NuScale Power Eyes May Earnings as Catalyst for Recovery

NuScale Power (NYSE: SMR) is approaching a critical juncture as it prepares to report earnings on May 7, following a period of significant volatility and a recent decline in valuation. The stock has dropped more than 30% since February, largely attributed to a substantial earnings miss driven by a $507 million accounting charge related to an expected milestone payment. This downturn follows a period of extreme growth between 2024 and mid-2025, during which the stock surged nearly 1,500% amid enthusiasm for small modular reactors (SMRs) and their application in powering AI infrastructure. Similar trends were observed in peers like Oklo (NYSE: OKLO), which saw shares rise over 500% in the same window. Market attention is now centered on the company's project pipeline. While NuScale has a nonbinding collaborative agreement with TVA and ENTRA1 to develop the largest SMR plant in U.S. history, concrete commitments remain elusive. Furthermore, the timeline for one of its primary projects has been extended from 2030 to as late as 2034. The long-term growth thesis relies heavily on the expansion of AI data centers. Industry projections suggest U.S. data center power demand will climb from 25 GW in 2024 to over 80 GW by 2030, necessitating investments exceeding $500 billion. Despite signing five exploratory NDAs with 'tier one hyper-scalers,' NuScale has yet to secure a new data center customer in 2026. The upcoming earnings call will be pivotal in determining if these high-level discussions can transition into binding agreements and provide a new floor for the stock price.