NuScale Power (NYSE:SMR) Trading Down 6.1% - Time to Sell?

Key Points

• NuScale shares fell 6.1% to $8.63, trading below both their 50-day and 200-day moving averages amid high volatility.
• The company’s fundamentals remain weak: second-quarter revenue plunged 99.1% year over year to approximately $75,000, while a new $750 million equity offering improves liquidity but risks diluting shareholders.
• Potential long-term catalysts include a prospective 6–8 gigawatt Tennessee Valley Authority project and industrial-heat applications, but analysts remain cautious, with a consensus “Hold” rating and an average $13.50 price target.

NuScale Power Corporation (NYSE:SMR - Get Free Report) shares dropped 6.1% on Tuesday . The stock traded as low as $8.58 and last traded at $8.6250. 30,242,671 shares changed hands during trading, a decline of 1% from the average session volume of 30,395,209 shares. The stock had previously closed at $9.19.

NuScale Power News Summary

Here are the key news stories impacting NuScale Power this week:

• Positive Sentiment: A potential Tennessee Valley Authority project involving approximately 6–8 gigawatts of NuScale reactors could become a major commercial catalyst if finalized. Management has described it as potentially the largest nuclear build-out in U.S. history, although the project remains prospective. NuScale’s Potential TVA Deal Could Be 6 to 8 Gigawatts
• Positive Sentiment: NuScale is pursuing industrial-heat applications, supplying high-temperature steam to industries such as chemicals and fuels. This could expand its addressable market beyond electricity generation, though meaningful revenue would likely take time. Could Industrial Heat Unlock New Growth for NuScale Stock?
• Neutral Sentiment: NuScale retains a key competitive advantage as the only U.S. small modular reactor developer with its design certified by the Nuclear Regulatory Commission. However, industry-wide uranium, enrichment, manufacturing and equipment bottlenecks could delay reactor deployment. The Bottlenecks of the Nuclear Fuel and Supply Chain
• Negative Sentiment: Second-quarter revenue reportedly collapsed to just $75,000 as previously recognized FEED-study work ended, highlighting that NuScale has not yet established consistent commercial revenue. The company’s latest quarterly revenue was down about 99% year over year, while it continued to report a loss. NuScale Power Falls With Q2 Revenue Drop and New Share Sale
• Negative Sentiment: NuScale announced a new $750 million equity offering. Although the financing strengthens its cash position and extends its runway, issuing more shares could dilute existing shareholders and reinforces concerns about the company’s dependence on capital markets. NuScale’s Revenue Fell 99%, Its Cash Pile Grew by $900 Million

Wall Street Analyst Weigh In

Several equities analysts recently issued reports on SMR shares. Barclays lowered their price objective on NuScale Power from $15.00 to $11.00 and set an "equal weight" rating on the stock in a research report on Wednesday, July 22nd. Royal Bank Of Canada decreased their price target on NuScale Power from $14.00 to $10.00 and set a "sector perform" rating for the company in a research note on Tuesday, August 11th. Bank of America assumed coverage on NuScale Power in a report on Friday, May 22nd. They set a "neutral" rating and a $12.00 price target on the stock. HSBC began coverage on NuScale Power in a research report on Thursday, April 23rd. They set a "hold" rating and a $13.00 price objective on the stock. Finally, Truist Financial initiated coverage on NuScale Power in a research report on Monday, July 13th. They issued a "hold" rating and a $10.00 target price for the company. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, nine have issued a Hold rating and three have assigned a Sell rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $13.50.

NuScale Power Stock Down 6.1%

The company has a market cap of $3.71 billion, a PE ratio of -2.95 and a beta of 2.26. The company's fifty day moving average is $9.40 and its 200-day moving average is $11.45.

NuScale Power (NYSE:SMR - Get Free Report) last announced its earnings results on Wednesday, August 5th. The company reported ($0.13) earnings per share for the quarter, meeting analysts' consensus estimates of ($0.13). The business had revenue of $0.07 million during the quarter, compared to analyst estimates of $8.80 million. NuScale Power had a negative net margin of 3,888.70% and a negative return on equity of 35.59%. The company's quarterly revenue was down 99.1% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.11) EPS. Equities research analysts expect that NuScale Power Corporation will post -0.43 EPS for the current fiscal year.

Insider Activity at NuScale Power

In related news, COO Carl M. Fisher sold 18,771 shares of NuScale Power stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $9.36, for a total value of $175,696.56. Following the completion of the sale, the chief operating officer owned 114,718 shares of the company's stock, valued at $1,073,760.48. The trade was a 14.06% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 1.28% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. grew its stake in shares of NuScale Power by 40.5% during the 4th quarter. Vanguard Group Inc. now owns 15,545,018 shares of the company's stock valued at $220,273,000 after purchasing an additional 4,482,254 shares during the period. Van ECK Associates Corp increased its position in shares of NuScale Power by 117.8% during the 4th quarter. Van ECK Associates Corp now owns 11,515,561 shares of the company's stock valued at $163,176,000 after purchasing an additional 6,227,747 shares during the last quarter. Renaissance Technologies LLC bought a new position in shares of NuScale Power in the 1st quarter worth approximately $59,141,000. Morgan Stanley lifted its stake in shares of NuScale Power by 81.0% in the 4th quarter. Morgan Stanley now owns 5,277,905 shares of the company's stock worth $74,788,000 after purchasing an additional 2,361,532 shares during the period. Finally, Samsung C&T Corp boosted its holdings in shares of NuScale Power by 98.9% in the third quarter. Samsung C&T Corp now owns 5,185,804 shares of the company's stock worth $186,689,000 after buying an additional 2,578,702 shares during the last quarter. Institutional investors own 78.37% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source