NuScale Power Corp shares climbed 5.3% to $12.83 in early Friday afternoon trading, outperforming the broader U.S. stock market indexes. The stock reached an intraday high of $13.09, with trading volume surging to approximately 29.5 million shares. This pushed the small modular reactor (SMR) company's market capitalization close to $4.1 billion.
The rally came as NuScale participated in two investor conferences this week: the Bank of America Power, Utilities and Cleantech Conference in New York on Wednesday, and the Craig-Hallum Institutional Investor Conference in Minneapolis on Thursday. The company's annual meeting is scheduled for 4:30 p.m. EDT, where shareholders will vote on board members, executive compensation, and the reappointment of Ernst & Young as auditor, according to the proxy statement.
The recent gains are largely driven by timing and regulatory developments. Reuters reported this week that the U.S. Nuclear Regulatory Commission (NRC) is initiating reforms to accelerate approval processes for small modular reactors. These factory-built nuclear units are designed for on-site assembly. Rita Baranwal, chief nuclear officer at Radiant Nuclear, told Reuters the streamlined process could allow regulators to concentrate on novel aspects of SMR designs.
NuScale's primary focus remains on converting its project pipeline into binding commercial agreements rather than operating power plants. The company disclosed earlier this month that ENTRA1 Energy, its exclusive global strategic partner, continues to collaborate with the Tennessee Valley Authority (TVA) on plans for up to 6 GW of NuScale SMR capacity. If realized, this would represent the largest nuclear deployment in U.S. history. CEO John Hopkins noted that NuScale ended the first quarter with $1 billion in liquidity and is building the infrastructure needed for this critical phase.
Investors are closely watching for a potential power purchase agreement (PPA) between ENTRA1 and TVA. During the May 7 earnings call, CFO Ramsey Hamady expressed optimism that TVA could finalize a PPA later this year. Such an agreement would enable NuScale to begin site-specific engineering work before any major equipment contract is signed. NuScale relies on its regulatory advantage: the company received NRC approval for its uprated 77 MWe module design last year, making it the only SMR technology developer with an NRC-certified model.
Other advanced nuclear stocks also posted gains, albeit more modestly. Oklo rose 0.8%, while Nano Nuclear Energy added 1.3%. Reuters reported Wednesday that Newcleo, a private nuclear company, plans to list on the Nasdaq with a $2.4 billion valuation. Newcleo will collaborate with Oklo on a U.S. Department of Energy project exploring the feasibility of using surplus Cold War plutonium as reactor fuel.
Despite the positive momentum, NuScale's stock remains sensitive to contract timing rather than purely regulatory policy. The company's latest 10-Q filing revealed a $776.9 million accumulated deficit, ongoing operating losses, and negative cash flow. Additionally, NuScale maintains an at-the-market stock program with $962.1 million in shares available for sale as of quarter-end. The filing also disclosed that NuScale sold 22.36 million shares after March 31.
Friday's rally faces a critical test: while faster licensing enhances the narrative, the market demands tangible customer agreements, project financing, and evidence that early-stage engineering work will translate into sustainable revenue. The next few months will determine whether NuScale can convert regulatory progress into commercial success.
