NuScale Power (NYSE: SMR) is an ambitious nuclear company at the forefront of a potential nuclear renaissance.
In a world hungry for clean power, this first-mover in the development of small modular reactors (SMRs) has a tremendous opportunity to 10x from today’s price (from about $12 to $120), ushering in a new era where reactors get smaller and more widely used
Turning that promise into a profitable future will be a daunting challenge, not the least because NuScale has yet to notch a firm sale. Yet with fears of an artificial intelligence (AI) bust seemingly behind us (for now), this microreactor pioneer might be one of the best energy stocks to hold for the next 10 years. Here’s why.
The first mover in a $10 trillion market opportunity It’s no secret that the U.S. needs to overhaul its aging power grid, much of which was built in the decades after the Second World War, before the AI era can really take off. Indeed, Gartner predicts that about 40% of AI data centers could be operationally constrained by power shortages by next year. To that potential energy constraint, NuScale says, “Bring it on.” The company’s factory-built SMR can produce 77 megawatts electric (MWe) of carbon-free power and up to 924 MWe when clustered in a 12-module plant.