Nuclear-power startup Oklo, uranium miner Centrus Energy and the U.S. Navy's main nuclear reactor supplier BWX Technologies were all upgraded Wednesday. Last week President Donald Trump signed multiple executive orders to ease regulations for new nuclear reactors and support uranium supply chains.
William Blair analyst Jed Dorsheimer on Wednesday initiated coverage of the three nuclear-related stocks at outperform in the wake of Trump's nuclear energy executive orders.
"We view these actions as the most consequential shift in energy policy of our lifetimes," Dorsheimer wrote Wednesday of the executive orders.
Dorsheimer noted that Centrus Energy, Oklo, BWX Technologies along with GE Vernova are expected to benefit from Trump's four executive orders signed last week. The analyst noted that Oklo Chief Executive Jacob DeWitte joined Trump at the White House for signing of the executive orders.
Centrus Energy dropped 3.4% to 123.40 during Thursday's stock market action. LEU fell slightly Wednesday after gaining nearly 13% on Tuesday. BWX Technologies declined 1% to 125.30 on Thursday. BWXT gained 3.5% on Wednesday.
Meanwhile, Oklo stock fell 4.2% to 52.92 Thursday and is now up 8.3% during the week's stock market.
Trump Executive Orders Fuel Nuclear Stocks
Nuclear-related stocks vaulted Friday, following a Reuters report late Thursday that the Trump executive orders would be signed.
Trump then signed four executive orders Friday afternoon to support the nuclear energy sector and put in place a "total and complete reform" of the Nuclear Regulatory Commission, or NRC. The executive orders also look to speed up the deployment of new nuclear power reactors in the U.S.
Trump's executive orders require the NRC to decide on nuclear reactor licenses within 18 months. The president is also calling for the construction of 10 new large reactors to begin by 2030.
The executive orders from the Trump White House also create a regulatory framework for the departments of Energy and Defense to build nuclear reactors on federal land. White House officials told reporters Friday that this "allows for safe and reliable nuclear energy to power and operate critical defense facilities and AI data centers."
The executive orders also define AI as a national security objective stipulates Departments of Energy and Defense work with the private sector to accelerate deployments of small modular reactors, or SMRs, to power AI.
The Trump executive orders also target increased U.S. uranium mining and look to expand domestic uranium enrichment capacity.
Trump Nuclear Executive Orders Send Oklo, S&P 500 Giants Higher
Following last week's stock market trade, Texas-based utilities play NRG Energy is also now the top performer in the S&P 500 index, rallying 73% on the year. NRG Energy has looked to capitalize on the expected increase in energy demand from AI. The company's power generation portfolio primarily consists of natural gas and coal.
Fellow S&P 500 component Constellation Energy, a nuclear power giant, was Friday's IBD Stock Of The Day.
Trump Fuels Oklo Stock
Oklo is looking to bring its first commercial SMR online in late 2027 or early 2028. The nuclear-startup spiked 23% on Friday. Oklo closed Thursday up 123% in May. For the 2025 stock market, Oklo stock has gained 149%.
OKLO is also now about 10.5% below its all-time high of 59.14, which it hit on Feb. 7. The stock jumped 101% in 2024. But the gain masked some wild gyrations.
Oklo Stock Soars After First-Quarter Earnings; OpenAI Deal Potential
William Blair has an Oklo stock base case of 58 per share and a bull case of 82, with a fair value of 70 per share. That represents about 30% upside from current trading levels.
Wedbush Securities analyst Dan Ives on Friday raised his price target on Oklo to 55 from 45, writing that Trump's actions offer a "significant tailwind for the industry with OKLO being the one of the main beneficiaries as support from the U.S. Government has gained significant traction since the Trump Administration took over in the past few months."
Ives added that nuclear-related stocks NuScale Power, Lightbridge, Energy Fuels, Cameco, Uranium Energy and Centrus Energy are "other beneficiaries."
BWX Technologies And Centrus Energy
Meanwhile, Dorsheimer has a BWX Technologies price target of 173, around 40% higher than where the nuclear stock is currently trading. BWX Technologies supplies the U.S. Navy with nuclear reactors and also has a strong position in the supply chain for Canada's nuclear energy program.
William Blair wrote Wednesday that BWX could "expand its commercial nuclear power business" in both Canada and into the new nuclear technology small modular reactors, or SMRs.
When it comes to Centrus Energy, Dorsheimer wrote Wednesday that the company is "uniquely positioned as the only U.S.-owned uranium enricher, providing advantages in both technology and national security."
"As the company transitions from a broker of foreign nuclear fuel to a producer and supplier, we expect Centrus to capture significant market share," the analyst said. "We believe Centrus should hold a position in any energy-themed investor's portfolio."
On May 8, Centrus Energy soared more than 20% after reporting better-than-expected first quarter profit and sales amid plans to capitalize on billions of federal dollars for domestic nuclear fuel production.
In 2023, The Department of Energy was given $3.4 billion to shore up domestic enriched uranium supply. This came amid concern around U.S. reliance on Russian enriched uranium after the invasion of Ukraine. The U.S. has relied on Russia for about 25% of fuel for its nuclear reactors.
William Blair has a fair value price target on Centrus of 185.
Meanwhile, Cathie Wood and her Ark Invest funds decided to trim positions in Oklo and uranium refiner Cameco on Friday. On Tuesday, Wood and Ark Invest purchased 20,780 shares of BWX Technologies.
Please follow Kit Norton on X @KitNorton for more coverage.
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