NuScale Power (SMR): Evaluating Valuation as Analyst Skepticism, Sector Volatility, and New Legal Leadership Draw Attention

NuScale Power, a developer of small modular reactors, recently appointed James D. Canafax as Chief Legal Officer and Corporate Secretary. This move comes at a time when sector volatility and fresh analyst concerns are drawing renewed attention to the nuclear energy space.

See our latest analysis for NuScale Power.

It’s been a turbulent ride for NuScale Power, with the latest executive appointment landing amid sharp price swings and renewed attention on the nuclear sector. After racing to new highs this year, the company’s share price has pulled back rapidly, dropping nearly 35% in the past week alone. However, its year-to-date share price return still sits at an impressive 96%. The long-term picture is even more striking, with total shareholder returns topping 100% over the past year and 200% over three years. This reflects both the promise and volatility of early-stage nuclear innovators.

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So, after a sharp pullback and new analyst skepticism, is NuScale’s slide an invitation to buy into the nuclear story at a rare discount? Or is the market already baking in every bit of future growth?

Most Popular Narrative: 15% Undervalued

NuScale Power’s most followed narrative suggests the fair value is $40.84, comfortably above the latest close at $34.72. Investors are weighing whether the company’s current discount reflects overlooked growth potential or persistent uncertainty.

NuScale’s involvement in the RoPower 6-module small modular reactor (SMR) power plant in Romania indicates future meaningful revenue and cash flow through its partnership in the Fluor-led Front-End Engineering and Design (FEED) Phase 2. This project enhances NuScale's revenue prospects.

Read the complete narrative.

Curious what drives the premium in this narrative? The secret sauce lies in high-octane revenue forecasts, ambitious profit margin assumptions, and a bold leap in future earnings. What underlying projections add up to that headline fair value? Click through to see the details at the heart of this calculation.

Result: Fair Value of $40.84 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, significant hurdles remain, such as complex long-term agreement negotiations and supply chain uncertainties that could delay revenue generation or impact margins.

Find out about the key risks to this NuScale Power narrative.

Build Your Own NuScale Power Narrative

If you want to check the numbers yourself or map out your own view, it’s easy to build a personalized thesis in just a few minutes. Do it your way.

A great starting point for your NuScale Power research is our analysis highlighting 1 key reward and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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