NuScale Power (NYSE:SMR) Stock Price Down 6.5% - Time to Sell?

Key Points

• Shares fell 6.5% to about $11.83 on Tuesday, trading near the 50-day SMA ($11.81) and well below the 200-day SMA ($19.53) on slightly below-average volume.
• Analyst consensus is "Hold" with an average price target of $19.77, and several firms have recently lowered targets (e.g., B. Riley to $19, RBC to $14, Citi to $9), reflecting mixed but downward revisions.
• Weak results and heavy insider selling: NuScale missed quarterly EPS and revenue estimates (EPS -$0.80 vs -$0.10 est.), has negative margins/ROE, and insiders have sold over 40 million shares in the past 90 days, including a 13.5M-share sale by Corp Fluor.

Shares of NuScale Power Corporation (NYSE:SMR - Get Free Report) were down 6.5% on Tuesday . The company traded as low as $11.52 and last traded at $11.8320. Approximately 26,869,317 shares changed hands during trading, a decline of 6% from the average daily volume of 28,711,176 shares. The stock had previously closed at $12.65.

Wall Street Analyst Weigh In

Several research firms have issued reports on SMR. B. Riley Financial decreased their price objective on shares of NuScale Power from $24.00 to $19.00 and set a "buy" rating for the company in a research note on Friday. Royal Bank Of Canada cut their target price on NuScale Power from $21.00 to $14.00 and set a "sector perform" rating on the stock in a research report on Monday, March 2nd. Zacks Research raised NuScale Power from a "strong sell" rating to a "hold" rating in a report on Friday, February 20th. Citigroup decreased their target price on NuScale Power from $11.50 to $9.00 and set a "sell" rating for the company in a research report on Tuesday, April 21st. Finally, Texas Capital raised NuScale Power to a "strong-buy" rating in a research report on Tuesday, January 27th. One equities research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, nine have assigned a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and an average target price of $19.77.

NuScale Power Price Performance

The business's 50 day simple moving average is $11.81 and its 200 day simple moving average is $19.53. The company has a market capitalization of $4.00 billion, a price-to-earnings ratio of -4.09 and a beta of 2.27.

NuScale Power (NYSE:SMR - Get Free Report) last issued its quarterly earnings results on Thursday, February 26th. The company reported ($0.80) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.10) by ($0.70). NuScale Power had a negative net margin of 1,130.26% and a negative return on equity of 55.23%. The company had revenue of $1.81 million during the quarter, compared to analyst estimates of $8.76 million. As a group, analysts expect that NuScale Power Corporation will post -0.49 EPS for the current fiscal year.

Insider Activity at NuScale Power

In other news, Director Corp Fluor sold 13,500,000 shares of the business's stock in a transaction dated Thursday, April 9th. The shares were sold at an average price of $12.07, for a total transaction of $162,945,000.00. Following the transaction, the director directly owned 26,436,472 shares in the company, valued at $319,088,217.04. The trade was a 33.80% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO John Lawrence Hopkins sold 82,667 shares of the stock in a transaction dated Tuesday, March 3rd. The stock was sold at an average price of $12.22, for a total transaction of $1,010,190.74. Following the transaction, the chief executive officer directly owned 117,018 shares of the company's stock, valued at $1,429,959.96. This represents a 41.40% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 40,572,082 shares of company stock worth $481,029,608 in the last 90 days. Corporate insiders own 1.20% of the company's stock.

Hedge Funds Weigh In On NuScale Power

Large investors have recently modified their holdings of the business. Allianz Asset Management GmbH purchased a new position in NuScale Power in the third quarter valued at about $14,347,000. Universal Beteiligungs und Servicegesellschaft mbH increased its stake in NuScale Power by 686.9% in the 3rd quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 184,609 shares of the company's stock valued at $6,646,000 after purchasing an additional 161,149 shares in the last quarter. Mirae Asset Global Investments Co. Ltd. increased its stake in NuScale Power by 103.4% in the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 609,450 shares of the company's stock valued at $21,940,000 after purchasing an additional 309,810 shares in the last quarter. Lisanti Capital Growth LLC acquired a new position in NuScale Power during the third quarter worth $2,350,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in NuScale Power by 22.6% during the third quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 7,310,961 shares of the company's stock worth $263,195,000 after purchasing an additional 1,346,796 shares in the last quarter. 78.37% of the stock is owned by hedge funds and other institutional investors.

About NuScale Power

NuScale Power Corporation, trading on the NYSE American under the ticker SMR, is a pioneering developer of small modular nuclear reactors. Established in 2007 as a spinout from Oregon State University, the company is headquartered in Portland, Oregon. NuScale’s mission is to deliver zero-carbon baseload power through scalable modular reactor technology, aiming to transform traditional nuclear energy deployment.

At the core of NuScale’s offering is the VOYGR small modular reactor design, featuring 77-megawatt electric (MWe) modules with passive safety systems.

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