NuScale Power: A High-Risk, High-Reward Bet on the Future of Nuclear Energy

Suze Orman

Personal finance expert, author, and TV host focused on empowering women and general audiences with practical money advice.

NuScale Power (SMR) is experiencing a period of significant stock volatility, currently trading near its 52-week low, having depreciated by over 75% since its peak in October 2025. This decline stands in contrast to the generally positive performance of the broader nuclear energy sector. The question for investors is whether these are temporary market fluctuations or indicators of deeper, long-term issues for the small modular reactor (SMR) manufacturer.

Despite its recent stock performance, NuScale retains a crucial competitive edge. It is currently the only company with a small modular reactor design that has received approval from the Nuclear Regulatory Commission (NRC), a testament to its technological leadership given the multi-year approval process involved. This advantage is particularly salient in an era marked by burgeoning energy demands, largely driven by advancements in artificial intelligence, which necessitate reliable and environmentally conscious power solutions. NuScale's strategic partnership with ENTRA1 for SMR power plant development further highlights its potential to capitalize on the growing market for advanced nuclear technology. However, the company faces challenges, including allegations of misrepresenting ENTRA1's capabilities, leading to class-action lawsuits, and a widening net loss in fiscal year 2025 compared to previous years, although it maintains a robust liquidity of $1.3 billion.

Considering these dynamics, NuScale presents a high-risk, high-reward investment opportunity. The stock's current valuation seems to reflect much of the negative sentiment and challenges it faces. However, for investors willing to endure significant volatility and exercise multi-year patience, the potential for substantial returns remains. The SMR market is projected to expand significantly, potentially reaching $16 billion or more in the next decade. If NuScale can effectively manage its finances, overcome its legal hurdles, and successfully deploy its commercially viable SMR technology, it could emerge as a frontrunner in the future of nuclear energy, offering a unique opportunity for those optimistic about the long-term prospects of small modular reactors.

Investing in pioneering technologies like NuScale's SMRs reflects a forward-thinking perspective, embracing innovation to address global energy needs. This commitment to sustainable and powerful energy solutions not only promises potential financial growth but also contributes to a cleaner, more secure energy future for generations to come. Such ventures embody the spirit of progress, demonstrating how strategic investment can align with the broader societal good.

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