NuScale Rockets Higher on Amazon Deal: How High Can It Go?

Core Insights - Amazon's entry into nuclear energy highlights the maturation of Small Modular Reactor (SMR) technology, which is becoming more accessible and cost-efficient for large tech companies [1] - Major tech firms like Amazon, Microsoft, and Google are adopting SMR technology to meet the high power demands of AI data centers, which consume significantly more energy than previous technologies [2] Company Overview - NuScale Power is the only U.S.-regulated SMR developer, with its NuScale Power Module capable of producing 77 megawatts of power, scalable through the VOYGR production plant technology [3] - NuScale has not yet generated significant revenue but is expected to ramp up sales by 2025, with a recent deal to build two facilities for Standard Power [4] Market Forecast - Analysts have a 12-month stock price forecast for NuScale Power at $10.39, indicating a potential downside of 45.47%, despite a "Moderate Buy" rating [5] - Institutional support is growing, but ownership remains low at 15%, with high short interest potentially leading to volatility in stock prices [6] Technical Analysis - NuScale Power shares surged over 40% following Amazon's announcement, breaking critical resistance levels, indicating a bullish market outlook [7]