2 Cheap Nuclear Stocks with 90% Upside on AI Energy Demand

Zacks Research has highlighted two next-generation nuclear energy stocks trading under $25 per share, with average price targets suggesting a 90% upside from current levels. This comes as demand for power from AI data centers surges, boosting prospects for small nuclear companies.

Recommendation Change

Zacks did not mention a prior recommendation but spotlighted the stocks as current buying opportunities based on their price targets.

Analyst Rationale

Analysts see X-Energy and Nano Nuclear as early-stage investments in next-generation nuclear power (small modular reactors). With tech giants like Microsoft (MSFT), Amazon (AMZN), and Meta (META) investing heavily in AI data centers, demand for clean, reliable power is rising, potentially driving growth for these nuclear startups.

Context

Zacks did not cite other analysts' views or recent stock performance. Both stocks trade under $25, placing them in the high-risk small-cap growth category.

What We Conclude

Investors interested in nuclear energy and AI may find opportunity in these two stocks, but should be aware of the high risks associated with early-stage nuclear companies, particularly regulatory and commercial hurdles.