NuScale Power Corp (NYSE: SMR) soared nearly 15% this morning after announcing support for a landmark agreement between ENTRA1 Energy and the Tennessee Valley Authority (TVA).
The deal aims to deploy up to 6 gigawatts of NuScale’s small modular reactor (SMR) technology across TVA’s seven-state region – and marks the largest SMR deployment initiative in US history.
NuScale shares have been in a sharp uptrend over the past four months. At the time of writing, the nuclear-technology stock is up nearly 250% versus the first week of April.
Significance of the deal for NuScale stock
SMR stock rallied on the ENTRA1-TVA partnership today as it could prove a game-changer for NuScale’s commercial trajectory.
Aligning with a federally backed utility and seasoned energy developer secures a credible pathway to scale its SMR technology across a vast geographic footprint – and emerge as a stand-out in the clean energy space.
The agreement could deliver enough carbon-free electricity to power millions of homes and data centers amid surging demand from artificial intelligence (AI), semiconductor manufacturing, and digital infrastructure.
In the press release, John Hopkins, chief executive of NuScale, called the deal “historic”, fixating on ENTRA1’s deep expertise in project finance and infrastructure execution.
For investors, this isn’t just validation of the company’s SMR technology; it’s a signal that NuScale stock is moving from concept to deployment at industrial scale.
How high could SMR shares fly in 2025?
Canaccord Genuity analysts responded swiftly to the ENTRA1-TVA partnership on Wednesday – raising their price target on NuScale shares to $60 while maintaining their “buy” rating.
The investment firm cited strategic importance of the TVA deal and SMR’s regulatory momentum, including its recent Standard Design Approval from the US Nuclear Regulatory Commission for the bullish call on the nuclear-tech stock.
As the only SMR developer with two NRC-certified designs, the NYSE-listed firm holds a unique edge in a sector hungry for scalable, low-carbon solutions.
“This collaboration validates NuScale’s commercial readiness,” Canaccord noted, adding that the company’s positioning in energy-intensive verticals like AI and advanced manufacturing could drive sustained investor interest.
All in all, with momentum building, SMR shares may still have room to run, it concluded.
What’s next for NuScale shares?
NuScale shares now have the ingredients required to push higher from current levels. However, their future ultimately hinges on execution.
The Corvallis-headquartered firm must now translate its regulatory and strategic victories into operational milestones – site selection, permitting, and construction timelines will be closely watched.
Financially, NuScale is showing signs of efficiency, narrowing its quarterly losses and posting explosive revenue growth. Yet challenges remain, including cost management and delivery risk.
Still, with a high-profile partnership, rising analyst confidence, and a growing need for clean baseload power, SMR stock is positioned to lead the next wave of nuclear innovation.
For investors betting on the future of energy, NuScale may be more than just a ticker – it could be a turning point.
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