Shares of NuScale Power Corp (SMR) experienced a significant decline of approximately 12.6% during late trading on Friday, closing at $10.50 after fluctuating between $10.16 and $12.76 throughout the session. The drop was part of a wider market rout that heavily impacted technology-linked and speculative stocks, with the Nasdaq Composite falling 4.18% and the S&P 500 dropping 2.64%.
The selloff was triggered by a stronger-than-expected U.S. jobs report that raised concerns the Federal Reserve may maintain its hawkish monetary policy stance for longer than anticipated. This pressured high-growth and interest-rate-sensitive stocks, including those in the nuclear energy sector.
NuScale, a leader in small modular reactor (SMR) technology, has been a key player in the nuclear boom trade. SMRs are factory-built nuclear reactors designed in smaller units than conventional plants, which proponents argue can reduce construction risks and help meet the growing energy demands of data centers. However, Friday's market action highlighted the vulnerability of such speculative plays to shifts in interest rate expectations.
The pressure extended across the nuclear growth trade. Oklo Inc (OKLO) fell 11.1%, Nano Nuclear Energy (NNE) dropped about 10.0%, and X-Energy (XELB) lost 9.5%. X-Energy was also in focus after reporting a widened quarterly loss in its first earnings report as a public company, according to Investor's Business Daily.
NuScale had already faced a cautious analyst read earlier in the week. Citi was reported to be most constructive on Centrus Energy (LEU) among nuclear names but least constructive on NuScale, pointing to better exposure in the upstream nuclear supply chain and caution on NuScale's near-term prospects.
Despite the headwinds, NuScale's central bull case remains its regulatory position. The U.S. Nuclear Regulatory Commission (NRC) approved its 77-megawatt reactor design in May 2025, following an earlier 50-megawatt design approval. Chief Executive John Hopkins has stated that the company has “near-term deployable” technology in the U.S.
However, the market is focusing on the other side of the story: timing, customers, and cash burn. NuScale ended the first quarter with $1.0 billion in cash, cash equivalents, and investments, providing significant liquidity. Yet, revenue fell because earlier RoPower license and engineering work had wrapped up.
Hopkins reiterated last month that demand for reliable, carbon-free power had “never been greater,” emphasizing NuScale's NRC-approved design, established supply chain, and components in production. He added, “We are building the infrastructure” for the moment.
The latest company update this week was around governance rather than a new customer order. NuScale announced that Stuart Harshaw and Dale Klein joined its board after the May 29 annual meeting, bringing the board to nine directors, eight of whom are independent.
The risk remains that the nuclear theme keeps running ahead of signed orders and project economics. NuScale's first U.S. project with a Utah municipal power group was canceled in 2023 as costs rose and some towns withdrew, while critics argue SMRs may be costly to operate and still leave unresolved waste issues.
For now, NuScale is trading less like a utility supplier and more like a high-duration growth stock, sensitive to interest rates, risk appetite, and every fresh read on nuclear deployment. Ohsung Kwon, chief equity strategist at Wells Fargo, told Reuters that the broader selloff looked “more driven by positioning rather than fundamentals,” but that distinction may offer little comfort to holders after Friday's drop.
