Group 1 - SpaceX plans to IPO in 2026, potentially valuing the company at $1.5 trillion, which has negatively impacted Oklo's stock [3][4] - Elon Musk intends to use IPO proceeds to develop modified Starlink satellites for building data centers in space, aiming to deploy 100 terawatts of AI data centers in orbit [4] - The shift of data centers to space could undermine Oklo's investment thesis, which relies on the assumption that small modular nuclear reactors are essential for powering data centers on Earth [5][6] Group 2 - Oklo's stock experienced a decline of over 6% in early trading but later recovered to a gain of 1.5% [1] - Oklo's current market cap is $16 billion, with a trading range between $94.50 and $102.46 [5] - The company's unprofitability may worsen if SpaceX successfully relocates data centers to space, eliminating the need for nuclear power [6]

Core Viewpoint - Fluor Corporation is positioned as a strong investment opportunity in the nuclear power sector, particularly due to its profitability and growth prospects compared to other companies in the industry [1][4][15]. Company Performance - Fluor has been profitable for the last three years, earning over $1.5 billion in 2023 and is expected to exceed analyst forecasts of $1.6 billion in profit for 2025 [4][15]. - The company's total revenue has grown by 15%, driven by a 42% increase in urban solutions and a 20% increase in energy solutions [5]. Nuclear Business Potential - Fluor has extensive experience in nuclear power, having designed and built multiple nuclear power units and performed maintenance on around 90 nuclear reactor units [6]. - The company is likely to play a significant role in the upcoming nuclear renaissance in the U.S. [7]. Market Context - The U.S. government is promoting nuclear power, with plans for significant investments in new nuclear reactors, including potential contracts for Fluor [9][10]. - Japan is expected to invest $80 billion in building new nuclear reactors, with Fluor potentially serving as the engineering and construction contractor [11]. Valuation Metrics - Fluor's market capitalization is approximately $6.8 billion, with an enterprise value of around $5 billion after accounting for net cash [13]. - Analysts project Fluor will earn $360 million in net profit next year, leading to an enterprise value of only 7.8 times forward earnings, which is considered inexpensive relative to the expected 12% earnings growth [15][16].

Core Viewpoint - The nuclear power sector is gaining momentum, with President Trump aiming to quadruple U.S. nuclear power output by 2050, creating a favorable environment for investment in nuclear stocks, particularly Fluor [1]. Industry Overview - The U.S. government is accelerating nuclear power development through executive orders, including a commitment to approve new reactor licenses within 18 months and a pilot program for three experimental reactors by July 2026 [5]. - The Department of Energy plans to deploy advanced small modular reactors by the end of 2027 and aims for at least one operational nuclear reactor on a military base by September 2028 [5]. Company Analysis: Fluor - Fluor is identified as a strong investment opportunity in the nuclear sector, with a 19% stock increase over the past year, outperforming the S&P 500 [4]. - The company holds a majority interest in NuScale, which has a market capitalization of $10.3 billion, while Fluor's market cap is only $8.7 billion, indicating a potential undervaluation [7]. - Analysts project Fluor's earnings to be $470 million in 2026, $530 million in 2027, and $638 million in 2028, suggesting a stable earnings growth trajectory [8]. - Fluor's price-to-earnings ratio is estimated at 18.5 times forward earnings, which is considered reasonable given the expected earnings growth [9]. - The company is expected to generate positive free cash flow of $343 million this year, with a forecasted growth rate of over 20% annually for the next three years [10]. - Fluor's enterprise-value-to-free-cash-flow ratio is projected to be 21, indicating a favorable valuation compared to other nuclear companies that are not profitable [11].