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With an upside potential of 24.9%, Oklo Inc. (NYSE:OKLO) earns a spot on our list of the best nuclear energy stocks to buy as SMRs go mainstream.

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Oklo Inc. (NYSE:OKLO) received a meaningful regulatory de-risking boost on May 6, 2026, when the NRC approved its Principal Design Criteria (PDC) topical report for the Aurora powerhouse under construction in Idaho.

The PDC lays down the requirements that the reactors must follow regarding safety, reliability, and operational performance. These standards will guide future reactor licensing and design activities. The development also means that future approvals may take less time.

Importantly, the NRC completed the approval process unusually quickly, accepting the submission in just 15 days versus the typical 30-to-60-day window and finished the entire approval process in less than half the traditional timeframe. That aligns with broader U.S. government efforts to modernize and speed up nuclear regulation following executive orders issued in May 2025, as well as the ADVANCE Act, a law designed to support advanced nuclear energy development. That works in favor of Oklo Inc. (NYSE:OKLO) as it moves toward commercializing its reactors.

Meanwhile, analysts continue to express bullishness on the overall setup for SMRs, with JPMorgan saying on May 11 that SMR developers are likely to see strong demand amid the expansion of data centers. As far as the stock is concerned, the firm awaits the successful buildout and commercialization of its technology before it can become more positive about the stock. The firm keeps a “Neutral” rating on the stock with an $83 price target.

A day later, Oklo Inc. (NYSE:OKLO) submitted its Q1 2026 10-Q filing, reporting $2.5 billion in cash and marketable securities and a net loss of $33.1 million, compared with a net loss of $9.8 million in Q1 2025. With approximately $1.18 billion raised through its at-the-market equity offering program, the company heads toward its 2028 first-powerhouse deployment target with a well-funded balance sheet.

Backed by OpenAI’s Sam Altman, Oklo Inc. (NYSE:OKLO) develops advanced fission power plants to provide clean, reliable, and affordable energy at scale to customers in the United States.

While we acknowledge the potential of OKLO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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