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Oklo (OKLO) stock rose 12% after the NRC approved the Key Design Criteria for Oklo’s Aurora powerhouse, de-risking the regulatory framework for AI data center power generation.
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The company’s 14 GW customer pipeline—bolstered by the 12 GW Switch deal and the 500 MW Equinix deal—validates the theory of nuclear power and AI amid hyperscaler demand.
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Shares of That’s right (NYSE:OKLO) surged nearly 13% in midday trading Wednesday after the US Nuclear Regulatory Commission (NRC) approved the Basic Design Criteria for the company’s Aurora power plant. The stock is trading near $77, and is up 59% in the past month.
The move adds to an impressive 12-month run for Oklo stock, which is now up 170% over the past year, even as shares are up just 8% year-to-date (YTD). Investors view today’s regulatory action as one of Oklo’s most significant regulatory actions to date.
The big question driving today’s action is whether Oklo is becoming the primary nuclear play for AI data center power. The bull case is compelling, but the bear case (no active reactors, multi-year timelines, moderation) deserves equal weight.
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NRC Approval Aurora Incentivizes Surgery
The NRC has approved the Basic Design Criteria for Oklo’s Aurora powerhouse, a fundamental step in the licensing process. If these conditions are accepted, subsequent reactor applications can proceed with a clear regulatory framework, which directly de-risks the company’s path to commercial deployment.
That’s important because control uncertainty has historically been the biggest issue in advanced reactor names. Oklo’s Aurora design, recently scaled to a 75 MW configuration, targets modular baseload generation aimed at industrial sites and AI data center campuses.
The pipeline already looks built for the AI era. Oklo has an estimated 14 GW customer interest, backed by a non-binding 12 GW Power Agreement with Switch through 2044 and a 500 MW letter of intent with Equinix backed by an upfront payment of $25 million.
Financially, Oklo ended 2024 with $275.3 million in cash and marketable securities and full-year operating cash burn of $38.39 million, the low end of guidance. CEO Jacob DeWitte said, “The world is realizing what we’ve known all along: nuclear power is essential to a clean, reliable, and scalable energy future.”
Peers Ride the Nuclear-AI Wave
The meeting is moving around the nuclear area. Power of NuScale (NYSE:SMR) shares jumped 10% on the day, too Cameco (NYSE:CCJ) is up 6%, while the uranium supplier is now up 25% YTD.
Large utility peers are also participating. Constellation Power (NASDAQ:CEG) added modest gains, while Vistra (NYSE:VST) traded flat. Vistra’s 2026 EBITDA guidance of $6.8 billion to $7.6 billion reflects the same hyperscaler-driven theory fueling Oklo’s operations.
Hyperscaler appetite remains the core of the structure. Microsoft (NASDAQ:MSFT) is supporting the restart of the Crane Clean Energy Center with a 20-year power purchase agreement with Constellation, and Goldman Sachs projects AI-driven data center energy demand to increase 165% by 2030.
Oklo’s bear case has not disappeared. Insider trading has been cited by skeptics, valuations have outperformed revenue, and Oklo holds a trailing EPS of $0.72. For a broader industry context, see this analysis of 2026’s projected nuclear and AI winner.
A Must Watch
Wall Street’s average price target for OKLO stock remains at $91.36, with 13 buys, 5 holds, and 1 sell ratings. Composite sentiment finds Oklo at 49.75, a neutral reading that suggests the crowd remains divided despite today’s surge.
See if today’s gains will last. The next events that OKLO stockists can track are progress on the combined license application, the conversion of the Switch and Equinix LOIs into binding contracts, and any revisions to the target for a commercial shipment in late 2027 at the Idaho National Laboratory.
Smart investors should treat Aurora’s design process approval as a meaningful de-risking event, not a commercial green light. Approval of design criteria is a step in a long licensing journey, and Oklo is still receiving upfront funding on a multi-year road to initial capacity.
Sizing is more important than judging here for OKLO stock, given the gap between regulatory progress and cash flow. Future price action and any comments from management on the consolidated license application (COLA) timeline could change whether this growth takes hold or fades.
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