Already, companies like Meta Platforms and Switch have lined up to work with upstart Oklo (OKLO +5.72%) on developing nuclear energy solutions. That list of partners is a little longer after the company announced a collaboration with Nvidia today to develop nuclear energy solutions for artificial intelligence (AI). And that's not all. A firm's initiation of coverage on the advanced nuclear energy company -- along with an auspicious price target -- is giving investors grounds to pick up shares.
As of 11:28 a.m. ET, shares of Oklo are up 9.1%, paring back an earlier gain of 11.3%.
Image source: Getty Images.
Oklo and Nvidia have a date in the desert
Working with scientists at Los Alamos National Laboratory, Oklo and Nvidia will partner on solutions to advance nuclear energy solutions that can provide the foundation for AI infrastructure. In addition, the two companies will study AI-enabled research and nuclear fuels.
NYSE: OKLO
Key Data Points
According to Oklo, the collaboration with Nvidia and Los Alamos National Laboratory intends to "lay the groundwork for a new class of mission-critical, high-assurance energy."
The other catalyst for Oklo stock rising today stems from HSBC's initiation of coverage with a buy rating and a bullish $96 price target. Based on Oklo's shares closing yesterday at $72.41, the HSBC price target implies upside of 32.6%.
Is now the time to supercharge your portfolio with Oklo stock?
The new partnership with Nvidia is certainly noteworthy, as is HSBC's price target for Oklo stock. Still, investors must remain laser-focused on the company's progress toward regulatory approval for its advanced nuclear reactor designs. Without the requisite approvals from regulatory agencies -- or significant delays in the progress toward achieving them -- could be ruinous for the young company.
