Key Points
Nuclear power is entering the realm of compact design. On Aug. 27, the U.S. Army approved $2.2 billion in funding for micro nuclear reactors, selecting five developers to supply a microreactor apiece to Army installations.
The initiative falls under the Janus Program, which was launched last October. Executive Order 14299‑Deploying Advanced Nuclear Reactor Technologies for National Security, signed by President Donald Trump in May 2025, sets a target of operating an Army‑regulated nuclear reactor at a domestic military site no later than 30 September 2028, according to World Nuclear News.
The objective extends beyond powering military bases with nuclear energy. Military investment and the broader adoption of nuclear technology are intended to catalyze civilian projects.
“We are looking for reactors that can operate reliably over extended periods, not merely brief demonstrations,” an Army representative explained. “The Janus Program will be considered a complete success only when it helps multiple nuclear firms develop truly dependable and cost‑effective microreactors that can be marketed to buyers beyond the military.”
U.S. regulators and many policymakers are increasingly prioritizing domestic nuclear power. The two stocks below are well positioned to benefit.
These stocks will benefit from rising interest in nuclear energy
If the U.S. military is pushing the scale‑up of microreactors, the most direct investment opportunities are NuScale Power (NYSE:SMR) and Oklo Inc. (NYSE:OKLO).
Oklo was considered as a potential supplier to the Janus program but was ultimately not selected. NuScale, meanwhile, does not appear to have qualified for consideration.
Why, then, are these two stocks positioned to benefit from the Army’s efforts?
First, they are the only pure‑play publicly traded companies focused exclusively on small modular reactors (SMRs). Other publicly listed firms are developing their own SMR designs, but most are diversified industrial conglomerates, limiting an investor’s ability to focus specifically on miniature nuclear power plants.
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Second, SMR adoption is still in its early stages. Only two SMR projects are currently operational worldwide—one in China and one in Russia. Research from leading investment banks, including Bank of America, projects that SMRs could become a $1 trillion global market over the coming decades.
The growing excitement and interest in SMRs bode well for both Oklo and NuScale. Both firms have built substantial customer pipelines, although few of those relationships have translated into firm financial commitments. Securing those commitments requires clear signals from regulators and government officials, as well as real‑world adoption—such as the U.S. military’s current push—providing a powerful tailwind.
Despite these tailwinds, considerable risk remains. Both Oklo and NuScale are unprofitable and have relied heavily on shareholder dilution to fund operations. Their impressive customer pipelines could shift direction at any time; for example, NuScale lost its largest customer in 2023 after cost estimates escalated.
Nonetheless, the recent developments are undeniably positive for SMR investors and the broader nuclear energy sector.