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Chicago, IL – October 6, 2025– Today, Zacks Investment Ideas feature highlights Oklo OKLO, Nano Nuclear Energy Inc. NNE, Constellation CEG and Microvast MVST.
Wall Street is treating next-generation nuclear energy companies such as Oklo as direct bets on artificial intelligence. The reason is simple: large AI data centers consume as much electricity as a mid-sized city, which is a huge reason why U.S. electricity demand is set to grow ~75% by 2050.
The desperate need for more power to fuel AI expansion helped Sam Altman-backed nuclear energy upstart Oklo stock soar 500% so far in 2025, despite being pre-revenue. Investors have also sent established energy giants such as GE Vernova, Constellation Energy, and Vistra skyrocketing over the past few years.
AI hyperscalers are taking an all-of-the-above approach to energy from nuclear and natural gas to solar, which is great for energy storage companies.
Oklo looks a bit overheated after climbing 140% since early July. It's time to buy other stocks that could be the next home-run AI energy investments with huge near-term and long-term upside.
Investors looking for the next Oklo might want to consider Zacks Rank #1 (Strong Buy) energy storage company Microvast, which trades for under $5 a share, and speculative microreactor stock Nano Nuclear Energy.
Nano Nuclear Energy Inc. is developing advanced portable micro nuclear reactors. The speculative pre-revenue nuclear company envisions a future where its microreactors provide energy to AI data centers, cargo ships, Moon bases, and beyond.
Nano's bull case is deepened by its strong balance sheet ($210 million in cash and cash equivalents vs. $5 million in total liabilities).
NNE said last quarter that it's experiencing "growing support and interest from long-term oriented institutional investors." AI hyperscalers are partnering with nuclear energy companies like Oklo and Constellation to make sure they're prepared to power their data centers.
Big tech companies might even buy a few small nuclear energy companies like Nano because securing power is the most difficult part of the AI supply chain.
Nuclear energy, as Nano pointed out in its Q3 earnings report in August, is also backed by "unprecedented bipartisan legislative and policy support in the U.S. for nuclear energy." NNE is gaining interest from Wall Street. Zacks has five brokerage recommendations for the stock, up from two in the spring (3 out of 5 are "Strong Buys").
Nano Nuclear announced in late September that it was included in the S&P Global Broad Market Index (BMI), "the world's first float-adjusted global benchmark." NNE was also added to the S&P Total Market Index (TMI), which "encompasses the entire U.S. equity market." These inclusions expand NNE's visibility to a large swath of investors.
Nano Nuclear stock lagged some of its home-run nuclear energy peers in 2025, yet it is still up 80% YTD and 760% since its early May 2024 IPO. Yet, Nano has not broken out above its early 2025 highs.
The stock is heavily short (~28% of the float), setting up the potential for quick and substantial upside if Wall Street takes some of its Oklo winnings and dives into Nano.
The chart above shows the NNE has held its ground at its post IPO highs and its 21-day moving average. It is also far from overheated on the RSI front, proving Nano Nuclear breakout potential in Q4 and beyond once it climbs above its January peaks.
Microvast designs, develops, and manufactures lithium-ion battery solutions. The Texas-based company boasts that its cutting-edge cell technology and its vertical integration capabilities extend from core battery chemistry to modules and packs.
Microvast is capitalizing on the long-term momentum of solar energy expansion, which necessitates the massive deployment of energy storage solutions. It also benefits from the broader electrification of vehicles, big and small.
U.S. utility-scale battery storage grew ~66% last year, with it set to add another 20 GW of battery storage to the grid in 2025, to reach nearly 50 GW, up from essentially zero before 2020.
The battery technology company's huge beat-and-raise second quarter report in early August sent its FY25 consensus estimate 46% higher, with its FY26 estimate up 21%. MVST's positive bottom-line revisions help it earn a Zacks Rank #1 (Strong Buy).
MVST is projected to swing from an adjusted loss of -$0.27 a share last year to +$0.19 a share in FY25 and then grow its earnings per share (EPS) by 53% in 2026. It is projected to grow its revenue by 22% in 2025 and 2026 to reach $563.5 million vs. $108 million in 2020.
Microvast stock soared 120% YTD and over 2,220% off its November 2024 lows. Yet it still trades roughly 23% below its average Zacks price target and 80% beneath its 2021 highs.
MVST stock is on the verge of breaking out to new 2025 highs and overtaking a potentially key level highlighted above that could help it start marching back up to its all-time highs. Investors might also be attracted to MVST's status as a cheap stock trading for roughly $4.60 a share.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
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This article originally published on Zacks Investment Research (zacks.com).
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