Nuclear energy is back in the spotlight and ready to meet AI's power needs. For investors searching to capitalize on the next generation of nuclear, which will be vital to many hyperscalers, there are two companies garnering considerable attention. NuScale Power (SMR 8.39%) and Oklo (OKLO 8.93%) both have substantial upside potential as well as risk, but which stock will win in the coming years?
NYSE: SMR
Key Data Points
A tale of two volatile energy stocks
NuScale develops small modular reactor technology, whereas Oklo designs fast-fission power plants. NuScale stock has struggled over the past year. The stock is down about 30%, but has rebounded nicely since the start of 2026. NuScale stock is up over 20% year-to-date as of Feb. 3.
Image source: Getty Images.
NuScale struggled in 2025 for a few main reasons. First, its longtime investor, Fluor (FLR 1.55%), locked in gains and improved its own balance sheet by selling its NuScale stake. The company also missed recent earnings expectations and authorized more shares, increasing concerns regarding dilution. All of this has spooked investors who aren't completely convinced NuScale can deliver on its technological promises on time.
Oklo was a completely different story last year. The stock skyrocketed in 2025, but it wasn't without significant volatility. Those looking for stability or predictability may not be able to stomach Oklo's ups and downs. Risk tolerance and capacity are requirements for this stock.
NYSE: OKLO
Key Data Points
Oklo's momentum is stronger heading into 2026. The company boasts major partnerships with both the private sector and the U.S. Department of Energy. The announcement of its partnership with Meta Platforms (META +0.18%) gave Oklo credibility through a high-profile relationship.
Oklo's runway is superior
Oklo's balance sheet is stronger than NuScale's. Oklo has around $1.2 billion in cash and marketable securities, providing it with a substantial runway. NuScale does have limited revenue, which is increasing, but this is attributable to engineering services. Both companies are still quite a long way from profitability.
NuScale is progressing on a more proven path than Oklo. It's further along in its development, but the company still needs to shift from mostly engineering revenue to actual contract deployment. Oklo is gaining traction through partnerships with hyperscalers, including its collaboration with Meta.
Choosing a winner between the two is a high-risk endeavor. Yet, because of its partnership with Meta and its over $1 billion in cash and marketable securities, Oklo is my pick for the next decade. The company has greater flexibility, and if there are delays or setbacks, Oklo would withstand them better than NuScale could at this point.
