Oklo (OKLO) stock has been in a sharp downtrend since the start of 2026 as rising uranium prices threaten to compress the viability of small modular nuclear reactors. The selloff accelerated this week following news that OKLO’s chief executive, Jacob DeWitte, and chief of finance, Richard Bealmear, have sold more than $2 million worth of company shares in February. At the time of writing, OKLO shares are down more than 60% versus their record high in October 2025. Still, a senior Canaccord Genuity analys ...

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].