According to Bank of America analysts, nuclear energy is fully immersed in a $10 trillion global renaissance. The artificial intelligence (AI) industry needs more power to scale data center infrastructure, and nuclear energy is an ideal source of long-term energy generation capacity.
If you're looking for high-upside stocks that expose your portfolio to the nuclear energy revolution, there's an exciting business valued under $4 billion that should top your research list.
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NuScale Power might be my favorite nuclear energy stock
NuScale Power (SMR -0.39%) is an admittedly risky stock pick. The company has yet to achieve any major revenue milestones, and it has been forced to continually raise capital to stem its negative cash flows. But it's not hard to see this $9 stock surpassing $100 per share by the end of this decade.
NuScale Power specializes in small modular reactors, or SMRs. Only a handful of SMRs currently operate globally. Because this type of reactor design can -- at least in theory -- be built faster and at lower cost than larger conventional nuclear power plants, it's better suited to meeting the AI industry's rapidly rising demand for clean power.
NYSE: SMR
Key Data Points
At $100 per share, NuScale would have a market cap of just $34 billion. Additional share issuances may change that math. But if NuScale starts to execute on its project pipeline and SMRs become a key part of the expected $10 trillion nuclear revolution, a $34 billion market cap would be a very reasonable assumption, despite the significant execution risks.
