Oklo Is Down Over 75% From Its High. It's Still Not the Best Nuclear Stock to Buy.

Oklo (NYSE: OKLO) got off to a fast start. The small modular nuclear reactor (SMR) developer began trading on the New York Stock Exchange in May 2024 at around $10 per share and rocketed to nearly $175 per share by October 2025. Unfortunately, it has been all downhill from there. Shares currently sit more than 75% below their peak.

While I like a good bargain, I'm still not buying this nuclear energy stock. Here's why and the one I'm buying instead.

Image source: Getty Images.

Lots of promise, but it hasn't delivered yet

Oklo is developing fast fission power plants that could eventually produce clean, reliable, and affordable energy at scale. It has secured a couple of major customers. In 2024, it formed a landmark strategic relationship with the privately held data center operator Switch to deploy 12 gigawatts (GW) of advanced nuclear power, in one of the largest corporate clean power agreements ever signed. Oklo also signed an agreement with Meta Platforms earlier this year to support 1.2 GW of nuclear energy developments in Ohio. These deals will help the tech companies secure the power they need in the AI age.

However, my issue with Oklo is that it currently isn't producing any power. Oklo is building its first Aurora powerhouse at the Idaho National Laboratory, which won't be operational until late 2027 to early 2028. Meanwhile, it expects to start construction on the first phase of its much larger-scale Aurora powerhouse in Ohio later this year, putting it on track to bring that phase online as early as 2030, with full completion targeted by 2034.

As a result, Oklo isn't generating any revenue yet. Meanwhile, its spending will grow as it advances construction on its Ohio project. That means it's a long way from making money, making it a very risky stock.

A much lower-risk way to cash in on the nuclear resurgence

While Oklo has a lot of promise, it's a long way from delivering results. On the other hand, NextEra Energy (NYSE: NEE) is already ahead of it in capitalizing on the surge in nuclear energy demand. The utility is a leader in clean power, including nuclear. It currently operates seven units across four locations that generate more than 6 GW of reliable, emissions-free power.

Last October, NextEra signed a deal with Alphabet's (NASDAQ: GOOGL)(NASDAQ: GOOG) Google to accelerate nuclear energy deployment in the U.S. As part of that collaboration, NextEra will restart the dormant Duane Arnold Energy Center in Iowa. Google signed a 25-year deal to buy most of the power from that 615-megawatt facility when it resumes operations in the first quarter of 2029. NextEra expects the facility to contribute up to $0.16 per share in annual earnings over its first decade, a meaningful boost for a company that expects to generate $3.63 to $4.00 per share in earnings this year. The companies also expect to explore the development of new nuclear generation in the country.

Already profitable with nuclear-powered growth

Oklo is years away from turning a profit, assuming everything goes according to plan. Contrast that with NextEra Energy, which is already making money. It has visible nuclear-powered growth from Duane Arnold and its pending merger with Dominion, which will make it the country's second-largest producer. That lower risk upside exposure makes it the best nuclear stock to buy.

Matt DiLallo has positions in Alphabet, Meta Platforms, and NextEra Energy and has the following options: long December 2028 $650 calls on Meta Platforms and short December 2028 $660 calls on Meta Platforms. The Motley Fool has positions in and recommends Alphabet, Meta Platforms, and NextEra Energy. The Motley Fool recommends Dominion Energy. The Motley Fool has a disclosure policy.