Why Is SMR Stock Sliding Over 2% In Overnight Trading?

As per a regulatory filing, NuScale Power entered into an at-the-market offering agreement that permits it to sell up to $750 million of Class A common stock.

• The shares may be sold through UBS, B. Riley, Canaccord Genuity, Craig-Hallum, Texas Capital Securities and Tuohy Brothers as sales agents, including through the NYSE, the company said.
• NuScale will determine the timing, amount and minimum price of any sales, it said. 
• However, Wall Street analysts are growing increasingly cautious about the company’s future prospects, with multiple price target cuts.

NuScale Power Corp. (SMR) shares posted their best day in more than two weeks on Tuesday but slid over 2% in overnight trading after the company said it is preparing to raise as much as $750 million by selling shares over time, sparking fears of potential dilution for shareholders.

SMR’s Offering Details

The Class A common shares may be sold through UBS, B. Riley, Canaccord Genuity, Craig-Hallum, Texas Capital Securities and Tuohy Brothers as sales agents, including through the NYSE, the company said in a regulatory filing with the U.S. Securities and Exchange Commission. 

NuScale will determine the timing, amount and minimum price of any sales, it said. The sales agents will receive commissions of up to 2% of gross proceeds. The agreement will terminate once all shares are sold or under its specified termination provisions.

Wall Street Consensus On SMR Stock

However, Wall Street analysts are growing increasingly cautious about the company’s future prospects. 

RBC Capital lowered the price target on NuScale Power to $10 from $14 and kept a ‘Sector Perform’ rating on the shares. Last week, Northland lowered the price target on the company to $16 from $19 and kept an ‘Outperform’ rating on the shares. 

RBC Capital cited NuScale’s below-consensus second-quarter revenue and also noted that while the nuclear company continues to see its key projects progressing, timing is yet to be seen.

Northland said it had cut back its target to reflect dilution as the company fully utilized its ATM facility to increase liquidity sequentially from about $1 billion to about $1.9 billion. 

As per Koyfin data, SMR stock has a 12-month average price target of $12.90, implying an upside of about 30% from its last close. Six out of 18 analysts covering the stock have a ‘Buy’ or higher rating on the stock, while 10 have a ‘Hold’ rating and the remaining two have a ‘Sell’ or lower rating. 

SMR Q2 Results Snapshot

NuScale Power reported mixed Q2 results earlier this month, with its $0.13-per-share net loss matching consensus, while revenue plunged 98.8% year-over-year to $0.1 million, missing Wall Street estimates. The sharp decline reflected the completion of prior international engineering work, including the RoPower project in late 2025. 

NuScale reported a net loss of approximately $50.1 million for the quarter. Despite the weak revenue, the company maintained a strong liquidity position, ending Q2 with approximately $1.9 billion in cash, cash equivalents, and investments.

SMR Stock: Retail Stance

On Stocktwits, retail sentiment for SMR was ‘extremely bullish’ at the time of writing, with message volumes up 307% over 24 hours, as per platform data. 

One user said, “$SMR just seems like the stock is gonna get diluted to zero.”

However, another user said, “$SMR they wouldn’t do ATM offering out of nowhere especially they have over $1 billion cash flow.”

SMR stock is down nearly 40% so far this year. 

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