Nuclear energy is back in the spotlight and ready to meet AI's power needs. For investors searching to capitalize on the next generation of nuclear, which will be vital to many hyperscalers, there are two companies garnering considerable attention. NuScale Power (NYSE: SMR) and Oklo (NYSE: OKLO) both have substantial upside potential as well as risk, but which stock will win in the coming years? A tale of two volatile energy stocks NuScale develops small modular reactor technology, whereas Oklo designs ...

Core Insights - The ongoing AI boom is driving demand for affordable and reliable energy, benefiting companies like NuScale Power and Oklo [2] - Oklo has significantly outperformed NuScale in stock market gains, with a 1,370% increase compared to NuScale's 290% and the S&P 500's 15% [3] - Investors are focused on the future performance of both companies, particularly their ability to generate consistent revenue and profits [4] NuScale Power Overview - For the 12 months ending June 30, 2025, NuScale reported $56.1 million in revenue and $124 million in net losses, missing revenue estimates in 10 of the past 12 quarters [5] - Analysts project NuScale's revenue to grow from $47 million in 2025 to $152 million in 2026, reaching $5.1 billion by 2034, with a current price-to-sales (P/S) ratio of 200 [6] - NuScale is expected to incur three more years of losses before achieving profitability in 2030, with projected earnings per share (EPS) of $0.48 [7] Oklo Overview - Oklo has emerged as a market favorite with a 12-month gain exceeding 1,000%, while NuScale is also nearing its all-time high as it works on its first small reactor in Idaho [8]

Core Insights - Fluor's stock has appreciated by approximately 365% over the past five years, translating to a compound annual growth rate of 36%, significantly outperforming the stock market's long-term average [1] Company Overview - Fluor is primarily an engineering and construction company, serving diverse sectors including oil and gas, mining, and power generation, and is often engaged in large infrastructure projects [2] Financial Performance - Despite a 365% increase in stock price, Fluor's revenue has only grown by 6.6% since 2020, while gross profits increased by 36% during the same period [3] - The price-to-sales ratio has surged from 0.07 to 0.47 since 2020, marking an increase of nearly 480% [3] - The company's profit margin averaged around 0% from 2020 to 2024 but has recently reached 25%, indicating improved cost management and execution [4] Valuation Dynamics - The significant appreciation in Fluor's stock price is largely attributed to a substantial increase in its valuation multiple rather than revenue or gross profit improvements [4] - The company's transition from a loss-making entity to a profitable business has led to a sharp rerating of its stock [4] Historical Context - Fluor's stock has experienced multiple cycles of extreme ups and downs, influenced by the cyclical nature of the engineering and construction industry [5] - The recent stock price spike is partly due to Fluor's investment in NuScale Power, which focuses on small modular reactor technology [7] New Business Ventures - Recent performance improvements have been driven by new business ventures, particularly in small modular reactors, which were not part of Fluor's operations in the past [8] Investment Considerations - While Fluor's recent stock performance has been strong, the company has historically been a disappointment for long-term investors due to the volatility in the engineering and construction sector [10] - The success of NuScale presents a potential long-term growth opportunity, suggesting that investors may benefit from focusing on this segment [11]