Nuclear Energy Stocks Drop From Record Highs

Nuclear energy stocks have experienced sharp price declines from their record highs, driven by a combination of inflation, rising interest rates, and the Iran war. The impact has varied significantly based on the commercial maturity of the companies involved.

NuScale Power and Oklo, which develop small modular reactors and microreactors respectively, saw the steepest losses. NuScale's valuation dropped by 86% and Oklo's by 79%, as neither company has deployed a working commercial reactor. NuScale plans to deploy its first commercial reactors in the early 2030s, while Oklo aims for deployment in late 2027 or early 2028.

BWX Technologies experienced a smaller pullback of approximately 40%. The company maintains greater stability than its pre-commercial peers because it operates as a diversified producer of nuclear components and naval reactor systems for the United States Navy, relying on established defense contracts. This trend occurs despite projections from the International Energy Agency that world nuclear capacity could increase by more than 50% by 2050.