Shares of NuScale Power (SMR) jumped 4.3% on January 9 following a Bank of America upgrade that assigned a $28 price target, implying a 36.5% upside from the closing price of $20.52. Trading volume surged to 49.3 million shares, 87% above the three-month average, as options activity picked up. Investors responded to the prospect of small modular reactor technology meeting growing AI data-center power needs, even though no new company fundamentals were released that day.

NuScale’s 462-megawatt reactor design received U.S. Nuclear Regulatory Commission approval in 2024, marking a key technical clearance. However, the company does not expect commercialization until the late 2020s, leaving several years before revenue generation. With zero secured contracts to date and limited operating history, NuScale carries execution risk despite its certified design and a current market capitalization of $5.6 billion.

This week’s 25% surge in nuclear-energy stocks followed Meta Platforms’ announcement of a 6.6-gigawatt commitment for AI data centers. NuScale was not selected in Meta’s deal alongside Vistra, Oklo and TerraPower, a detail that highlights its untested commercial position. The broader nuclear rally underscores investor enthusiasm for SMR technology, yet NuScale’s lack of contract wins contrasts with peers already under development or construction.