According to the latest data, NuScale Power’s (SMR) stock price surged 12.9% at the close of trading on Friday, June 13, extending its recent upward trend. Despite the nuclear energy startup having yet to generate revenue, its market capitalization has reached a staggering $11 billion, with its stock price soaring 364% over the past 12 months. The market optimism is largely driven by recent U.S. government policies supporting nuclear power. The key factors behind NuScale Power’s stock rally are as follows:
Market sentiment in the nuclear power industry has improved significantly. With surging electricity demand from data centers, artificial intelligence (AI), and electric vehicles, businesses and utility companies are actively seeking cleaner energy solutions—and nuclear power has emerged as a key option.
Additionally, President Trump recently signed an executive order aimed at expanding U.S. nuclear energy capacity and streamlining regulatory processes. This policy boost has directly benefited nuclear energy firms like NuScale Power. The company specializes in small modular reactor (SMR) technology and, although not yet profitable, has received design approval from the U.S. Nuclear Regulatory Commission (NRC).
This week, another nuclear energy startup, Oklo, released a statement regarding a potential collaboration with an Alaskan Air Force base. Although the news had been disclosed as early as 2023 with almost no changes, it still drove up the stock prices of Oklo and its peers, with NuScale Power also benefiting from the momentum.
Despite its strong stock performance, NuScale Power’s fundamentals have not materially improved. The company still generates no revenue, and while its core business—small modular reactor technology—has been approved, its first commercial project is not expected to go live until 2030 at the earliest.
More concerning is the fact that NuScale Power’s previous partnership project in Utah was canceled due to cost overruns, raising doubts about the commercial viability of its technology. Given the company’s $11 billion valuation—unsupported by revenue—and the unlikelihood of profitability in the near term, long-term investors should remain cautious.
