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The Smartest Nuclear Stocks to Buy With $500 Right Now
OKLOOklo(OKLO) The Motley Fool·2025-02-23 14:30

Industry Overview - The nuclear power industry is projected to grow at a compound annual growth rate (CAGR) of 2.9% from 2024 to 2029, indicating a slow-growth market dominated by larger companies like NextEra Energy and Duke Energy [1][2]. Company 1: NuScale Power - NuScale Power specializes in small modular reactors (SMRs) that are prefabricated and assembled on-site, which reduces costs and construction time [3]. - NuScale is the only company with SMRs certified by the U.S. Nuclear Regulatory Commission (NRC), currently approved to produce up to 55 megawatts of electricity [4]. - For NuScale's SMR clusters to be more cost-effective than coal-fired plants, they need to generate at least 77 megawatts, with expectations for NRC certification of these reactors in the near future [5]. - The U.S. Department of Energy (DOE) has offered up to 900millioninfundingforthedevelopmentofmorenuclearSMRs,andAmazonisalsosupportingthisinitiative[5].−Despiteapromisingoutlook,NuScalehasfacedchallenges,includingthecancellationofplanstobuildsixreactorsinIdahoandsignificantlayoffs[6].−RevenueprojectionsforNuScaleindicategrowthfrom900 million in funding for the development of more nuclear SMRs, and Amazon is also supporting this initiative [5]. - Despite a promising outlook, NuScale has faced challenges, including the cancellation of plans to build six reactors in Idaho and significant layoffs [6]. - Revenue projections for NuScale indicate growth from 23 million in 2023 to 193millionby2027,drivenbydesignapprovalsandnewcontracts[7].Company2:Oklo−Okloisconsideredamorespeculativeinvestmentasithasnotyetgeneratedrevenue,butithasgainedattentionduetoitsformerCEO,SamAltman,ofOpenAI[8].−Thecompanydevelopsmicroreactorsthatusemetallicuraniumfuel,whichisdenserandcheaperthantraditionaluraniumfuelpellets,producingminimalcarbonemissions[9].−Oklo′sflagshipmicroreactor,theAurora,costs193 million by 2027, driven by design approvals and new contracts [7]. Company 2: Oklo - Oklo is considered a more speculative investment as it has not yet generated revenue, but it has gained attention due to its former CEO, Sam Altman, of OpenAI [8]. - The company develops microreactors that use metallic uranium fuel, which is denser and cheaper than traditional uranium fuel pellets, producing minimal carbon emissions [9]. - Oklo's flagship microreactor, the Aurora, costs 70 million and can generate 15 megawatts of electricity, significantly less than the cost of traditional reactors for the same output [10]. - The Aurora reactors can be scaled up to 50 megawatts and can operate for over 10 years without refueling, with plans to bring the first reactor online by 2027 [10][11]. - Oklo's enterprise value is currently $6.2 billion, making it a risky investment, but a smaller investment may be justified if long-term goals are achieved [11].