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Investing.com - Canaccord Genuity initiated coverage on Oklo (NYSE:OKLO) with a Buy rating and a $175.00 price target on Thursday. According to InvestingPro data, the stock has delivered an impressive 534% return year-to-date, with analyst targets ranging from $14 to $150.
The research firm sees Oklo as a potential leader in a "new nuclear age" where nuclear assets will grow both in volume and as a percentage of the global energy mix, according to its research note.
Canaccord’s price target is based on a discounted cash flow model extending to 2050, with assumptions that Oklo’s reactor buildouts will be primarily financed through debt and supported by investment tax credits.
The firm believes this financing approach could strengthen long-term returns on capital with potentially minimal requirements for additional equity, resulting in an assumed weighted average cost of capital slightly above 7% and long-term growth of approximately 6%.
Canaccord envisions Oklo emerging as a "vertically integrated, global distributed nuclear energy utility" positioned to meet growing demand for clean, baseload power, noting that while AI demand may influence growth trajectory, it anticipates strong long-term demand for nuclear energy regardless.
In other recent news, Oklo Inc. has been selected by the U.S. Department of Energy for the Advanced Nuclear Fuel Line Pilot Projects. This initiative aims to accelerate the permitting, construction, and operation of nuclear facilities, fostering private sector investment. Additionally, the U.S. Nuclear Regulatory Commission has accepted Oklo’s Principal Design Criteria topical report for an expedited review, with a draft evaluation expected in early 2026. This acceptance occurred in just 15 days, significantly faster than the usual 30-60 day period.
Furthermore, Oklo has entered a strategic partnership with Swedish company Blykalla AB, which includes a $5 million investment commitment. This collaboration focuses on technology development, supply-chain coordination, and regulatory knowledge-sharing. Under the Joint Technology Development Agreement, both companies will share insights on materials, components, and licensing practices across the U.S. and Sweden. These developments highlight Oklo’s active engagement in advancing nuclear technology and international collaboration.
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