NuScale Power Corporation (SMR) Stock Analysis

NuScale Power’s principal competitive advantage is its status as the only company with U.S. Nuclear Regulatory Commission (NRC) design approval for a small modular reactor (SMR). This regulatory milestone—achieved after over $1.8 billion in investment and 41 months of review—positions NuScale as the only near-term deployable SMR provider in the U.S. market. In contrast, key rivals such as GE Hitachi, Westinghouse, and TerraPower have not yet secured NRC design certification, which is a significant barrier to commercial deployment.

NuScale’s SMR design offers several operational advantages: factory fabrication reduces construction time and cost, and the use of natural water circulation eliminates the need for pumps, lowering both capital and maintenance expenses. The modular approach allows for incremental capacity additions, which is attractive to utilities wary of large, upfront capital commitments.

Safety is a differentiator. NuScale’s passive safety features—requiring no operator intervention or external power for shutdown—are unique among U.S. SMR designs and have been validated by the NRC. This may reduce regulatory and public acceptance risk.

However, NuScale’s technology is unproven at commercial scale, and the company has yet to secure a binding customer order. Rivals in China and Russia have operational SMRs, giving them a first-mover advantage internationally. Customer satisfaction and company culture are not yet testable at scale, but NuScale’s deep regulatory experience and partnerships with established engineering firms (e.g., Fluor) are strengths.