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SMR Stock Slides As Lawsuits Mount And Citi Slashes Target

JACK KELLOGG•UPDATED APR. 23, 2026, 5:04 PM ET
Reviewed by Tim Sykesand Fact-checked by Ellis Hobbs

NuScale Power Corporation stocks have been trading down by -4.57 percent amid heightened concerns over small modular reactor project delays

Candlestick Chart

Live Update At 17:03:32 EDT: On Thursday, April 23, 2026 NuScale Power Corporation stock [NYSE: SMR] is trending down by -4.57%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

SMR is trading like a high-volatility story stock under pressure. Over the last few weeks, NuScale Power has slid from the low $11s to around $12.72, after spiking as high as $14.20 on the latest session before fading hard intraday. That’s a classic “pop and stuff” pattern active traders know well.

The 5‑minute chart shows SMR opening near $14.04, running briefly toward $14.20, then bleeding lower all day into the $12s. That tells you sellers are still in control, with every bounce getting sold. For day traders, SMR is acting like a short-biased, headline-driven ticker.

Fundamentally, NuScale Power is early-stage and deeply unprofitable. Revenue is only about $31.5M, yet key profit margins are massively negative, with EBIT margin above ‑2,000%. The company trades at a steep price-to-sales ratio around 127.2 and a price-to-book near 3.4, despite negative returns on equity and assets. On the positive side, SMR carries no long-term debt and has a strong current ratio of 4.3, so liquidity is solid for now. But with free cash flow around ‑$204M in 2025 and heavy cash burn, the market is clearly questioning how NuScale Power turns its nuclear dreams into sustainable cash flow.

Why Traders Are Watching SMR Now

Traders are glued to SMR because the story has shifted from pure nuclear-growth hype to a real-time test of trust and execution. NuScale Power is now at the center of multiple securities-fraud class actions focused on its relationship with ENTRA1 Energy, the company it leaned on to commercialize its small modular reactors.

According to the complaints, NuScale Power entrusted a key nuclear project and roughly $495M to ENTRA1, even though ENTRA1 allegedly lacked meaningful nuclear experience. That decision blew up in Q3 2025, when NuScale reported a 3,000%+ spike in general and administrative expenses to roughly $519M and a net loss of about $532M. Once traders saw the size of that ENTRA1 payment, SMR’s risk profile was repriced fast.

From a high above $57 during the class period, SMR collapsed more than 70% to near $17 in the following weeks. For momentum traders, that kind of destruction sets up two opposing plays: shorting the bounces while the legal overhang grows, or trying to time oversold bounces in a heavily punished name.

The legal timeline matters. Law firms like Rosen are blasting out alerts reminding NuScale Power traders of the 2026/04/20 lead‑plaintiff deadline, which confirms this litigation is still in its early innings. Every new filing or court update around SMR can trigger sharp, news‑driven moves.

Layered on top of that, Citi just cut its SMR price target from $11.50 to $9 and reiterated a Sell rating, citing a tough upcoming Q1 for alternative‑energy equipment names. That reinforces the bearish bias: not only does NuScale Power face legal headwinds, but a major bank is telling the Street to stay cautious on the sector and on SMR specifically.

More Breaking News

Conclusion

For active traders, SMR is a textbook high‑risk, high‑volatility education in how governance, capital allocation, and storytelling collide. NuScale Power still has a big vision around small modular reactors, but the ENTRA1 saga — a $495M payment, a 3,000% G&A spike, and a $532M quarterly loss — has shaken confidence in how management executes that vision.

Financially, NuScale Power has cash and no long‑term debt, yet the business model is nowhere near self‑funding. Negative free cash flow above $200M, extreme negative margins, and a rich valuation on tiny revenue make SMR a trader’s stock, not a widows‑and‑orphans name. The ongoing federal securities‑fraud class actions and the 2026/04/20 lead‑plaintiff deadline keep a legal cloud hanging over SMR, while Citi’s Sell rating and $9 target signal that Wall Street remains skeptical.

In this kind of tape, discipline is everything. As Tim Sykes likes to remind traders, “The market doesn’t owe you anything — your only job is to manage risk, cut losses fast, and never fall in love with a story.” As millionaire penny stock trader and teacher Tim Sykes, says, “It’s not about how much money you make; it’s about how much money you keep.”. SMR fits that perfectly. It’s a powerful story stock with real technology and real controversy. Treat NuScale Power as a trading vehicle, not a belief system, and let the chart — not the hype — guide your decisions.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

Dive deeper into the world of trading with Timothy Sykes, renowned for his expertise in penny stocks. Explore his top picks and discover the strategies that have propelled him to success with these articles:

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The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

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Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”