Should You Buy Oklo Stock While It's Below $120?

Core Viewpoint - Oklo is developing small, modular nuclear reactors aimed at providing reliable power, particularly for artificial intelligence applications, but it is still in the early stages of development and lacks regulatory approval for commercial operation [3][4][12]. Company Overview - Oklo is a nuclear start-up focused on creating a small, fast-spectrum reactor with fuel recycling capabilities, intending to revolutionize nuclear power by offering clean energy under long-term contracts [3][4]. - The company's current market capitalization is approximately $16 billion, despite having no revenue and no operational reactors, which is considered extraordinary for a start-up in the research and development phase [12]. Market Opportunity - The primary market opportunity for Oklo lies in powering AI data centers, as its reactors can provide continuous, reliable energy, making them suitable for high-demand applications [4]. - Other potential customers include mining companies, military camps, research bases, and disaster-relief zones, where traditional grid access is limited or costly [6]. Regulatory Progress - Oklo is progressing towards regulatory approval, having cleared phase 1 of the pre-application readiness review with the Nuclear Regulatory Commission (NRC) in July 2025 [7]. - The company is among those whose reactor designs have been fast-tracked for deployment due to recent legislative changes aimed at accelerating the approval process for advanced nuclear reactors [9][10]. Future Projections - If all goes well, Oklo could potentially activate its first commercial reactor by 2027, following the groundbreaking of its first Aurora powerhouse at Idaho National Laboratory [11]. - Revenue projections for Oklo are modest, with estimates suggesting only $15 million in total revenue by 2027, indicating a long wait for significant top-line growth [13]. Investment Considerations - Oklo's stock is currently trading about 40% lower than its mid-October highs, presenting a potential buying opportunity, but it remains a speculative investment due to its lack of operational revenue and high market valuation [12]. - Investors should be aware of the capital costs associated with securing fuel, building production facilities, and compliance with NRC regulations, which may pressure the company's financials before it becomes profitable [15].