gas has historically been the dominant fuel, despite Bloom being heralded as a clean energy business in its early days.
The business aims to lower its cost of production by about 10% a year to attract more customers (its main markets are the U.S. and Korea). The AI datacenter boom is a tailwind for Bloom, which should see revenue leap 85% to $3.75 billion in fiscal 2026. That has Wall Street expecting a swing to net income of about $440 million.
Turning to NuScale Power, the U.S. federal government has been encouraging the development of small nuclear reactor designs since the Biden administration, with the goal of smaller, easier, and cheaper to build reactors that potentially could bring power to places currently relying on trucked-in diesel, such as remote Alaskan towns and U.S. military bases.
There are other companies developing small modular reactors, but NuScale has some advantages. NuScale remains the only SMR company to have received design certification from the U.S. Nuclear Regulatory Commission, including standard design approvals for two of its designs. The NRC's design certification is the global gold standard for nuclear safety, and getting it takes years. NuScale's reactors will operate on standard low-enriched uranium, a proven fuel source available today from established suppliers worldwide. Other designs use a more refined form of uranium called HALEU, which offers some advantages but is less widely available on the market.
But significant sales for NuScale are years away. Wall Street sees revenue ticking down to the $20 million range this year, with wide losses. Bloom is less exciting and has plenty of fuel cell competitors, but it has an established revenue base, and AI data center demand could goose the business sooner than later. Go with Bloom Energy.
NuScale Power (SMR -4.62%) is a nuclear energy stock specializing in small modular reactors, or SMRs. There has been a surge of interest in SMRs in recent years, given their status as a potential antidote to the AI industry's rapidly rising energy needs.
SMRs are essentially miniature nuclear power plants that can be built faster and at a lower upfront cost than traditionally sized nuclear reactors. At least, that's what SMR developers are claiming.
"No developers outside China and Russia have yet completed a commercial version of what's known as a small modular reactor, or SMR," warns The Wall Street Journal. So how the SMR space evolves and whether the industry's cost and efficiency gains can be validated in real life remain to be seen.
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NuScale Power's upcoming catalyst could energize the entire SMR industry Uncertainty surrounding the industry's fate has weighed heavily on SMR stocks. NuScale's stock price has fallen by more than 40% in 2026. The uncertainty stems from several factors.
First, as The Wall Street Journal stresses, only two SMR systems are currently active worldwide. We still don't know whether these systems will ever see mass adoption.
Second, the industry has already faced massive contract failures. In 2023, for example, NuScale experienced a major project cancellation, forcing one industry analyst to predict that the "collapse of NuScale's project should spell the end for small modular nuclear reactors."
Finally, SMR stocks like NuScale and Oklo Inc. (OKLO -5.62%) have never turned a profit. Negative cash flows are expected to continue in the near future, putting the financial viability of these businesses in question.
Lifting these uncertainties would go a long way in revitalizing the stock prices of major SMR developers like NuScale and Oklo. Fortunately, a catalyst that could relieve some of the uncertainty could be on the way by the end of 2026.
Image source: Getty Images.
Last September, NuScale's financing partner, ENTRA1, partnered with the Tennessee Valley Authority -- a major U.S. utility -- to build a 6-gigawatt SMR system. If built, it would be the largest in the world. Why, then, have NuScale shares fallen by 75% since the announcement? Because of the aforementioned uncertainty. The market seemingly doesn't buy that this system will ever be built. That's a fair assumption given NuScale's past failures.
A power purchase agreement (PPA) would dramatically change market sentiment. PPAs are legally binding agreements that commit a customer to buying power from a facility at a preset price, often for years or decades to come. If a PPA is signed, NuScale can be assured of future revenue, and thus can begin project construction. NuScale's CFO hopes to have a PPA finalized by the end of this year.
A PPA would likely buoy NuScale's stock price. With proof that customers are willing to legally commit large amounts of capital, it would also send confidence throughout the rest of the SMR industry. The signing of this PPA could, in hindsight, be seen as a major catalyst for the long-term adoption of SMR systems.
The long-term growth story for nuclear power is clear. Artificial intelligence (AI) companies are scaling energy-intensive data center infrastructure as quickly as humanly possible. And the current energy grid isn't prepared for this unprecedented build-out. New energy sources will be needed quickly, and nuclear energy could deliver the reliable, low-carbon baseload power the AI industry craves.
NuScale Power (SMR +3.64%) has long appreciated this data center infrastructure demand tailwind. The company's small modular reactors (SMRs) are a great fit for adding large amounts of reliable power generation to the grid.
Image source: The Motley Fool.
This year, however, I think there's an even more exciting catalyst to pay attention to than general industry demand tailwinds.
NuScale Power could reach this critical milestone in 2026 NuScale remains the only nuclear developer in the U.S. approved by regulators to build an SMR system. But it has yet to even commercialize its approved designs. That could change later this year when the company suspects it could reach a power purchase agreement (PPA) with a major customer.
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Earlier this year, NuScale's CFO predicted that a PPA could be signed by the Tennessee Valley Authority (TVA). The TVA has agreed to pursue a 6-gigawatt SMR system, but has yet to make any firm financial commitments. A PPA would essentially commit the utility to buying power from the system at a set price for years to come, paving the way for NuScale to begin construction.
If a PPA is signed, it would be hard to overstate its importance to NuScale's business model and stock price. NuScale shares have lost 40% of their value in 2026, largely due to waning investor enthusiasm over its project pipeline. A firm commitment from the largest customer in its pipeline would sizably shift sentiment.
Whether a PPA is signed this year remains to be seen. But this potential catalyst will, should it occur, drive the company's stock price this year far more than long-term demand tailwinds for nuclear power in general.
Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
Bullish option flow detected in Nuscale Power Corp with 36,675 calls trading, 2.0x expected, and implied vol increasing over 4 points to 81.04%. Aug-26 9.5 calls and 8/28 weekly 10 calls are the most active options, with total volume in those strikes near 10,000 contracts. The Put/Call Ratio is 0.36. Earnings are expected on November 5th.
Key Takeaways X-Energy secured HALEU enrichment agreements and expanded its graphite supply relationship in Q2 2026.Its Oak Ridge fuel campus could provide greater visibility over a critical component for future projects.X-Energy ended Q2 with $1.9B of liquidity and no debt while advancing reactor and fuel projects. X-Energy, Inc. (XE - Free Report) is positioning its fuel and supply-chain capabilities as key competitive advantages as it works to commercialize its Xe-100 small modular reactor. During second-quarter 2026, the company secured long-term agreements for high-assay low-enriched uranium (HALEU) enrichment services from Centrus Energy and General Matter and expanded its graphite supply relationship with SGL Carbon. These agreements address some of the key material requirements for scaling advanced nuclear reactors.
The company is also developing its TRISO-X fuel manufacturing campus in Oak Ridge, TN. Building fuel production capacity alongside its reactor technology could give X-Energy greater visibility over a critical component of its future projects. The strategy is particularly important because advanced nuclear developers face limited supplier capacity for specialized materials and HALEU.
X-Energy received approval to extend its DOE Advanced Reactor Demonstration Program budget period through March 2027, supporting continued work on the Xe-100 design, the first commercial advanced nuclear plant with Dow in Seadrift, TX, and the TX-1 fuel facility. However, X-Energy's filing notes that changes in government funding, tax incentives or energy policy could affect the economics and demand for its technology.
XE ended the quarter with approximately $1.9 billion of liquidity and no debt, giving it the financial flexibility to continue funding reactor development, fuel manufacturing, and commercial projects. Its reported pipeline comprises 144 reactors, representing approximately 11.5 gigawatts (GW) of potential capacity.
Overall, X-Energy's progress suggests that controlling fuel and critical materials could be as important as reactor design itself as the SMR industry moves toward commercialization.
Companies Benefiting From the TrendThe broader nuclear renaissance is creating opportunities across multiple parts of the nuclear value chain. Centrus Energy (LEU - Free Report) is particularly well positioned because it is expanding uranium enrichment capabilities and developing HALEU production, a specialized fuel required by many advanced reactor designs, including X-Energy’s technology. NuScale Power (SMR - Free Report) provides exposure to the development and commercialization of advanced small modular reactors, targeting growing demand for reliable, low-carbon electricity.
XE Stock’s Earnings EstimatesThe Zacks Consensus Estimate for 2027 earnings per share indicates an increase of 27.46% year over year.
Image Source: Zacks Investment Research
XE Stock Trading at a PremiumXE is trading at a premium relative to the industry, with a forward 12-month price-to-sales of 12.43X compared with the industry average of 5.14X.
Image Source: Zacks Investment Research
XE Stock’s Price PerformanceIn the past three months, the company’s shares have lost 34.2% compared with the industry’s 9.1% decline.
NuScale Power (NYSE:SMR) stock is down 6% Tuesday to $8.66 as the small modular reactor developer digests a Q2 2026 revenue collapse and a fresh $750 million equity offering. The move extends a difficult stretch for the stock, which was already down 35% year to date through Monday’s close.
The broader nuclear complex is also lower midday. Oklo (NYSE:OKLO | OKLO Price Prediction) stock is down 5% to $41.62, BWX Technologies (NYSE:BWXT) stock is declining 2% to $167.41, and Fluor (NYSE:FLR) stock is slipping 2% to $53.59.
Revenue Collapse and a Fresh Share Sale Weigh on Shares NuScale reported Q2 2026 revenue of $75,000, down 99.1% year over year from $8.05 million. The drop reflects completion of the Fluor FEED Phase 2 engineering work on the RoPower project in late 2025, with no comparable billable scope to replace it.
The company ended the quarter with $1.9 billion in cash and investments, a $900 million jump from Q1 2026. That liquidity came largely from $984.5 million in net equity proceeds during H1 2026. Class A share count rose from 318.5 million at year-end 2025 to 410.4 million by June 30.
On August 11, NuScale filed to sell an additional $750 million in shares through an at-the-market offering. SMR stock trades at roughly 14 times projected 2028 sales, and insiders were net sellers over the past 12 months.
Revenue Lumpiness Versus the Long Game CEO John Hopkins framed the quarter around execution readiness, declaring, “We hold the only U.S. Nuclear Regulatory Commission design certification in the SMR industry… No one is better positioned to deliver carbon-free, 24/7 power on the shortest possible timeline.”
NuScale doesn’t expect commercial SMR deployment until the early 2030s. The company’s interim revenue depends on lumpy front-end engineering, licensing, and consulting work, so the 99.1% decline reflects contract timing more than business erosion. Named projects include a 462 MWe deployment at a former coal site in Doicesti, Romania and up to 6 GW of planned capacity across seven states for the Tennessee Valley Authority.
Peers Show a Category Split Year-to-date figures reveal the real market judgment. NuScale stock is down 35% and Oklo stock is down 39% through Monday’s close, while BWX Technologies stock sits roughly flat at down 0.5% and Fluor stock is up 38%. Markets are separating nuclear names earning revenue today from those promising reactors next decade.
The Fluor angle is the sharpest detail. Fluor was NuScale’s EPC partner and largest shareholder, yet Fluor completed monetization of its stake in April 2026 while keeping the contracting relationship. That separates confidence in the technology from willingness to hold the equity. BWX Technologies contrasts as a revenue-generating supplier with more than 11,000 employees and 19 manufacturing facilities.
Centrus Energy (NYSE MKT:LEU) stock, from the only publicly traded proven uranium enricher, is down 24% year to date through Monday’s close. Uranium and fuel-supply names have underperformed less severely than the pre-revenue SMR builders.
The ETF Backdrop Shares of the VanEck Uranium and Nuclear ETF (NYSE ARCA:NLR) are down 5% year to date through Monday’s close. The fund is weighted toward established nuclear utilities and fuel suppliers rather than pre-revenue developers, so the modest drop against NuScale’s and Oklo’s much larger declines makes it a poor proxy for SMR-specific risk (for investors who’d rather own the buildout than the developers, we lined up five nuclear names, utilities and fuel included, in a free report here). It’s a narrow thematic vehicle with meaningful concentration, and it isn’t leveraged.
Bull Case, Bear Case, and What to Watch NuScale’s bull case rests on $1.9 billion of liquidity, the sole NRC design certification in SMR, named TVA and Romania projects, and a supply chain of more than 60 specialized partners. The bear case is $75,000 of quarterly revenue, a share count that expanded sharply in six months with $750 million more filed, no deployment until the early 2030s, and insider selling. Given the pre-revenue profile and active dilution, position sizing in SMR stock should stay modest.
Traders can watch for the pace at which the at-the-market offering draws down. Meanwhile, shareholders may want to keep an eye on whether new FEED work fills the RoPower gap and whether TVA or Romania scopes convert into billable engineering.
Contact [email protected] for any questions or corrections.
Bank of America Corp DE increased its holdings in shares of NuScale Power Corporation (NYSE:SMR – Free Report) by 33.4% in the first quarter, according to its most recent disclosure with the SEC. The firm owned 2,062,232 shares of the company’s stock after purchasing an additional 516,097 shares during the period. Bank of America Corp DE owned 0.56% of NuScale Power worth $22,355,000 as of its most recent filing with the SEC.
A number of other institutional investors have also recently bought and sold shares of SMR. Vanguard Group Inc. boosted its position in NuScale Power by 40.5% during the fourth quarter. Vanguard Group Inc. now owns 15,545,018 shares of the company’s stock worth $220,273,000 after purchasing an additional 4,482,254 shares during the period. Van ECK Associates Corp raised its position in shares of NuScale Power by 117.8% in the fourth quarter. Van ECK Associates Corp now owns 11,515,561 shares of the company’s stock valued at $163,176,000 after purchasing an additional 6,227,747 shares during the period. Renaissance Technologies LLC bought a new position in shares of NuScale Power in the first quarter valued at about $59,141,000. Morgan Stanley lifted its stake in shares of NuScale Power by 81.0% during the 4th quarter. Morgan Stanley now owns 5,277,905 shares of the company’s stock worth $74,788,000 after buying an additional 2,361,532 shares during the last quarter. Finally, Samsung C&T Corp lifted its stake in shares of NuScale Power by 98.9% during the 3rd quarter. Samsung C&T Corp now owns 5,185,804 shares of the company’s stock worth $186,689,000 after buying an additional 2,578,702 shares during the last quarter. Institutional investors and hedge funds own 78.37% of the company’s stock.
Insider Activity In related news, COO Carl M. Fisher sold 18,771 shares of the stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $9.36, for a total transaction of $175,696.56. Following the sale, the chief operating officer owned 114,718 shares of the company’s stock, valued at $1,073,760.48. This represents a 14.06% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 1.28% of the company’s stock.
Key NuScale Power News Here are the key news stories impacting NuScale Power this week: Positive Sentiment: A potential agreement with the Tennessee Valley Authority could involve 6 to 8 gigawatts of NuScale-powered capacity. If finalized, the project could become a major commercial milestone and materially improve the company’s growth outlook. NuScale’s Potential TVA Deal Could Be 6 to 8 Gigawatts Positive Sentiment: NuScale is exploring industrial-heat applications for its small modular reactors, potentially supplying high-temperature steam to chemical, fuel and other industrial customers. This could broaden its addressable market beyond electricity generation, although commercial adoption remains unproven. Could Industrial Heat Unlock New Growth for NuScale Stock? Positive Sentiment: A memorandum of understanding with Curio and Framatome will evaluate fuel-recycling and advanced-fuel solutions using Curio’s NuCycle technology. The collaboration could support more secure, sustainable fuel supplies for future NuScale deployments, but it is still an evaluation rather than a firm contract. NuScale Advanced Fuel Recycling Collaboration Neutral Sentiment: Industry demand for new nuclear reactors is strong, but shortages involving uranium enrichment, pumps and other specialized equipment could delay deployments and raise project costs, creating execution risks for NuScale. The Bottlenecks of the Nuclear Fuel & Supply Chain Negative Sentiment: NuScale’s latest-quarter revenue fell roughly 99% to about $75,000 as previously completed FEED studies no longer contributed revenue. Although its cash balance increased by approximately $900 million, the improvement was driven largely by stock offerings, raising concerns about continued dilution and dependence on capital markets. NuScale’s Revenue Fell 99%. Its Cash Pile Grew By $900 Million. NuScale Power Stock Performance NYSE:SMR opened at $9.21 on Tuesday. NuScale Power Corporation has a 52 week low of $7.21 and a 52 week high of $57.42. The firm’s 50-day simple moving average is $9.40 and its 200 day simple moving average is $11.45. The firm has a market cap of $3.96 billion, a price-to-earnings ratio of -3.15 and a beta of 2.26.
NuScale Power (NYSE:SMR – Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported ($0.13) earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of ($0.13). NuScale Power had a negative net margin of 3,888.70% and a negative return on equity of 35.59%. The firm had revenue of $0.07 million for the quarter, compared to analyst estimates of $8.80 million. During the same quarter in the prior year, the business posted ($0.11) EPS. The business’s revenue was down 99.1% compared to the same quarter last year. Sell-side analysts anticipate that NuScale Power Corporation will post -0.43 EPS for the current year.
Analyst Upgrades and Downgrades Several analysts recently commented on the stock. B. Riley Financial reduced their target price on shares of NuScale Power from $19.00 to $15.00 and set a “buy” rating for the company in a report on Friday. Truist Financial began coverage on shares of NuScale Power in a research report on Monday, July 13th. They set a “hold” rating and a $10.00 price objective for the company. Canaccord Genuity Group reduced their price objective on NuScale Power from $25.00 to $15.00 and set a “buy” rating for the company in a report on Thursday, August 6th. Citigroup reduced their price objective on NuScale Power from $7.50 to $6.50 and set a “sell” rating for the company in a report on Thursday, August 6th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of NuScale Power in a research report on Wednesday, June 24th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, nine have issued a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $13.50.
Check Out Our Latest Stock Analysis on NuScale Power
NuScale Power Company Profile (Free Report)
NuScale Power Corporation, trading on the NYSE American under the ticker SMR, is a pioneering developer of small modular nuclear reactors. Established in 2007 as a spinout from Oregon State University, the company is headquartered in Portland, Oregon. NuScale’s mission is to deliver zero-carbon baseload power through scalable modular reactor technology, aiming to transform traditional nuclear energy deployment.
At the core of NuScale’s offering is the VOYGR small modular reactor design, featuring 77-megawatt electric (MWe) modules with passive safety systems.
See Also Five stocks we like better than NuScale Power Commodities Are Booming, But These 3 ETFs Tell Different Stories 3 Active ETFs Making Big Moves in August This ETF Is Outperforming by Avoiding the S&P 500’s Biggest Problem Birkenstock Beats the Skeptics—But Not on EPS Want to see what other hedge funds are holding SMR? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for NuScale Power Corporation (NYSE:SMR – Free Report).
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NuScale (SMR -2.13%), a developer of small modular reactors (SMRs), posted its second-quarter results on Aug. 5. Its revenue plunged 99% year over year to just $75,000, but it ended the quarter with $1.9 billion in cash, cash equivalents, and liquid investments. That was an increase of $900 million from the first quarter and a near four-fold jump from a year ago. Let's see why NuScale's liquidity matters more than its declining revenue.
Why is NuScale's revenue growth so lumpy? NuScale's SMRs are much smaller than conventional nuclear reactors. They're prefabricated to reduce the time, labor, and costs for building a nuclear power plant. A single SMR generates only 77 MWe, but it can be deployed with other reactors to construct higher-capacity plants. That modular flexibility makes its SMRs well-suited for remote areas.
Image source: Getty Images.
NuScale is working with Fluor (FLR +4.53%) to deploy six of its 77 MWe reactors in a 462 MWe plant for Romania's RoPower, and plans to deploy up to six gigawatts of its SMR capacity across seven states in the U.S. for the Tennessee Valley Authority (TVA).
However, it doesn't expect to actually deploy any of those SMRs until the early 2030s. Until then, most of its revenue will come from its front-end engineering and design (FEED) studies, licensing fees, and consulting work for those upcoming projects.
In late 2025, NuScale concluded its FEED Phase 2 work on its RoPower project. Without any comparable projects to fill that void immediately, its revenue plummeted in the first half of 2026. That's why its revenue growth is lumpy and not a clear indicator of its future returns.
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Why does its liquidity matter more? Instead, its huge increase in liquidity during the second quarter deserves more attention. That increase is mainly attributable to its $984.5 million in net proceeds from stock offerings in the first half of 2026. To achieve that, NuScale increased its Class A share count from 318.5 million shares at the end of 2025 to 410.4 million shares at the end of the second quarter of 2026.
On Aug. 11, NuScale filed to sell an additional $750 million in shares through an at-the-market offering. That dilution will continue for the foreseeable future, since its revenue growth is lumpy, it's racking up steep losses, and it won't deploy its first commercial SMRs until the next decade.
That's not a great look for a stock that still trades at 14 times its projected 2028 sales. That's also probably why its insiders were net sellers over the past 12 months, and why investors should carefully assess how quickly NuScale is actually burning through its cash.
Key Takeaways NuScale Power's 250-MWt module can produce 8,883 metric tons of steam daily at full power.NuScale Power's reactor supplies more than 86% of the energy needed to produce the required industrial steam.NuScale Power and Ebara Elliott Energy target a commercial-scale steam compressor project by 2027. NuScale Power Corporation (SMR - Free Report) is looking to use its small modular reactors for more than electricity generation. The company also wants to supply clean heat to industrial facilities. Industries such as chemicals, fertilizers, plastics and fuels use large amounts of high-temperature steam, which is often produced using fossil fuels. NuScale’s 250-megawatt-thermal Power Module can produce 8,883 metric tons of steam per day at full power. Its modular design also allows customers to use more or fewer modules based on their heat requirements.
NuScale’s system includes a heat-augmentation process that increases the temperature of reactor-generated steam to meet industrial needs. The steam first passes through an intermediate heat exchanger, which keeps the reactor coolant separate from the steam used by the industrial facility. Commercial compressors and heaters then raise the temperature and pressure of steam. For steam at 500°C, NuScale’s reactor provides more than 86% of the required energy, while the remaining 14% comes from the compression and heating system.
This technology could expand the potential market for small modular reactors beyond electricity generation. About 70% of U.S. industrial heat demand is for applications below 500°C, including chemical production, distillation and catalytic reforming. NuScale is also working with Ebara Elliott Energy on a commercial-scale steam compressor designed to produce 60,000 pounds of steam per hour at 500°C. The project is expected to be completed in 2027 and followed by field testing. If successful, it could demonstrate how small modular reactors can provide a lower-carbon alternative to fossil-fuel-based industrial steam.
The opportunity to decarbonize industrial energy demand is also attracting other advanced nuclear developers. As companies pursue smaller and more flexible reactor designs, applications that combine reliable electricity with high-temperature heat could broaden the addressable market for nuclear power.
Other Nuclear Developers Target Heat and Power Applications
NANO Nuclear Energy (NNE - Free Report) is targeting applications where reliable, high-temperature energy can support power-intensive industrial operations. NANO Nuclear Energy says its KRONOS MMR uses high-temperature gas-cooled reactor technology and is designed for deployment across data centers, industrial and defense-related customers. Its compact, modular architecture and use of TRISO fuel could support colocated or off-grid applications. NANO Nuclear Energy is also building partnerships to support future commercial deployment.
Meanwhile, Oklo Inc. (OKLO - Free Report) is taking a similar approach by designing its Aurora powerhouses to provide both electricity and usable heat. OKLO sees this combination as part of a broader integrated nuclear platform spanning power, fuel and isotopes. OKLO is already developing an Aurora application at Eielson Air Force Base that is intended to supply electricity and heat, demonstrating how advanced reactors could serve facilities with simultaneous thermal and power requirements. OKLO also plans to own and operate these assets.
The Zacks Rundown on NuScale Power
Shares of SMR have lost some 34% over the past six months.
Image Source: Zacks Investment Research
NuScale Power currently has an average brokerage recommendation of 2.58 on a scale of 1 to 5 (Strong Buy to Strong Sell), calculated based on the actual recommendations (Buy, Hold, Sell, etc.) made by 19 brokerage firms.
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See how the Zacks Consensus Estimate for SMR’s earnings has been revised over the past 90 days.
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The company currently carries a Zacks Rank #2 (Buy).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
NuScale Power (SMR -4.67%) has spent years talking about the future of small modular reactors. Now, management believes that the future could arrive in a very big way.
During its second-quarter earnings call, CEO John Hopkins said NuScale's strategic partner, ENTRA1 Energy, continues advancing discussions with the Tennessee Valley Authority (TVA) toward what could become the largest nuclear power deployment program in U.S. history. The proposed project could eventually range from 6 to 8 gigawatts of generating capacity, which would be much larger than any previous small nuclear reactor (SMR) deployment envisioned in the United States.
To put that into perspective, the largest traditional nuclear power plant in the U.S. has four operational reactors and a total generating capacity of 4.65 to 4.8 gigawatts. In other words, this SMR deployment could be massive.
Image source: Getty Images.
Reducing risk and project costs To be sure, NuScale isn't simply selling reactors. The company is trying to establish a new way of building nuclear power plants using factory-built modules that can be deployed quickly and expanded over time.
Its latest VOYGR design uses 77-megawatt reactor modules that can be combined into larger power stations depending on customer demand. Because the modules are standardized, management believes construction risk and project costs can be reduced compared with traditional large-scale nuclear plants.
Indeed, this is becoming increasingly important as utilities, industrial manufacturers, and artificial intelligence (AI) data center developers are all searching for reliable, carbon-free electricity. While wind and solar continue to expand, nuclear also provides clean, dependable power.
NuScale says it's ready One of management's biggest messages during the earnings call wasn't about demand. It was about preparation. Hopkins argued that NuScale has spent years completing the engineering, regulatory approvals, fuel arrangements, and supplier agreements needed before construction begins.
The company remains the only SMR developer with U.S. Nuclear Regulatory Commission design certification, and management says more than half of its critical supply chain partners are already under contract. Fuel supplier Framatome, heavy-forging manufacturer Doosan Enerbility, and dozens of additional suppliers are already part of NuScale's commercial network.
The company also ended the second quarter with $1.9 billion in cash, cash equivalents, and investments, giving it financial flexibility as it moves toward commercialization.
That said, at first glance, NuScale's quarterly financial results don't look all that impressive. Q2 revenue totaled just $75,000, down sharply from $8.1 million a year earlier. The company also reported a quarterly net loss of approximately $47.5 million.
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For a company at NuScale's stage, however, current revenue isn't the primary metric worth watching. Instead, you also need to focus on whether NuScale can convert years of engineering work into commercial reactor deployments. A definitive agreement with TVA would represent the company's biggest validation yet and could demonstrate that utilities are prepared to move beyond feasibility studies and into construction.
The opportunity is enormous, but so is the challenge Management's confidence is understandable. A successful 6- to 8-gigawatt TVA deployment would establish NuScale as the clear commercial leader in the U.S. small modular reactor market and could serve as a blueprint for additional projects nationwide. It would also validate years of investment in regulatory approvals, manufacturing partnerships, and engineering development.
But these discussions are still just that -- discussions. No definitive power purchase agreement has been signed, project economics still need to be finalized, and large nuclear projects have historically faced delays, cost overruns, and political hurdles.
Still, the potential scale of the opportunity is difficult to ignore. If the TVA project ultimately moves forward anywhere close to management's expectations, it wouldn't simply represent another NuScale contract. It would mark one of the most ambitious nuclear construction programs the United States has undertaken in decades, and one that could reshape how future nuclear power plants are built.
A $10,000 investment in NuScale Power (SMR -4.67%) made at the stock's 52-week high of $57.42 last October is worth about $1,650 as of this writing, with shares near $9.50. That's a loss of about five-sixths of the money in about 10 months.
The slide hasn't been a straight line, though. Shares started 2026 above $16, rallied above $20, and have since fallen by more than half.
The small modular reactor (SMR) developer still holds the only SMR design certified by U.S. regulators. What changed is nearly everything around it.
Image source: Getty Images.
Between the two prices Revenue effectively stopped. The second quarter brought in $75,000. A year earlier, the same quarter produced $8.1 million, most of it engineering fees from the company's Romanian project. That work finished in late 2025, and nothing has been signed to replace it.
The share count kept climbing. A year ago, NuScale's results were spread across a weighted average of about 133 million Class A shares. This past quarter, that figure was about 365 million.
And on Aug. 11, the company filed to sell up to $750 million more stock over time. Selling shares is how NuScale funds itself, and its $1.9 billion in cash and investments was raised largely that way. That cash removes any near-term funding worry.
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Meanwhile, the orders that would justify October's price stayed pending. The Tennessee Valley Authority remains in discussions with NuScale's commercialization partner toward a power purchase agreement the company says could become the largest nuclear deployment program in U.S. history. Those talks aren't a contract. Romania's six-module RoPower project is still working through conditions attached to a shareholder vote.
To be fair, NuScale has met milestones along the way: an updated design approval from regulators in May 2025, and a supply chain of more than 60 partners, by the company's count. The design and the balance sheet have held up.
However, even after an 83% drop, the company's market value sits near $4.1 billion -- against about $10.7 million of trailing revenue. The valuation no longer assumes everything goes right, the way it arguably did at $57. It still assumes the orders eventually come. Until a contract actually arrives, that assumption is the whole investment case.
NuScale Power (SMR +2.71%) is worth about $4.2 billion at today's stock price. Its revenue over the past 12 months totals about $10.7 million.
With a gap that wide, the market is paying for what the small modular reactor (SMR) developer might build (reactors for the utilities and artificial intelligence (AI) data-center operators now shopping for around-the-clock power), not for anything it sells today. That isn't automatically a mistake, of course. But the United States has run the new-reactor experiment before, recently, and the results are worth having in hand before paying for this one.
Image source: The Motley Fool.
The 26-to-2 record In the late 2000s, the United States launched what was called a nuclear renaissance. By mid-2009, utilities had filed combined license applications with the U.S. Nuclear Regulatory Commission (NRC) for 26 new reactors at 17 sites.
Two of them were finished.
Georgia's Vogtle Units 3 and 4, originally estimated at $14 billion and expected in service in 2016 and 2017, entered commercial operation in July 2023 and spring 2024. The final cost was more than $30 billion. Seven years late, more than double the money.
South Carolina's V.C. Summer expansion got far enough to start construction before its utilities halted the project in 2017. The rest never produced an operating reactor. Some were withdrawn or suspended, and several won licenses only to be left to lapse. And when Vogtle's second new unit entered service in 2024, no other reactor was under construction anywhere in the country.
The failure mode wasn't the technology. Nuclear projects died in the delivery -- the years and the billions between an application and a working plant.
NuScale's answer NuScale's pitch is aimed at exactly that problem. Its 77-megawatt reactor modules are built in a factory rather than assembled on site, and they can be deployed in configurations of up to 12 modules per plant. The company holds the only SMR design certification the NRC has issued, and it received approval for an updated design in May 2025.
It also says it has built a supply chain of more than 60 partners and has executed over 30 supply agreements. But a 12-module plant tops out at 924 megawatts -- less than a single new Vogtle unit produces.
"[T]he question for off-takers is no longer whether to go with nuclear -- it is which technology can actually deliver, and when," CEO John Hopkins said in the company's second-quarter release.
The financials, however, describe a company still waiting for its market to arrive. Second-quarter revenue came in at $75,000, down from $8.1 million a year earlier, when NuScale was still collecting engineering fees from its Romanian project work. That work wrapped up in late 2025, and revenue for the first half of 2026 totaled just $640,000. The company's second-quarter net loss attributable to its Class A shareholders was $47.5 million.
NuScale does hold $1.9 billion in cash and investments, so it can fund itself for years to come. But that cushion has come from shareholders. The weighted-average Class A share count nearly tripled year over year, to about 365 million shares, and the company added a new $750 million at-the-market stock sale program on Tuesday.
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Two deals, both pending To me, the last cycle sets a clear test for a growth stock like NuScale: not interest, not agreements to study -- a signed, funded order.
Neither of NuScale's two lead opportunities has reached that line yet. The Tennessee Valley Authority is in discussions with ENTRA1 Energy, NuScale's commercialization partner, toward a definitive power purchase agreement the company says would potentially be the largest nuclear deployment program in U.S. history. And in Romania, the six-module RoPower project, the most advanced SMR effort in Europe by NuScale's description, is still working through conditions attached to a shareholder vote to advance it.
Both could get there. Sure, this cycle has something the last one lacked: a new class of buyer in data-center operators, with urgent power needs and deep pockets. But the last boom had committed utilities, federal support, and 26 proposed reactors on file. It ultimately produced two reactors, both late and far over budget.
A $4.2 billion valuation on $10.7 million of trailing sales is arguably priced for the moment the orders arrive. In the last cycle, getting the order turned out to be the easy part.
NuScale (SMR -3.03%) could become a foundational company in the next nuclear era. Its advantage is not an exotic breakthrough, but a practical reactor built around proven technology, conventional fuel, and repeatable manufacturing. The upside could be enormous if it converts regulatory progress into operating plants and recurring orders.
Stock prices used were the market prices of Aug. 9, 2026. The video was published on Aug. 9, 2026.
Rick Orford has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy. Rick Orford is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link, they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
Key Takeaways NuScale's TVA opportunity could reach 6 GW, creating a path to major U.S. commercial deployment.Definitive power purchase agreements could trigger licensing, engineering and OEM negotiations.NuScale may reuse about 60% of prior U.S. licensing work to support a future domestic project. NuScale Power Corporation (SMR - Free Report) is approaching a potentially important commercial inflection point as ENTRA1 Energy advances discussions with the Tennessee Valley Authority toward definitive power purchase agreements. However, the stock has lost more than 75% over the past year, underscoring how much investor sentiment has weakened despite the company’s progress toward commercialization.
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A completed agreement could move NuScale beyond years of readiness spending and into licensing, front-end engineering and equipment negotiations, creating a clearer path to revenue before eventual module deliveries.
NuScale’s TVA Opportunity Could Reach Gigawatt ScaleThe ENTRA1-TVA collaboration contemplates up to 6 gigawatts of new nuclear capacity using NuScale technology. That scale makes the proposed program NuScale’s clearest route to a major U.S. commercial deployment and could create work across licensing, engineering and future module supply.
The broader advanced-nuclear market is also moving toward deployment. GE Vernova (GEV - Free Report) , through GE Vernova Hitachi Nuclear Energy, has the BWRX-300 under construction in Canada, while the U.S. Nuclear Regulatory Commission is reviewing TVA’s application for a BWRX-300 at Clinch River. Oklo Inc. (OKLO - Free Report) is developing fast-fission power plants and related fuel-cycle capabilities, underscoring the competition to convert nuclear technology into operating assets.
Image Source: NuScale Power Corporation
SMR Is Waiting for a Definitive Commercial TriggerManagement said in August 2026 that ENTRA1-TVA discussions were active and progressing. NuScale is prepared to begin licensing, front-end engineering and original equipment manufacturer negotiations once definitive agreements are completed.
That makes the power purchase agreement process a critical gateway. Until agreements are signed, the opportunity remains prospective, and the timing of meaningful project revenues remains uncertain.
NuScale Can Reuse Prior Licensing WorkNuScale estimates that about 60% of work from a previous U.S. combined construction and operating license application can be reused for a future domestic project. Management said this would be among the first initiatives after power purchase agreements are in place.
Reuse could reduce duplicated effort as a new customer project moves into site-specific licensing. It does not eliminate the regulatory process, but it gives NuScale a base of completed work that may help advance a U.S. project more efficiently.
SMR Has Invested Ahead of a Potential TVA DealNuScale has already spent to prepare for deployment. Detailed design work for critical-path components is substantially complete, and agreements are in place with more than half of its network of more than 60 specialized suppliers.
Long-lead material work in process reached $68.6 million at June 30, 2026. The company also ended the second quarter with about $1.9 billion in cash, cash equivalents and short- and long-term investments, providing capacity for working capital, supply-chain investment, design finalization and fuel-system readiness before substantial customer revenue arrives.
NuScale’s Ranking Adds Support but Not Contract CertaintyTVA could become the commercial trigger that shifts NuScale from readiness spending toward a larger revenue-producing program. The opportunity is sizable, but the investment case still depends on discussions becoming binding agreements and projects progressing through licensing and execution.
SMR currently carries a Zacks Rank #2 (Buy) and a Momentum Score of A, which support a constructive near-term view. Its Value Score of F, Growth Score of F and VGM Score of F are less favorable. The combination favors attention to near-term momentum while keeping contract conversion and execution risk central to the outlook.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Key Takeaways NuScale's approved reactor designs and supplier network provide a meaningful commercial head start.NuScale's 2027 revenue outlook depends on projects advancing into revenue-producing phases.NuScale trades at 28.6X forward sales, leaving little room for project delays or financing setbacks. NuScale Power Corporation (SMR - Free Report) has a credible path toward commercializing its small modular reactor technology, supported by U.S. regulatory approval, supplier readiness and ample liquidity. The opportunity is substantial, but so are the expectations embedded in the stock.
The key question is whether that head start can convert into binding customer agreements and recurring revenues fast enough to justify a valuation that already discounts major future progress.
NuScale Has Built a Meaningful Commercial Head StartNuScale’s 50-megawatt and 77-megawatt reactor designs have U.S. regulatory approval, while its technology uses commercially available low-enriched uranium. Detailed design work for critical-path components is substantially complete, and agreements are in place with more than half of its network of more than 60 suppliers.
The company ended the second quarter with about $1.9 billion in cash, cash equivalents and short- and long-term investments, giving it room to fund design finalization, fuel-system readiness and supply-chain work ahead of orders. GE Vernova (GEV - Free Report) , through GE Vernova Hitachi Nuclear Energy, is advancing the BWRX-300 small modular reactor, while Oklo Inc. (OKLO - Free Report) is building an advanced-nuclear platform spanning power, fuel and isotopes, reinforcing how execution is becoming the key differentiator across the sector.
SMR’s Revenue Outlook Requires a Major Step-UpThe Zacks Consensus Estimate projects 2026 revenues of about $33 million and 2027 revenues of about $183 million. That implies a sharp commercial step-up from a business that generated only $0.1 million in second-quarter 2026 revenues after RoPower front-end engineering work ended.
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Reaching that 2027 level depends on projects moving into revenue-producing phases. ENTRA1 and the Tennessee Valley Authority are still working toward definitive power purchase agreements, while RoPower requires financing before pre-engineering, procurement and construction work can resume.
NuScale’s Valuation Leaves Little Room for SlippageSMR trades at 28.6X forward 12-month sales, far above the 4.5X multiple for the Zacks sub-industry. The premium reflects investor willingness to pay for regulatory progress and future commercialization rather than current revenues.
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That leaves less room for project delays, financing setbacks or slower-than-expected licensing activity. Until customer agreements convert into sustained engineering, equipment and service revenues, much of the investment case rests on execution that has yet to be demonstrated at scale.
SMR’s Cash Strength Comes at a Dilution CostNuScale sold 86.6 million Class A shares during the second quarter for $962.1 million in gross proceeds. Class A shares outstanding rose to about 410.4 million at June 30, 2026, from 318.5 million at year-end 2025.
The balance sheet now provides substantial flexibility, but the funding came at a meaningful ownership cost to existing shareholders. If commercial projects require more capital before recurring customer cash inflows develop, additional equity issuance could create further dilution.
NuScale’s Ranking Supports Patience Over Valuation ChasingNuScale’s commercial position is stronger than its current revenue base suggests, but the valuation already assumes a sizable portion of that future opportunity. The setup favors watching contract conversion and project financing closely rather than treating regulatory readiness as sufficient proof of commercial success.
SMR currently carries a Zacks Rank #2 (Buy) and a Momentum Score of A, a constructive combination for near-term price action. Yet its Value Score of F, Growth Score of F and VGM Score of F show that the broader style profile remains weak. The ranking supports a favorable near-term view, while the Style Scores reinforce the need for discipline around valuation and execution.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Holding the distinction of being the first small modular reactor (SMR) developer with a U.S. Nuclear Regulatory Commission design approval hasn't been able to save NuScale Power (SMR +7.73%) from a rough start to 2026.
The nuclear energy stock slumped 16.1% in July according to data provided by S&P Global Market Intelligence, hitting a 52-week low near $7.21 on July 17 as market sentiment cooled on pre-revenue artificial-intelligence (AI) power plays.
By the end of July, NuScale shares had fallen 40% in the year. They're regaining some of the lost ground, though, in August so far. Could this be the turnaround point?
Image source: Getty Images.
What is happening with NuScale stock? The core problem with NuScale is that it is still developing SMRs. It doesn't have a binding customer contract yet, and doesn't expect to deliver its first nuclear power module – each of which is a self-contained reactor with a capacity to generate 77 megawatt electrical of power -- before 2031.
That's five more years to go to see the first commercial product from a company trading at a market capitalization of $4 billion after the steep fall.
Money has flowed out, not in. NuScale's revenue cratered in the first quarter as it wrapped up services on a project in Romania, leaving it with virtually no active revenue sources. Its losses swelled because of "milestone" payments to exclusive commercialization partner, ENTRA1 Energy. No one quite understood the nature of NuScale's agreement with ENTRA1 Energy, and some investors even filed class action lawsuits.
The one thing that could have changed the narrative -- a signed power purchase agreement (PPA)-- failed to materialize even in July, reminding investors that NuScale is still a "story" stock.
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Analysts turned cautious, too. Analysts from Barclays cut NuScale stock's price target to from $15 per share to $11 a share, while those from Canaccord Genuity slashed their price target to $15 apiece from $25 per share.
It keeps getting worse.
Is NuScale stock a buy now? When NuScale announced its second-quarter numbers in early August, the results confirmed Wall Street's worst fears. Revenue came in at a microscopic $75,000, down 99% year over year from $8.1 million. Losses continue to mount, and cash burn lingers.
Analysts from Citigroup slashed NuScale's price target to $6.50 per share from $7.50 per share after Q2 earnings.
For investors, NuScale's July fall highlights the gap between a long-term thesis and short-term reality. Clean, carbon-free energy is an undeniable growth market amid the AI build-out, and NuScale's regulatory design approval gives it an edge. However, until the company signs a PPA, it'll be a speculative and volatile ride.
Citigroup is an advertising partner of Motley Fool Money. Neha Chamaria 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 +7.73%) is still in the early stages of commercialization. The company's revenue fell 99% year over year to just $75,000 in the second quarter of fiscal 2026 (ending June 30, 2026), while its operating loss widened 49% to $64 million.
Image source: Getty Images.
However, the mismatch between today's business and what NuScale Power could eventually become is exactly what makes the stock interesting.
Why NuScale Power could scale NuScale Power uses familiar water-cooled reactor technology and conventional nuclear fuel, but in a smaller, simpler design. The company's small reactor modules can be factory-built and added over time, allowing customers to start smaller and expand later instead of committing immediately to one massive nuclear project.
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NuScale Power has already secured approval from the Nuclear Regulatory Commission for its reactor module, which can generate 77 megawatts (MW) of electricity. The company expects to earn revenue from technology licenses, reactor equipment, engineering, and services that can begin about five years before a plant starts operating and continue throughout its life. Customers are also expected to pay for module manufacturing as it begins, which could reduce the amount of working capital NuScale Power needs to provide.
NuScale Power needs repeat orders The Department of Energy estimates that repeat advanced nuclear projects could cut capital costs by about 40%, while five to 10 projects using the same design could help support commercial-scale production.
NuScale Power's planned Doicesti project in Romania could become its first major commercial project. The company has completed a major engineering phase on schedule and under budget, although key financing and commercial terms remain unresolved. Hence, the next challenge is proving that customers can finance their reactors at competitive prices.
At about $9.77 per share (as of Aug. 7, 2026), NuScale Power had a market capitalization of $4.2 billion. The stock trades at about 28.6 times forward one-year sales, indicating that investors are already paying a premium for future growth.
NuScale Power ended Q2 with roughly $1.9 billion of liquidity after raising about $984 million through common stock issuance during the first half of 2026. A fivefold return would require a market value of about $21 billion. Analysts expect the company's revenue to reach around $2.1 billion by 2031, which would still value it at about 10 times sales at that market capitalization.
Hence, NuScale Power would need continued growth beyond 2031, while keeping further shareholder dilution under control.
Significant risks, but also real opportunity NuScale Power's Utah Associated Municipal Power Systems (UAMPS) project was canceled in 2023 after it failed to attract enough customer commitments. The project's target electricity cost had increased from $58 per megawatt-hour to $89. Additionally, customers had committed to only 120 MW of capacity, compared with roughly 370 MW required.
The next major milestone is a firm order for NuScale Power's reactor modules. Romania has already signed licensing and engineering agreements with the company, but it has not yet placed a binding order for the modules themselves. ENTRA1 and the Tennessee Valley Authority (TVA) are also discussing a much larger program that could eventually use up to 6 gigawatts of NuScale capacity. But the agreement remains nonbinding.
If NuScale Power can turn projects into repeat reactor orders, its business could shift from small, uneven engineering and licensing revenue to much larger reactor sales and long-term services.
NuScale Power (NYSE:SMR) stock is down 32% year to date (YTD), trading at $9.61 Tuesday afternoon after a mild bounce off last week’s lows. The stock is climbing 5% on the session, but it still sits far below the $15 level where NuScale stock started 2026.
The bulls can point to SMR stock’s 52-week range of $7.21 to $57.42 as evidence that a move back to $15 is well within recent trading history. The question is whether the catalysts are in place to get it there.
NuScale’s core reactor-deployment business is still pre-revenue, and the past 12 months have punished holders. NuScale shares are down 77% over the trailing year, a reminder that this remains one of the higher-volatility names in the small modular reactor (SMR) trade.
Why NuScale Stock Is Down This Year The Q2 FY2026 earnings report set the tone. NuScale reported revenue of $75,000, down 99.1% year over year (YoY) from $8.05 million, after the Fluor (NYSE:FLR | FLR Price Prediction) engineering contract for the RoPower project wound down in late 2025 with no replacement work booked.
NuScale Power’s GAAP loss came in at -$0.13 per share, essentially in line with estimates, but the net loss widened to $47.54 million. Dilution has been the other pressure point: NuScale’s weighted-average diluted share count expanded to 364.5 million from 133.4 million a year earlier, after the company raised roughly $984.48 million in net equity proceeds during the first half.
The upside is a balance sheet with real staying power. NuScale Power finished the quarter with $1.9 billion in cash, cash equivalents and investments, giving management room to fund supply-chain readiness while it waits for firm customer contracts.
What It Would Take to Get SMR Stock Back to $15 The recovery thesis rests on converting NuScale’s regulatory lead into firm orders and revenue. CEO John Hopkins highlighted on the Q2 2026 call that “NuScale remains the only small modular reactor company to have received design certification from the U.S. Nuclear Regulatory Commission,” and that the company has a supply chain of more than 60 specialized partners with over 30 agreements already executed.
The most watched catalyst is the potential large-scale U.S. deployment with the Tennessee Valley Authority via strategic partner ENTRA1 Energy. Hopkins assured that “the conversations we understand are progressing well. And I can tell you that when the agreement is signed, NuScale will be ready to implement.” A definitive power purchase agreement, plus movement on the six-module RoPower project at Doicești, Romania with Nuclearelectrica, could reshape investor perception.
Beyond project wins, NuScale Power stock likely needs three additional supports to retrace to $15: sustained AI and data-center power demand, supportive federal nuclear policy, and a broader sentiment recovery across the SMR trade. Investors may want to watch for evidence that the regulatory edge is translating into signed orders rather than continued dilution.
Peers and the Broader Nuclear Trade Oklo (NYSE:OKLO), a fellow advanced-nuclear developer, is down 35% YTD. Fuel and uranium names have held up better: Centrus Energy (NYSE:LEU) is down 24% YTD, while Uranium Energy (NYSE:UEC) is down 2% YTD.
The diversification story sits with the sector ETF. The Global X Uranium ETF (NYSEARCA:URA) is up 5% YTD, with an expense ratio of 0.69%. A diversified basket of uranium and nuclear-related equities has actually gained ground while several single names posted sharp drawdowns. The URA ETF is a sector-concentrated thematic fund and unleveraged, so concentration caution still applies.
What to Watch Next The near-term signal is any definitive TVA power purchase agreement announced through ENTRA1, followed by movement on the Romania project once the new government is seated. Either would give NuScale Power stock a fundamental catalyst to reprice.
Given that NuScale remains pre-revenue in its core deployment business and carries real execution and dilution risk, position sizing matters here. Traders can watch for whether SMR shares can hold above the mid-single digits and reclaim the $10 line before $15 becomes a serious conversation. The next scheduled catalyst is NuScale Power’s Q3 2026 report later this fall.
Contact [email protected] for any questions or corrections.
Shares of NuScale Power Corporation (SMR - Free Report) have gained 9.9% over the past four weeks to close the last trading session at $9.18, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $14.34 indicates a potential upside of 56.2%.
The mean estimate comprises 16 short-term price targets with a standard deviation of $5.2. While the lowest estimate of $6.00 indicates a 34.6% decline from the current price level, the most optimistic analyst expects the stock to surge 172.3% to reach $25.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.
While the consensus price target is a much-coveted metric for investors, solely banking on this metric to make an investment decision may not be wise at all. That's because the ability and unbiasedness of analysts in setting price targets have long been questionable.
But, for SMR, an impressive average price target is not the only indicator of a potential upside. Strong agreement among analysts about the company's ability to report better earnings than they predicted earlier strengthens this view. While a positive trend in earnings estimate revisions doesn't gauge how much a stock could gain, it has proven to be powerful in predicting an upside.
Price, Consensus and EPS Surprise
Here's What You Should Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.
While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?
They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.
However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.
That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.
Here's Why There Could be Plenty of Upside Left in SMRAnalysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current year, two estimates have moved higher over the last 30 days compared to no negative revision. As a result, the Zacks Consensus Estimate has increased 6.5%.
Moreover, SMR currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Therefore, while the consensus price target may not be a reliable indicator of how much SMR could gain, the direction of price movement it implies does appear to be a good guide.
I have no interest in chasing NuScale (SMR +2.11%) by adding the once-high-flying small modular reactor (SMR) developer to my portfolio. It's just too speculative for me. Instead, I'm buying Brookfield Renewable (BEPC +1.70%)(NYSE: BEP), which has highly visible growth and underappreciated upside amid the global nuclear energy resurgence.
NuScale had been one of the hottest names in the energy sector, running up more than 400% at one point last year. The company's potentially transformative SMR technology could eventually help meet some of the world's booming power needs. However, reality has since set in that NuScale is a much longer-term story, causing the nuclear energy stock to crash by more than 80% from its peak. Despite its much lower current valuation, I still have no desire to chase NuScale, given all that Brookfield currently offers.
Image source: Getty Images.
My concerns with NuScale Let me start by saying that I think NuScale holds tremendous promise. The company's proprietary SMR technology has the potential to be a game changer. It could enable the world to deploy emissions-free nuclear energy more rapidly in the future. That's crucial, given the immense power needs of AI data centers. According to several estimates, U.S. power demand will grow at a 4% compound annual rate through 2030, a significant surge compared with the roughly flat demand growth over the last two decades.
However, my issue with NuScale is that it's a much longer-term story. It doesn't currently generate much revenue (only $75,000 in the second quarter, down from over $8 million in the prior-year period). It's still a long way from generating meaningful revenue since it has yet to successfully build a commercial SMR. It's currently working to sign a power purchase agreement (PPA) to support a large-scale 6-gigawatt (GW) SMR build-out, which would be the largest in U.S. history. That deal could enable NuScale to generate more than $1 billion in revenue from this project by 2030. While that's a lot of potential, there's significant risk, including the risk that it never signs the deal or doesn't deliver as anticipated.
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Real revenue and profits now, with nuclear-powered upside potential Whereas NuScale offers the promise of significant revenue potential in 2030, Brookfield Renewable is generating meaningful and rapidly growing profits now. The leading global renewable energy and sustainable solutions platform generated $1.7 billion of revenue in the second quarter alone, along with over $400 million in funds from operations (FFO). Its FFO per share grew by 11%. That's real value growth accruing to shareholders right now, not the potential for meaningful sales several years out. It firmly supports the company's ability to pay an attractive dividend now (4.7% current yield).
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Meanwhile, Brookfield Renewable has significant visibility into its growth for the next five years. It has a vast portfolio of renewable power assets (47 GW of current operating capacity) secured by long-term PPAs that link rates to inflation. Additionally, it has a massive development pipeline (over 200 GW) to support its growth, backing its target to ramp up its annual new power capacity delivery run rate to 10 GW starting next year. Brookfield also has a strong financial profile to support acquisitions (it recently bought Aypa, the largest stand-alone battery energy storage platform in North America, for $3 billion). Those growth catalysts support its expectation of delivering more than 10% annual FFO per share growth through 2031. That will enable it to grow its dividend within its 5%-9% annual target range. That's real value growth continuing to accrue for shareholders.
On top of that, Brookfield has underappreciated nuclear-driven upside from its investment in Westinghouse Electric (51% stake). The U.S. Department of Energy has committed to providing $17.5 billion to finance long-lead equipment for deploying up to 10 large-scale Westinghouse AP1000 reactors in the U.S. Its Westinghouse investment provides meaningful upside to the nuclear power trend. Brookfield and its partner are currently evaluating a potential IPO of Westinghouse, which could unlock its value.
Brookfield offers better risk-adjusted return potential An investment in NuScale is a more speculative long-term bet on an unproven company with tremendous long-term growth potential. Brookfield Renewable, on the other hand, is an established company generating meaningful, growing revenue and earnings to support a rising dividend. It's capitalizing on the same theme as NuScale (AI power demand), but with a much less risky profile.
That's why I don't plan to chase NuSale right now. While that might change in the future if NuScale signs a long-term PPA to support an SMR project, I'd prefer to invest in a company that is already capitalizing on the opportunity rather than speculate on one that might.
NuScale Power (SMR -6.52%) is a $10 nuclear stock with a $10 trillion market opportunity in front of it.
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That figure comes from a Bank of America report which projects that nuclear energy could represent a $10 trillion global investment over the next 25 years. More importantly, it predicts that small modular reactors (SMR) will become one of the most consequential energy technologies over the next two decades.
SMR technology is NuScale's bread and butter, and to date, it is the only U.S. company with an SMR design approved by the NRC. That gives it a leg up on competitors and has enabled it to pursue SMR projects in the U.S, including a potential 6-gigawatt SMR deployment program with Tennessee Valley Authority (TVA) and ENTRA1 Energy.
Image source: The Motley Fool.
At roughly $10 per share, NuScale carries a $3.6 billion market cap. If the stock were to grow tenfold to $100 over the next 10 years, NuScale's market valuation would be about $36 billion before factoring in future dilution.
That's pretty aggressive, but not inconceivable. For example, TVA's 6 GW deployment program would require about 72 NuScale SMR modules. If each of those modules sold for $100 million -- which is a figure for illustrative purposes only, not a company-disclosed number -- then 72 modules would equal about $7.2 billion in revenue.
NuScale's commercial partner, ENTRA1, still needs to ink a binding power purchase agreement with the TVA before this potential 6 GW deployment can start to look like a commercial reality. So, it's not guaranteed revenue yet. Still, if NuScale can see this project to the finish, and add one or two other large-scale deployments, then a tenfold gain in its market value would start to look more realistic.
A $100 NuScale share is still a bull-case scenario, but if the next decade can turn NuScale's NRC-approved reactor into a scalable product, a $36 billion valuation might not look so far-fetched in 2036.
Bank of America is an advertising partner of Motley Fool Money. Steven Porrello has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.
Modern AI data centers require significantly more power than ever before, and hyperscalers are exploring every avenue to secure energy. From fuel cells to power purchase agreements (PPAs) with merchant providers and investments in the next generation of nuclear technology, all options are on the table.
NuScale Power (SMR -5.96%) develops small modular reactors (SMRs) and is the only company developing this technology to have a key approval from the Nuclear Regulatory Commission. With the urgent energy demands of data centers, can NuScale deliver on time? Let's take a closer look at this company, its technology, and the timeline for when it might become operational.
Image source: The Motley Fool.
NuScale's regulatory advantage NuScale Power is an early-stage developer of SMRs, which are modular, factory-built reactors that can be transported to a site and linked together in clusters of up to 12, providing a maximum output of 924 megawatts of electricity.
The company boasts a first-mover advantage, as it is the only company to receive a Standard Design Approval (SDA) from the United States Nuclear Regulatory Commission for its 50 MW and 77 MW small modular reactor designs.
The SMR developer looks to secure more firm commitments While NuScale has a head start in advanced reactors, the actual deployment of SMRs remains many years away. Right now, NuScale has one firmly committed project in the works: the Doicești Small Modular Reactor project in Romania. The project received a Final Investment Decision earlier this year, but the first module will likely not be operational until 2033.
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NuScale is seeking additional firm commitments for its module reactors and has partnered with ENTRA1 to do so. ENTRA1 serves as a partner and financier, helping to package NuScale Power Modules into ENTRA1 Energy Plants and sell them to power operators.
The company has entered into a collaborative agreement with the Tennessee Valley Authority (TVA) to initiate planning for up to 6 GW in NuScale SMR capacity across the region (roughly 72 NuScale Power Modules), although no firm agreements are in place. ENTRA1 and TVA are working toward a deal to finalize a power purchase agreement, which would be a massive catalyst for NuScale's business.
On Aug. 6, the company announced a memorandum of understanding with Curio and Framatome to evaluate an integrated, closed-loop nuclear fuel cycle solution for SMRs. As part of this, the company will seek to develop the fuel-cycle infrastructure to support advanced nuclear reactors and explore how to process spent nuclear fuel using Curio's proprietary nuclear recycling process.
Can NuScale meet the growing power demands from modern AI data centers today? NuScale Power's advanced reactors could reimagine nuclear energy as we know it and deliver on-site power to meet the booming demand from data centers. From here, investors want to see the company secure firm customer commitments and establish a nuclear fuel supply chain to support future growth.
That said, NuScale's Power Modules won't meet the immediate power needs of AI data centers. Its technology won't be deployable until the early 2030s at the earliest, making it a highly speculative, long-term prospect rather than a near-term fix for today's power crunch.
On paper, NuScale Power (SMR -4.48%) failed to meet expectations when it reported quarterly earnings on Aug. 5. The nuclear power stock reported a quarterly loss of $0.13 per share, in line with expectations. Revenue, however, came in at just $80,000 for the quarter, missing estimates by 93%. Sales were down 99% versus the quarter prior.
These are poor figures for a company that supposedly has massive long-term growth potential. Yet shares traded mostly flat following earnings, with the stock price roughly where it was before the earnings announcement.
The reality is that very little was expected of the company this quarter anyway. No major catalysts were expected to be revealed, and the company has no commercial projects underway, despite an impressive pipeline of interested customers. Revenue and profits, therefore, were always expected to be minimal and, in some ways, irrelevant to the company's long-term future.
When might a meaningful growth catalyst arrive? Good news could be on the way later this year regarding NuScale's biggest project.
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NuScale Power stock could receive a massive boost later this year Nuclear energy is experiencing a renaissance. Some of that is due to climate concerns and a rising global need for low-carbon energy sources. Most of it, however, is due to rising energy demand across the board, driven by the rapid adoption of energy-intensive AI technologies. The Energy Information Administration observes:
[W]e forecast U.S. annual electricity consumption will increase in 2025 and 2026, surpassing the all-time high reached in 2024. This growth contrasts with the trend of relatively flat electricity demand between the mid-2000s and early 2020s. Much of the recent and forecasted growth in electricity consumption is coming from the commercial sector, which includes data centers.
Still, a resurgence in electricity demand translates to just a few percentage points of annual growth, and getting new energy sources online can often take years. In short, this is a massive opportunity, but it will take decades to fully play out.
Image source: Getty Images.
Investors, therefore, shouldn't expect major revelations during every NuScale earnings release. That's especially true since the company has yet to break ground on any of its SMR deals.
Why hasn't NuScale begun construction? None of its customers have committed to payments. NuScale will only start construction once funds are legally obligated to pay for the construction. NuScale's inability to reach this milestone is a big reason why its valuation remains under $4 billion despite operating in a long-term growth market.
However, NuScale's CFO believes that a power purchase agreement could be signed by its utility customer in the U.S. by the end of 2026, committing it to buying power from the future facility, perhaps for decades to come. If a PPA is secured, construction can finally begin.
A signed PPA would likely be a huge boost to NuScale's stock price. It would provide serious social validation of the company's technology and adoption potential. It would also clear up some of NuScale's financing concerns.
To be sure, NuScale's management team has missed self-imposed deadlines before. But if you're looking for high-upside-potential stocks and are willing to take on extra risk, NuScale could be positioned for a stellar second half of 2026.
Nano Nuclear’s Air Force Contract Puts Its Short-Squeeze Setup in FocusNuScale Power NYSE: SMR said it is preparing for commercial deployment of its small modular reactor technology, citing regulatory approvals, supplier agreements, fuel readiness and a strengthened liquidity position as demand rises for carbon-free power from data centers, industrial users and utilities.
During the company’s second-quarter 2026 earnings call, President and CEO John Hopkins said the nuclear industry’s near-term opportunity is increasingly shaped by customers seeking clean power on timelines that fit their expansion plans. He said NuScale’s strategy has focused on completing engineering and developing its supply chain before entering construction.
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3 Nuclear Stocks for Investors Willing to Wait Out the Dip“The preconditions for us to move are in place,” Hopkins said in closing remarks. “The regulatory approval exists. Our fuel supply exists. The engineering is mature. The supply chain is mostly contracted.”
Engineering, Regulatory and Supply-Chain Readiness Hopkins contrasted NuScale’s approach with the construction history of the Vogtle AP1000 expansion, saying projects can face delays and cost overruns when detailed engineering is incomplete at the start of construction. He said NuScale has spent years investing in design maturity to reduce execution risk for future projects.
AI’s Power Problem Is Turning Nuclear Stocks Into a Bigger Market StoryThe company said it remains the only SMR company with U.S. Nuclear Regulatory Commission design certification and has received standard design approvals for two designs. NuScale also emphasized that its reactors are designed to use standard low-enriched uranium rather than high-assay low-enriched uranium, or HALEU, which Hopkins said is not commercially available at scale.
NuScale acts as technology systems integrator and engineer of record for an ENTRA1 Energy plant, according to Hopkins. The company said it has assembled a network of more than 60 specialized suppliers and has negotiated agreements with more than half of them.
Doosan Enerbility is producing heavy forgings and major module components for NuScale Power Modules, Hopkins said. Framatome is completing fuel design work under a dedicated agreement, with NuScale saying the arrangement is intended to make fuel available as customers come online. Paragon Energy Solutions received a contract during the quarter to complete final design development for the modules’ safety instrumentation and control systems. In response to analyst questions, Hopkins said forgings are among the principal long-lead items and have been in production for roughly two years. He also said Framatome will manufacture fuel in Washington state and that Paragon’s safety-control work is ahead of schedule.
TVA Discussions and Other Commercial Opportunities NuScale said its strategic partner, ENTRA1 Energy, continues discussions with the Tennessee Valley Authority regarding a potential definitive power purchase agreement. Hopkins characterized those discussions as active and progressing, but the company did not provide a date for an agreement or identify remaining contractual conditions.
Hopkins said NuScale is also in discussions with hyperscalers, data-center operators, utilities, governments and international customers. The company’s immediate commercial focus, however, is helping ENTRA1 advance the TVA opportunity.
NuScale said a potential TVA deployment could range from 6 gigawatts to 8 gigawatts. Hopkins said the company has publicly stated that construction from the first pouring of safety-related concrete to mechanical completion could take less than 40 months, though that timeframe excludes NRC licensing and other preconstruction activities.
The company also discussed potential industrial applications, including electricity supply, district heat, process heat, ammonia production and hydrogen production. Hopkins said NuScale’s emergency planning zone approval and ability to use dry cooling could be important differentiators for industrial sites facing water constraints.
Romania Project Progress NuScale is working with Nuclearelectrica and RoPower to satisfy conditions associated with the Romanian utility’s shareholder approval to advance the Doicești project. The project is intended to deploy six NuScale Power Modules at a former coal plant site.
Hopkins said NuScale completed front-end engineering design work as a subcontractor to Fluor, the project’s prime contractor. He said NuScale and its chief operating officer planned to visit Bucharest later in the month to meet with Romania’s incoming government.
The next phase, described as pre-EPC work, would carry the project toward a final notice to proceed and could take about another year, Hopkins said. He added that if contracts are put in place, the Romanian effort could generate revenue in 2027.
NuScale also said about 60% of the combined operating license application prepared for its prior Carbon Free Power Project could be used for a future U.S. project.
Second-Quarter Financial Results and Liquidity Chief Financial Officer Ramsey Hamady said NuScale reported second-quarter revenue of $0.1 million, down from $8.1 million a year earlier. The decline reflected completion in late 2025 of Fluor’s phase-two front-end engineering design work for the RoPower project, which had no comparable activity in the current quarter.
Hamady said the company closed the quarter with approximately $1.9 billion in cash, cash equivalents and investments, an increase of $900 million from March 31. He described the balance-sheet increase as a proactive measure intended to support long-term capital allocation and commercial readiness.
The company said it expects capital to be directed toward supply-chain agreements, design finalization, fuel systems and working-capital needs as commercialization advances. Hamady said NuScale has not provided formal operating-expense guidance, but said management intends to maintain discipline over spending.
NuScale also opened its 12th Energy Exploration Center during the quarter at the University of Virginia’s College at Wise. The center, supported by a grant from the Virginia Clean Energy Innovation Bank, is designed to provide simulation-based training for future nuclear plant operators, technicians and engineers.
About NuScale Power (NYSE:SMR)NuScale Power Corporation, trading on the NYSE American under the ticker SMR, is a pioneering developer of small modular nuclear reactors. Established in 2007 as a spinout from Oregon State University, the company is headquartered in Portland, Oregon. NuScale’s mission is to deliver zero-carbon baseload power through scalable modular reactor technology, aiming to transform traditional nuclear energy deployment.
At the core of NuScale’s offering is the VOYGR small modular reactor design, featuring 77-megawatt electric (MWe) modules with passive safety systems.
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NuScale Power (SMR +2.11%) is a nuclear energy stock with a market capitalization under $4 billion. Experts, however, believe the company is targeting a growth opportunity valued in the trillions of dollars.
According to analysts from Bank of America, nuclear energy could hold "the answer to the world's power shortages." The bank predicts nuclear energy generation capacity will triple by 2050, with investment reaching $3 trillion over the next 25 years alone. NuScale's small modular reactor (SMR) systems should capture a slice of that increased spending.
"Amid surging electricity demand, driven in part by the rise in AI/data centers, nuclear energy offers a potential solution," a report from Bank of America observes. "And new 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."
NuScale stock won't have to wait decades to benefit, however. There is one growth catalyst on the way that, if achieved, should send NuScale shares soaring, potentially before 2026 concludes.
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This catalyst could send NuScale Power stock soaring NuScale stock is not for the faint of heart. Shares have fallen 40% in value this year. In 2023, shares sank as low as $2, only to surge above $50 in 2025. Today, shares hover just below $10.
In short, this is a volatile stock. And it's not hard to see why. While NuScale is the only company approved by regulators to build an SMR system, it has never actually successfully built one. In 2024, NuScale faced a major cancellation. Cost estimates continue to rise, so much so that the customer ultimately pulled out.
"The estimated costs of the project rose to $4.2 billion in 2018, then $6.1 billion in 2020, and finally $9.3 billion in 2023, after it was scaled down to 462 MW in 2021. In the end, the costs were clearly too high," reports UtilityDive.
Image source: Getty Images.
Years following that project cancellation, NuScale is once again on the verge of starting a major project. This one is a 6 GW system designed for the Tennessee Valley Authority, a utility operating on the Eastern U.S. coast. NuScale's management team believes a power purchase agreement (PPA) should be signed by the end of 2026.
If true, expect NuScale stock to surge. That's because a PPA essentially locks the customer into buying power from the SMR system at a predetermined price for years, if not decades to come. That financial commitment would finally allow NuScale to break ground, begin construction, and start generating meaningful revenue.
The market, for now, remains skeptical. Neither party has agreed to anything binding. But if a PPA is signed this year, it could set NuScale up to generate more than $1 billion in revenue by 2030 from this project alone, though exact cost and revenue expectations have yet to be released.
If there are delays to this deal, NuScale may be forced to dilute shareholders again to remain financially solvent until one of the deals in its pipeline gains real-world traction. But if things move forward as planned -- a big "if" given NuScale's history -- it's not hard to see the company's market cap soaring significantly as the market erases the discount associated with its ability to execute on its project pipeline.
Key Takeaways NuScale's Q2 loss met estimates, but revenues fell 98.8% as prior RoPower work had no comparable activity.SMR expanded supply-chain readiness, with key component designs largely complete and supplier deals advancing.NuScale ended June with substantial cash and investments to support commercialization and deployment efforts. NuScale Power Corporation (SMR - Free Report) reported a second-quarter 2026 loss of 13 cents per share, in line with the Zacks Consensus Estimate. Revenues of $0.1 million plunged 98.8% from $8.1 million a year ago and missed the consensus mark of $1 million by 92.5%.
The revenue decline reflected the completion of Fluor’s front-end engineering and design Phase 2 work for the RoPower project in late 2025. That work contributed to the prior-year quarter but had no comparable activity in the second quarter of 2026. Operationally, NuScale continued advancing commercial readiness, supported by more than 60 specialized suppliers and over 30 executed agreements.
Management expects product and services revenues to increase as project activity advances and additional commercial work moves forward.
NuScale Deepens Supply Chain ReadinessNuScale continued preparing for future reactor construction by expanding its supplier network. The company said the detailed designs for many of its most important reactor components are largely complete, and that it has signed agreements with more than half of its supplier base. One key partner, Doosan Enerbility, has already started producing large steel components for NuScale Power Modules, helping reduce manufacturing delays for future projects.
Other suppliers are also making progress. Framatome is developing nuclear fuel for NuScale's reactors, while Paragon is completing the final design of an important reactor safety and control system. NuScale also plans to use commercially available low-enriched uranium, making fuel sourcing simpler than relying on newer fuel types that are not yet widely available.
SMR's Costs Rise as Readiness Spending BuildsNuScale's expenses increased during the quarter as it continued investing in future growth. Research and development expenses rose by $6.6 million, mainly because the company spent $7.1 million more on improving reactor designs and preparing its technology for commercial deployment. This was partly offset by $0.6 million of lower regulatory costs.
General and administrative expenses increased by $4.4 million, driven by $1.2 million of higher employee and stock-based compensation costs, and $3.9 million of higher organizational expenses. These increases were partly offset by $1 million of lower legal costs. Other expenses rose by $8 million as more engineering and project teams focused on preparing future commercial projects instead of current customer work, reflecting NuScale's continued investment in building its technology, supply chain and workforce.
NuScale Advances TVA and RoPower WorkENTRA1 Energy continues discussions with the Tennessee Valley Authority toward a definitive power purchase agreement using NuScale technology. Management described the negotiations as active and progressing and said the company is prepared to begin licensing, front-end engineering and OEM contracting activities once agreements are finalized.
In Romania, NuScale is working with Nuclearelectrica and RoPower to satisfy conditions for advancing a six-module project at Doicesti. Management expects the next pre-engineering, procurement and construction phase to run toward a final notice to proceed, while roughly 60% of prior combined operating license application work can be reused for another U.S. project.
SMR's Liquidity Supports Commercial RampNuScale ended June with $766.5 million in cash and cash equivalents, $305.7 million in short-term investments and $820.8 million in long-term investments. The company characterized its liquidity strategy as preparation for commercialization, working-capital requirements and investments needed to reduce deployment timelines.
Investment income increased $8.5 million year over year, reflecting the stronger cash position and larger holdings of cash equivalents and investments. Management also emphasized disciplined operating spending while continuing to fund supply-chain agreements, design finalization and fuel-system development.
Zacks Rank & Other Stocks to ConsiderNuScale Power currently carries a Zacks Rank #4 (Sell).
Some other top-ranked stocks in the broader Zacks Computer and Technology sector are Celestica (CLS - Free Report) , Amphenol (APH - Free Report) and Broadcom (AVGO - Free Report) , each carrying a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Shares of Celestica have gained 6.4% year to date. The Zacks Consensus Estimate for Celestica’s 2026 earnings is pegged at $10.61 per share, up 4.4% over the past 30 days, indicating an increase of 75.4% year over year.
Amphenol shares have gone up 26.3% year to date. The Zacks Consensus Estimate for APH’s 2026 earnings is pegged at $5.25 per share, up by 11.7% over the past 30 days, indicating an increase of 57.2% year over year.
Shares of Broadcom have gained 21.5% year to date. The Zacks Consensus Estimate for Broadcom’s 2026 earnings is pegged at $11.74 per share, up by a penny over the past 30 days, indicating an increase of 72.1% year over year.
