Key Takeaways
- SMR shares have plunged 83% from their peak of $57, currently hovering near $9.70
- Quarterly revenue imploded 99.1% year-over-year, registering only $0.07 million
- No confirmed initial reactor sale exists, while major investor Fluor has divested entirely
- Planned $750 million equity offering raises significant dilution concerns
- Wall Street maintains a consensus “Hold” stance with $13.50 average target price
Shares of NuScale Power (SMR) are currently changing hands around $9.70, representing an 83% plunge from the stock’s 52-week peak of $57.42. Even after this dramatic sell-off, the small modular reactor developer maintains approximately $4 billion in market capitalizationāa substantial valuation for an enterprise generating virtually zero revenue.
NuScale Power Corporation, SMR
During its most recent quarterly report, NuScale delivered a mere $0.07 million in revenue, representing a staggering 99.1% decline compared to the year-ago period. This figure dramatically undershot the $8.80 million consensus estimate among analysts, although the company did meet earnings per share projections with a $0.13 loss per share.
The revenue shortfall represents just one of several headwinds facing shareholders. NuScale still hasn’t secured a confirmed initial customer for its small modular reactor platform, leaving the commercial viability of its core technology unvalidated in the marketplace.
Adding to investor concerns, Fluorāa significant institutional stakeholder with a long-term positionāhas completely liquidated its holdings. When major backers exit their positions, it typically sends a negative signal to the broader market, and SMR stock has certainly felt that pressure.
Mounting Cash Burn and Shareholder Dilution Threats
The enterprise continues to consume cash rapidly with no immediate timeline for achieving profitability. Wall Street projects a full-year earnings per share loss of -$0.64 for the ongoing fiscal period.
Compounding these challenges, NuScale has disclosed plans for a $750 million equity offering, creating the potential for substantial dilution among current shareholders. The company has also executed a $506 million milestone payment to ENTRA1 Energy connected to a prospective small modular reactor project with the Tennessee Valley Authority (TVA).
Recent months have also witnessed insider selling activity. CFO Robert Hamady offloaded approximately 30,000 shares in late August at $9.39 each. COO Carl Fisher disposed of more than 18,000 shares in early August. While both transactions were reportedly executed to satisfy tax liabilities associated with vesting equity compensation, insider selling reached a combined 68,651 shares during the trailing three-month period.
Institutional investor activity has painted a more nuanced picture. Vanguard expanded its position by 40.5%, while Van ECK Associates essentially doubled its stake. Morgan Stanley has similarly increased its holdings. Collectively, institutional and hedge fund ownership accounts for 78.37% of outstanding shares.
Wall Street’s Current Perspective
Analyst sentiment remains fragmented. The prevailing consensus lands on “Hold” with a mean price objective of $13.50, suggesting meaningful upside from current trading levels.
Bank of America has assigned a “Neutral” rating alongside a $12 price target. Truist similarly maintains a “Hold” rating with a $10 target. Goldman Sachs has established a $9 target. More constructive views come from B. Riley Financial and Canaccord Genuity, both maintaining “Buy” ratings despite recently reducing their targetsāB. Riley from $19 down to $15, and Canaccord from $25 to $15.
Among the 17 analysts tracking SMR stock, the breakdown includes one Strong Buy, four Buy ratings, nine Hold recommendations, and three Sell ratings.
The equity exhibits a beta coefficient of 2.30, indicating pronounced volatility in either direction. Technical indicators show the 50-day moving average at $9.12, while the 200-day moving average rests at $10.80.
NuScale’s 52-week trading range spans from $7.21 on the low end to $57.42 at the high point.
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