Nuclear stocks experienced a significant rally on Wednesday following the U.S. Army’s announcement of a new program aimed at deploying small nuclear reactors. This initiative has sparked renewed interest in the nuclear sector, particularly among investors.
Shares of NuScale surged by 17%. Other companies like Oklo and Nano Nuclear also saw increases of nearly 7% and 4%, respectively. Additionally, the uranium company Centrus rose by 13%.
The U.S. Army’s initiative, launched on Tuesday, aims to construct micro nuclear reactors in collaboration with the Defense Innovation Unit. These microreactors are intended to be commercially owned and operated, facilitating the scaling of businesses in the nuclear sector.
NuScale Power (SMR), 1 day
The Army’s “Janus Program” was initiated in response to President Donald Trump’s executive orders from May, which aimed to expedite the deployment of advanced reactors. Trump mandated that the Defense Department have a reactor operational at a domestic military installation by September 30, 2028.
Despite the excitement, investors remain cautious. Companies like NuScale, Oklo, and Nano Nuclear have yet to deploy any reactors. Notably, Oklo and Nano Nuclear have not generated any revenue, while NuScale reported $8 million in revenue for the second quarter.
Oklo (OKLO), 1 year
The growing demand for AI power, coupled with Trump’s executive orders, has generated a wave of enthusiasm in the nuclear power market. However, Goldman Sachs has recently advised investors to exercise caution regarding Oklo’s prospects.
