Key Takeaways
- Oklo shares climbed more than 11% Thursday following the House’s 417-3 approval of the Ratepayer Protection Act
- The legislation mandates that data centers consuming 100+ megawatts bear their own infrastructure and electricity expenses instead of transferring them to consumers
- X-Energy topped nuclear sector gains with a 12.08% surge to $16.33, while NuScale Power advanced 8.92%
- Wall Street assigns Oklo a Buy consensus with an $85.46 average price target from analysts
- Technical indicators show Oklo trading beneath its 20, 50, 100, and 200-day moving averages following the uptick
Oklo (OKLO) stock rallied 11.31% Thursday after the House approved the Ratepayer Protection Act with overwhelming bipartisan support in a 417-3 vote. Premarket trading Friday showed the stock around $39.90, gaining another 0.63%.
The new legislation mandates that data centers drawing more than 100 megawatts must finance their own grid expansion and electricity supply expenses. This aims to shield residential customers and small enterprises from absorbing these costs through elevated utility rates.
According to Brett Guthrie, chair of the House Energy and Commerce Committee, the Act guarantees that “the companies who are building data centers and not American families and small businesses are paying for the electricity they use.”
The legislative action positioned nuclear technology and advanced reactor companies as primary beneficiaries. With data centers facing elevated grid connection expenses, operators may increasingly explore on-site power generation options such as small modular reactors.
This scenario favors Oklo’s business model. The company’s Aurora powerhouse utilizes liquid-metal fast-reactor technology capable of producing up to 15 megawatts from both fresh and recycled nuclear fuel sources.
Thursday’s market action extended beyond Oklo. X-Energy posted the sector’s strongest performance, surging 12.08% to reach $16.33. NuScale Power registered an 8.92% advance. Fuel cell companies also benefited from the legislative development.
Among the three nuclear players, X-Energy presents the greatest potential upside according to analysts, with a $33.71 average price target suggesting approximately 106% appreciation from present levels. The stock holds a Moderate Buy rating on Wall Street.
Wall Street’s View on Oklo
Oklo maintains a Buy consensus among analysts with an $85.46 average price target. Piper Sandler initiated coverage September 9 with an Overweight rating and $55 price target. Truist Securities maintained its Hold rating while reducing its target to $51 on August 10. Citigroup preserved its Neutral stance but lowered its target to $57.50 on the same day.
Notwithstanding Thursday’s advance, Oklo’s technical setup remains challenged. The shares trade 5.1% beneath the 50-day moving average and 36.3% under the 200-day moving average of $62.74. The relative strength index registers 48.04, indicating neutral momentum conditions.
ETF Holdings
Oklo maintains significant representation in nuclear-themed exchange-traded funds. The Global X Uranium ETF allocates 5.37% to Oklo. The Themes Uranium and Nuclear ETF maintains a 6.09% position.
Market observers are monitoring $45 as the next upside barrier, while support appears established around $39.50.
The stock’s Benzinga Momentum score registers a modest 2.6, underscoring its positioning below multiple key moving averages entering the weekend session.
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