Oklo (NYSE: OKLO) isn’t in the tech sector, but its performance hasn’t been too different from that of many artificial intelligence (AI) stocks.
While it’s an energy company, its growth story centers heavily on its small, modular reactors that can be placed near data centers, providing them with clean energy
As tech companies invest in data centers, the excitement spills over into Oklo and other energy stocks. This year, amid rising apprehension about AI stocks and excessive capital expenditures, Oklo’s stock has seen a significant sell-off. Part of it may be valuation, while another factor may just be a lack of confidence in what the long term may hold for the energy stock.
But with energy needs still likely to remain high due to AI, and the stock trading below $50, is now a good time to buy Oklo? The growth potential is there, but Oklo’s success isn’t a sure thing The expectation is that Oklo’s first Aurora powerhouse will be up and running by late next year, or perhaps 2028. But regardless of when it happens, there are still considerable question marks around the business, and how strong its financials might be when everything is operational.