Oklo hopes to build small nuclear reactors to produce clean, affordable energy.
The U.S. Department of Energy has selected the company for several projects under its Reactor Pilot Program.
For many years now, the foremost experts and the world's most innovative companies have been seeking alternative sources of power for multiple reasons. The effects of global warming are real and pose significant threats, and there are also concerns about whether power from traditional sources like fossil fuels can continue to meet future demand.
One alternative being explored is nuclear power. This concept has made Oklo (NYSE: OKLO) an exciting bet for investors. The company is attempting to build and deploy small modular reactors that can leverage nuclear technology to produce clean, affordable energy.
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Through its Reactor Pilot Program (RPP), the U.S. Department of Energy has awarded Oklo three of its 11 RPP projects. The company has broken ground on one of its projects at the Idaho National Laboratory facility in Aurora. Oklo also hopes to have its Atomic Alchemy site, a research and development program intended to address supply chain shortages, begin operations in July of this year.
If you'd invested $1,000 in Oklo five years ago, here's how much you'd have today.
Companies like Oklo are bets on new markets panning out and on first movers capturing significant market share immediately. However, Oklo is risky at this point because it is pre-revenue, and there are still many obstacles between now and commercialization. However, shareholders who bought in five years ago have done well.

OKLO data by YCharts
As you can see in the chart above, while Oklo has undoubtedly been a volatile stock to own, a $1,000 bet five years ago would be worth over $6,500 today, a total return of 558%. This performance has widely outperformed the broader market, despite what's largely been a bull market in recent years.
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Bram Berkowitz has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.