Oklo Stock Wins a New Street-High Price Target

Nuclear stock Oklo (NYSE:OKLO) has been turning heads since going public in May of last year, emerging as a key player in next-generation nuclear energy.

The stock has soared 523% over the past 12 months, including a 29% gain last Wednesday after the company announced it received a Notice of Intent to Award (NOITA) from the Defense Logistics Agency Energy. Acting on behalf of the U.S. Air Force and Department of Defense, the agency selected Oklo to deliver reliable nuclear power to Eielson Air Force Base in Alaska.

The significance of this development goes beyond a single contract. It marks a potential turning point in the Department of Defense’s broader strategy to integrate advanced nuclear solutions across military operations. Under the proposed agreement, OKLO will design, build, own, and operate a nuclear power plant at Eielson, supplying both electricity and heat. The plant will use Oklo’s Aurora powerhouse design, prized for its ability to operate independently of the main grid – a critical advantage for remote installations like Eielson. The deal aligns with the DoD’s long-term goal to ramp up nuclear capacity from roughly 100 GW today to 400 GW by 2050. Adding momentum to this plan, a recent Executive Order signed by Trump expanded the DoD’s authority to regulate nuclear power on military bases, streamlining the path to deployment.

This, says Wedbush analyst Daniel Ives, represents a “key tailwind for OKLO,” arguing that the company is extremely well-positioned to benefit from the U.S. Government’s support.

“OKLO continues to build off its significant momentum following the Executive Order signed by President Trump in May to accelerate the US nuclear energy industry by easing the regulatory process on approvals for new reactors and strengthening fuel supply chains as the Trump Administration continues to go all in on AI which will significantly increase the need for computing power which is expected to skyrocket over the next 5-10 years taking up a tremendous amount of energy,” the analyst went on to explain.

The AI revolution, Ives adds, is fueling a surge in demand for clean energy, as the computing power required for AI is projected to increase tenfold by 2030. This trend leaves OKLO well-positioned to benefit from the rising need, with the company set apart from competitors through its build-own-operate model that offers both long-term recurring revenue and a more efficient regulatory process.

“We view OKLO as a clear leader on the nuclear front that is just starting to play out,” Ives summed up. He assigns an Outperform (i.e., Buy) rating to OKLO stock, while raising his price target from $55 to a Street-high of $75. If met, the figure could yield additional returns of ~18% over the one-year timeframe. (To watch Ives’ track record, click here)

The 9 other OKLO ratings on Wall Street split 6 to 3 in favor of Buys over Holds, all culminating in a Moderate Buy consensus rating. That said, the $60.50 average target suggests the stock is now overvalued by 5%. It will be interesting to see whether analysts update their targets shortly. (See OKLO stock forecast)

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Disclaimer: The opinions expressed in this article are solely those of the featured analyst. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.