① Many institutions believe that nuclear energy stocks still have room to rise, and investment targets cover the entire industry chain, including uranium miners, turbine and equipment manufacturers, etc.; ② The Bloomberg Nuclear Energy Index has risen by 38% year-to-date, with a total market value increase of $566 billion, of which the stock price of Oklo in California, USA, has surged by about 400%.
Many fund managers believe that the strong upward trend of global nuclear energy concept stocks will continue this year, driven by an improved regulatory environment and multiple demands.
The Bloomberg Nuclear Energy Index has risen 38% this year, hitting a record high, and its total market capitalization has increased by $566 billion. Among the stocks, Oklo of California has surged by approximately 400%, and South Korean equipment manufacturer Doosan Energy has also risen by over 330%.
Oklo stock price daily chart
Data Centers in the Next Decade Energy demand is projected to triple; meanwhile, the trend of electrification replacing fossil fuels continues across industries, from manufacturing to transportation. From Japan to the UK, countries are easing restrictions on nuclear power to meet growing energy demands.
Tan Altundag, Emerging Equity Investment Manager at Pictet Asset Management, commented, "Global Artificial Intelligence... " The (AI) race will ultimately be won by those countries and companies that can sustain their technological ambitions with sufficient energy.
"This explains why large technology companies and governments are increasingly investing in nuclear energy and viewing energy infrastructure as a survival-level priority."
Data shows that in the US alone, data centers will require $350 billion in nuclear power capacity over the next 25 years. Trump has signed an order to accelerate nuclear power plant construction, and Nvidia... CEO Jensen Huang also emphasized that nuclear energy will become the main driving force for AI.
The nuclear energy trend is spreading globally: Japan has approved the restart of more reactors, European countries such as Italy and Denmark are turning to reintroducing nuclear energy, and the UK has begun to allow nuclear power projects to qualify for "green financing".
Although some nuclear energy stocks have already surged, many institutions believe there is still room for further gains. Related investment targets range from uranium miners and turbine and equipment manufacturers to utilities. The company and the entire industry chain.
Jeong Yu Tae, manager at Korea Investment Management (KIM), said that nuclear energy has become "an extension of AI-themed stocks" because it can power data centers around the clock with zero carbon emissions.
However, he cautioned that after the surge in 2025, investors should be more cautious in selecting individual stocks in 2026, as some valuations have already been significantly inflated.
One of the hottest areas this year is small modular nuclear reactors (SMRs), such as the products Oklo is building. Compared to traditional nuclear power plants, SMRs are smaller, cheaper, and can be deployed more quickly. However, whether their safety and construction costs are truly superior to traditional nuclear power plants remains a subject of considerable debate.
Jeong pointed out that since commercial applications are still several years away, SMR concept stocks will continue to be volatile. He is currently more focused on companies that can generate electricity using existing reactors, such as Constellation Energy and Vistra.
Park Jinho, chief equity manager at NH-Amundi Asset Management, has chosen to focus on nuclear power equipment manufacturers. Benefiting from the performance of Doosan Energy, his $583 million fund has grown by 104% this year.
Currently, Doosan Energy's price-to-earnings ratio exceeds 100. However, Park believes that given the company's long-term growth potential, such a valuation is not excessive.
Doosan Energy stock price daily chart
Fabien Benchetrit, an executive at BNP Paribas Asset Management, expects nuclear energy stocks to continue rising because energy demand comes not only from AI, but also from broader sectors such as industry and electric vehicles.
Benchetrit said, "Investing in nuclear energy (concept) stocks in 2025 is somewhat like buying picks and shovels during the gold rush. Our strategy is to continue to increase our holdings in nuclear energy and related companies in the electrification theme in the coming months."
Wang Seungmook of Hanwha Asset Management, on the other hand, is looking for higher returns in the upstream uranium mining sector. He is betting that the United States will reduce its dependence on Russian nuclear fuel to avoid supply risks similar to those associated with rare earth elements.
Wang recommends stocks including Canadian uranium mining company Cameco, US uranium enrichment company Centrus Energy, and nuclear fuel supplier BWX Technologies.
Pictet's Altundag points out that Kazatomprom, the world's largest uranium miner from Kazakhstan, is "still undervalued compared to other nuclear energy companies," with its London-listed shares up 63% this year, but its projected price-to-earnings ratio for the next 12 months is still less than 11.
Altundag said, "From the perspective of the physical uranium market, the current opportunities are still underestimated, and the risk-reward structure is more fundamentally advantageous and attractive than those nuclear energy technology upstarts that have made headlines due to the AI boom."
(Article source: CLS)
