For NuScale Power SMR, regulatory head start may be one of its strongest advantages. In the small modular reactor (“SMR”) industry, many companies are still years away from obtaining full regulatory approvals. NuScale is ahead of many competitors on the regulatory front. It is the only SMR developer to receive U.S. Nuclear Regulatory Commission (NRC) approval for two separate reactor designs under the Part 52 framework.
NuScale first received NRC Standard Design Approval for its 50-megawatt reactor design before securing Design Certification in 2023. Last year, the company also received approval for its 77-megawatt module design. Those approvals give NuScale a regulatory foundation that many advanced nuclear peers are still working to achieve.
The advantage is not just about credibility. It could also help shorten commercialization timelines. Large customers considering nuclear deployment— including utilities, hyperscalers, and industrial operators— are likely to prefer technologies that already have established licensing pathways. That reduces uncertainty around deployment schedules, permitting and project execution.
NuScale believes this becomes even more important for behind-the-meter applications tied to AI infrastructure and industrial facilities. The company says it remains the only NRC-approved SMR technology designed for a site-boundary emergency planning zone (“EPZ”) under the Part 52 framework. A smaller EPZ could make it easier to deploy reactors closer to hyperscale data centers and large industrial sites compared with traditional nuclear plants. That positioning is quite valuable as electricity demand rises alongside AI adoption and industrial electrification.
The company is already trying to turn those regulatory advantages into commercial opportunities. Discussions tied to the TVA-ENTRA1 project continue progressing. The opportunity is significant, although investors are also closely watching ongoing lawsuits and broader concerns surrounding ENTRA1’s commercialization experience and execution capabilities. NuScale’s international activity around projects such as RoPower in Romania also remains active.
That said, licensing alone does not guarantee success. NuScale still faces financing, execution, and project timeline risks like the broader SMR industry. But as competition grows, regulatory approvals could help separate deployable technologies from early-stage concepts.
Licensing Progress at OKLO and NNE
Oklo Inc. OKLO is also making regulatory progress. Earlier this month, Oklo received NRC approval for the Principal Design Criteria topical report tied to its Aurora powerhouse design. The approval helps establish a regulatory framework for future licensing applications and reduces the need to re-review certain materials. In March, Oklo also secured an NRC license supporting its isotope commercialization activities at its Idaho facility.
NANO Nuclear Energy NNE is also advancing through the regulatory process. NANO Nuclear recently announced that the NRC formally accepted the Construction Permit Application for its KRONOS microreactor system tied to a proposed deployment at the University of Illinois Urbana-Champaign. The decision begins the agency’s formal safety and technical review process, with NANO Nuclear targeting potential approval by 2027 and construction activity thereafter.
SMR's Price Performance, Valuation & Estimates
Shares of NuScale Power have declined more than 60% over the past year, underperforming the industry.
In terms of trailing 12-month Price/Book, NuScale Power shares are trading at 3.52X.
See how estimates for SMR’s bottom line have been revised over the past 90 days.
NuScale Power currently carries a Zacks Rank #3 (Hold).
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NuScale Power Corporation (SMR): Free Stock Analysis Report
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