Since its SPAC merger in May 2022, NuScale Power’s share price has plummeted more than 60% from its peak, contributing to a current market capitalization of approximately $5.5 billion. This valuation implies a forward multiple near 19 times projected 2027 revenue, raising questions about near-term upside given limited revenue today. Investors will closely monitor upcoming project milestones to justify the premium valuation in the context of an early-stage commercial company.

NuScale is the only developer to secure Standard Design Approvals from the U.S. Nuclear Regulatory Commission for its small modular reactors, with its 50 MWe design approved in early 2023 and a 77 MWe design cleared in May 2023. Each reactor vessel measures 15 feet in diameter and 76 feet in height, enabling factory fabrication and rapid on-site assembly. The scalability of chaining multiple modules offers a smaller footprint and cost savings compared to traditional nuclear plants, positioning NuScale as a potential leader in the SMR sector.

To date, NuScale has not generated significant revenue from deployed reactors. Its primary contracts include front-end engineering and design (FEED) studies for a 462 MWe facility in Romania, pending a final investment decision expected this year, and an agreement to deploy up to six gigawatts of capacity for the Tennessee Valley Authority, with full activation targeted by 2032. Analysts forecast revenue of $40 million in 2025—accompanied by a net loss of $360 million—rising to $293 million in 2027 as net losses narrow to $67 million, contingent on timely project approvals.

Research and Markets projects the global SMR industry could expand at a compound annual growth rate of 42.3% through 2035, driven by demand for compact, cost-effective baseload power. If NuScale sustains a 40% top-line CAGR from 2024 to 2035, it could reach $1.5 billion in annual revenue and a market cap of $55.5 billion—ten times today’s level—assuming a 37-times-sales multiple. However, execution risks remain high: prior cancellations in Idaho and a workforce reduction of 40% in 2023 underscore the challenges of scaling from design approval to commercial deployment.