NuScale Power (SMR) is trading around $9.70, down roughly 83% from its 52-week high of $57.42. Despite the steep decline, the company still carries a market cap of around $4 billion, placing it in mid-cap territory for a business that currently generates almost no revenue.

NuScale has been a focal point for investor interest in small modular reactors — nuclear plants built in factories and assembled on site, promoted as a way to deliver carbon-free power with lower upfront capital costs than conventional reactors. NuScale was the first SMR developer to receive US Nuclear Regulatory Commission design certification, clearing a major regulatory hurdle that fueled much of the stock's earlier run-up.

Last quarter, NuScale reported just $0.07 million in revenue, a 99.1% drop from the same period a year ago. The company missed analyst revenue estimates of $8.80 million by a wide margin, though it did match EPS expectations with a loss of $0.13 per share.

The revenue miss is not the only factor weighing on investors. NuScale has no firm first sale for its small modular reactor technology, meaning its commercial future remains unproven. Its flagship effort, the Carbon Free Power Project with Utah Associated Municipal Power Systems, was terminated in November 2023 after subscriber interest fell short — a setback that highlighted how difficult it is for SMR developers to line up committed buyers. Fluor, a longtime institutional shareholder and NuScale's former majority owner, has also exited its position entirely — a move widely read as a vote of no-confidence from a major backer.

Cash Burn and Dilution Risk

The company is burning through cash with no clear path to profitability in the near term. Analysts forecast a full-year EPS of -$0.64 for the current fiscal year.

Compounding the pressure, NuScale announced a $750 million share sale, which could further dilute existing investors. The company also made a $506 million milestone payment to ENTRA1 Energy related to a potential SMR deployment with the Tennessee Valley Authority (TVA).

Insider selling has added to the concerns. CFO Robert Hamady sold nearly 30,000 shares in late August at $9.39 per share, while COO Carl Fisher sold over 18,000 shares in early August. Both sales were tied to tax obligations from vesting equity awards, but combined insider selling totaled 68,651 shares over the past three months.

Institutional investors have been more mixed. Vanguard increased its stake by 40.5%, VanEck Associates nearly doubled its position, and Morgan Stanley added to its holdings. In total, institutional and hedge fund ownership stands at 78.37% of the stock.

What Analysts Are Saying

Wall Street remains divided. The current consensus rating is "Hold" with an average price target of $13.50, well above where the stock trades today.

Bank of America rates the stock "Neutral" with a $12 target, while Truist also rates it "Hold" with a $10 target. Goldman Sachs set a $9 target. On the more optimistic side, both B. Riley Financial and Canaccord Genuity rate the stock a "Buy," though both recently cut their targets — B. Riley from $19 to $15 and Canaccord Genuity from $25 to $15.

Of the 17 analysts covering the stock, one has a Strong Buy rating, four have a Buy, nine have a Hold, and three have a Sell.

The stock's beta sits at 2.30, meaning it moves sharply in both directions. Its 50-day moving average is $9.12, and its 200-day moving average is $10.80. NuScale's 52-week range spans a low of $7.21 to a high of $57.42.

Source: CoinCentral