Citi analyst Vikram Bagri has maintained their bearish stance on SMR stock, giving a Sell rating yesterday.
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Vikram Bagri’s rating is based on several concerning factors regarding NuScale Power’s financial and operational outlook. The company’s revenues fell short of expectations in the third quarter, and there is uncertainty surrounding the timing of a firm contract with their customer, ENTRA1. This situation suggests that NuScale may need to continue relying on public equity to meet future financial obligations, which could put additional pressure on its stock.
Moreover, an arrangement between NuScale and FLR allows FLR to sell its stake in NuScale, which could further impact the stock negatively. The likelihood of securing another customer contract or a firm deal with TVA by the end of the year appears slim. These elements contribute to the decision to maintain a Sell rating on NuScale’s stock.
According to TipRanks, Bagri is an analyst with an average return of -20.4% and a 34.75% success rate. Bagri covers the Technology sector, focusing on stocks such as Sunrun, Canadian Solar, and Enphase Energy.
In another report released yesterday, Bank of America Securities also maintained a Sell rating on the stock with a $34.00 price target.