Why Oklo Stock Is Spiking Higher Today

Key Points

• Bank of America initiated coverage on Oklo stock with a bullish outlook.

• Not all analysts are convinced Oklo stock can continue to rise.

• The company doesn't have a licensed reactor design, so an investment in Oklo represents a higher degree of risk.

• 10 stocks we like better than Oklo ›

There's no shortage of investors bullish on Oklo (NYSE: OKLO) stock right now. Shares of the nuclear energy stock have soared in 2025, and they're continuing to rise higher today thanks to an analyst's bullish opinion on the small modular reactor (SMR) developer.

As of 10:49 a.m. ET, shares of Oklo are up 6%.

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Bank of America sees room for Oklo to run

Lest you thought the market was souring on the prospect of Oklo stock rising even higher than its massive gain in 2025, Bank of America analyst Dimple Gosai believes the nuclear energy stock's climb isn't over. The analyst initiated coverage on Oklo stock today with a buy rating and a $92 price target. With Oklo shares closing at $71.19 yesterday, Gosai's price target implies upside of 29.2%.

According to The Fly, Gosai predicated her opinion on the belief that Oklo is "well positioned to meet the rising energy needs of [artificial intelligence] AI." Plus, Gosai believes Oklo's pipeline that includes memoranda of understanding totaling about 14 gigawatts distinguishes itself from SMR peers.

Just because one analyst is bullish doesn't mean Oklo stock is right for you

While BofA is bullish about Oklo's prospects, it's important to acknowledge that not every analyst shares the same view. Last week, UBS initiated coverage on Oklo with a neutral rating and a $65 price target. More importantly, investors must recognize that analysts often base their price targets on shorter time frames than the multiyear holding periods that The Motley Fool favors.

Since Oklo still doesn't have a design licensed by the Nuclear Regulatory Commission, the stock represents a higher degree of risk. Therefore, only those who are comfortable with a more speculative investment should consider a position.

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Bank of America is an advertising partner of Motley Fool Money. Scott Levine 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.