These 2 Nuclear Stocks Could Turn $10,000 Into a Fortune

In the U.S. and throughout many regions globally, the adoption of nuclear power has plateaued. Concerns over safety and environmental impacts proved rampant across many communities.

There's just one problem: The data center industry, driven by rising demand for artificial intelligence (AI) technologies, will require huge amounts of additional power in the years and decades to come. The current energy paradigm doesn't seem well suited to meet this new demand catalyst.

That's why a new breed of nuclear stocks is garnering a sharp rise in interest. Two stocks in particular are leading the charge. For patient investors, these stocks could be the ticket to making a fortune.

Nuclear energy is positioned to succeed

Small modular reactor (SMR) technology -- which specializes in deploying smaller, modular reactors that dramatically lower initial lead times and costs while also being able to meet the needs of more remote, off-grid applications -- is experiencing a renaissance.

Originally conceived in the 1950s, interest and development of this technology stalled for decades. But in 2020, NuScale Power (NYSE: SMR) received the first approval from the U.S. Nuclear Energy Commission for an SMR power plant design. In 2025, it received another design approval for an even bigger plant. Oklo (NYSE: OKLO), another SMR stock, is currently in the process of approvals.

It's not hard to see what the market opportunity here is. The potential for SMR technology to meet the needs of the AI and data center industries is now a focal point for both companies' pitches to investors. NuScale's investor relations team is quick to point out that AI data center power demand is expected to triple between 2024 and 2030. The company believes that roughly 300 GW of new nuclear capacity will be needed to meet this "historical" electric demand growth. Meanwhile, data centers are the first thing mentioned in Oklo's investor presentations when speaking on potential growth catalysts.

Many analysts agree with the potential for SMR technology to meet the rapidly growing needs of the AI sector. A recent report from global consultancy Deloitte stressed the "rising power demand from data centers to drive artificial intelligence growth," concluding that "nuclear energy appears to be emerging as an attractive option."

SMR installations hold multiple advantages. These facilities deliver reliable base load power regardless of weather, while impressive energy density allows these facilities to be located in difficult or costly build sites through a smaller footprint. SMR plants are often scalable, allowing more bespoke deployments and the option to expand the plant's output over time. This technology can also greatly reduce a data center's potential carbon footprint -- historically a popular need among big tech firms with climate commitments.

Image source: Getty Images

Time to buy Oklo or NuScale Power stock?

The nuclear energy renaissance is already underway. According to Morgan Stanley, "nuclear capacity could more than double to 860 gigawatts (GW) by 2050, from 398 GW currently." The firm believes that investments throughout the nuclear value chain "could reach $2.2 trillion in the next 25 years."

But does this make SMR stocks like Oklo and NuScale Power a buy? The honest answer is: maybe.

Oklo and NuScale certainly could have a role to play in meeting the energy needs of the AI and data center industries. But the actual viability of their technology -- both from a cost and demand perspective -- remains unclear. Both companies have inked early customers. But keep in mind that Oklo's designs aren't even approved in the U.S. yet, while NuScale Power just saw a major project delayed by several years, with operation now not expected until 2034.

In short, there's a long way to go until we learn whether SMR technology will ever become mainstream. Some experts worry this approach to nuclear power will never prove more viable than a conventional, large nuclear plant.

But following a sharp correction, NuScale Power trades at a market cap of just $4.1 billion, with Oklo valued at just $9.6 billion. That's cheap compared to estimates for nuclear over the next few decades. A report from Bank of America, for example, sees this as a $10 trillion opportunity. But from now until 2040, it believes that SMR deployments will only total around 50 GW of new capacity -- less than 10% of the total growth expected.

NuScale Power and Oklo shares are much cheaper than they were just a few months ago. And the opportunity for nuclear could make these stocks extremely lucrative for patient shareholders. But these fortune-making stocks are not without notable risk.

Bank of America is an advertising partner of Motley Fool Money. Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.