Oklo (OKLO) and NuScale Power’s (SMR) shares traded in a tight range on Thursday afternoon despite Energy Secretary Chris Wright reaffirming the administration’s plan to support American nuclear reactor manufacturers.
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Forget margin or options. Here's how the pros trade LEUWhile speaking at a budget hearing for the U.S. Department of Energy (DOE) before the U.S. House Committee on Energy and Commerce, Wright noted that the first five to 10 nuclear reactors to be built by local manufacturers will “almost certainly” get loans from the government executive agency.
Shares in industry peers Energy Fuels (UUUU), Nano Nuclear Energy (NNE), and Centrus Energy (LEU) also exhibited a similar trend.
Why Nuclear Stocks Hit the Snooze Button
The likely explanation is that the update is nothing new. In November, Wright disclosed at a conference hosted by the American Nuclear Society in Washington, D.C. that the department will issue most of its loan capacity to nuclear power plant projects. This came after President Donald Trump in May tasked the DOE in an executive order to have 10 large new reactors with complete designs under construction by 2030.
In addition, the U.S. Office of Science and Technology Policy on Tuesday, April 14, issued a six-page policy document that provides guidance to U.S. departments and agencies on how to achieve Trump’s ambition to deploy nuclear reactors on the moon and in the Earth’s orbit by 2030.
Meanwhile, shares of Oklo and NuScale Power rallied on Tuesday and extended their gains the following day. However, neither company has yet delivered a nuclear power plant as they race toward their first commercial launch.
Which Nuclear Stock Is the Better Buy?
TipRanks’ Stock Comparison tool shows that Nano Nuclear Energy (NNE) currently offers the biggest upside of roughly 100%. This is based on an average price target of $48 that comes with a Strong Buy consensus rating from analysts.
