Why These Energy Stocks Are Losing This Week

4. Oklo Inc. (NYSE:OKLO)

Share Price Decline Between Feb. 3 and Feb. 10: 10.94%

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.

On February 4, Goldman Sachs lowered its price target on Oklo Inc. (NYSE:OKLO) from $106 to $91 while maintaining its ‘Neutral’ rating on the shares. However, the reduced target still indicates an upside of over 37% from the current levels. Goldman’s February Global Reactor Tracker highlighted recent developments across North America, Europe, and Asia, showing the surging global interest in nuclear power. However, as demand grows, the investment bank is also noting a strong start-of-year rally in uranium spot prices and providing mark-to-market pricing forecasts ahead of Q4 earnings.

In a nutshell, Goldman seems slightly less enthusiastic about Oklo because if the cost of nuclear fuel rises, nuclear power may become less affordable, weighing down the demand for the company’s small modular reactors.