Oklo vs. NuScale vs. BWX Technologies: Ranking the 3 Popular Nuclear Stocks From Worst to First

Nuclear power is making a comeback, with Oklo (NYSE: OKLO), NuScale Power (NYSE: SMR), and BWX Technologies (NYSE: BWXT) each offering distinct nuclear stories. But which one stands out? Here's a look at these popular nuclear stocks, ranked from worst to first.

NuScale has great technology, but is still waiting for the story to become real

NuScale Power has one of the easiest stories for investors to understand. The company has developed a small modular reactor, and its design has already received certification from the U.S. Nuclear Regulatory Commission (NRC). NuScale is also building out its supply chain and announced progress on securing components for its reactor.

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The problem is that having an approved reactor design isn't the same thing as having a commercial nuclear fleet that's already operational. That remains the biggest issue for the stock.

NuScale's most important potential project is tied to its partnership with ENTRA1 and discussions with the Tennessee Valley Authority. The opportunity is potentially enormous, but the power purchase agreement investors want to see hasn't been signed yet. Also, its Romania project is yet another potential path to deployment, but it's also still in the development phase rather than in commercial operations.

The upside could be huge, but for now, investors are still waiting to see the company turn its plans into reality. So, while NuScale is still working on its tech, another company is already taking the next step.

Oklo's commercial story is becoming more substantial

Instead of competing with the traditional large-reactor model, Oklo focuses on compact fast reactors to provide power directly to customers. That makes the company more interesting in a world where data centers are trying to secure reliable energy as quickly as possible.

The company has already made meaningful progress. For example, it received approval from the Department of Energy for the preliminary safety analysis for its Aurora powerhouse at Idaho National Laboratory, an important milestone that moves the project further into the actual safety and construction process.

Oklo is also progressing on its fuel strategy, including its Aurora Fuel Fabrication Facility, while continuing regulatory work with the NRC. The NRC's records show ongoing pre-application work around Aurora, including reviews of key design and licensing materials.

But Oklo has yet to deploy a commercially operating reactor, and its timeline still depends on construction, regulatory, and operational matters.

Oklo offers plenty of upside if Aurora takes off, but another company has a nuclear business that's already up and running.

BWX Technologies has a nuclear business that already works

BWX Technologies sets itself apart by being embedded in the nuclear industry. The company has exposure to naval nuclear propulsion, government nuclear programs, and nuclear manufacturing. These days, it's also expanding into advanced reactors and next-generation nuclear technologies.

Recent developments have only strengthened that position. The U.S. Army selected BWX's Advanced Nuclear Reactor for its Janus power program for military bases, with the first planned deployment at Fort Campbell on the Kentucky-Tennessee border. The project gives BWX another potential path into the fast-growing market for distributed nuclear power.

At the same time, BWX is expanding its manufacturing footprint. For example, the company acquired Precision Components Group, strengthening its nuclear manufacturing, while its TRISO fuel helped a reactor achieve first criticality under a Department of Energy program.

BWX also continues to win work tied to U.S. national security and government infrastructure, having been selected to develop the conceptual design for a new lithium processing facility at the Y-12 National Security Complex.

Ultimately, the biggest difference between these three stocks comes down to how much of their story has already been proven.

Ranking the three nuclear stocks from worst to first

NuScale, Oklo, and BWX offer three different ways to play the nuclear revival, but they're not created equal.

BWX Technologies is the safest and clear winner of the three, with a real nuclear business already generating revenue on top of growing exposure to advanced reactors. If the nuclear build-out continues, BWX is arguably the best positioned of the group to benefit.

For investors who prefer to wait on the sidelines until a technology proves itself, NuScale is still working to bring its reactor design to commercial projects. And that makes Oklo the higher-risk, higher-reward pick, focused on next-generation reactors that still need to be built and scaled.

Rick Orford has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends BWX Technologies. The Motley Fool recommends NuScale Power. The Motley Fool has a disclosure policy.