B.Riley analysts initiated coverage on Oklo (NYSE:OKLO) with a Buy rating and a price target of $10 on the stock.
The analysts are optimistic about Oklo’s advanced nuclear technology, which they believe will attract strong customer interest due to its ability to provide reliable, carbon-free power with favorable economics. Oklo stands out in the nuclear industry by adopting an owner-operator model, where it plans to sell power directly to customers through long-term contracts. This approach offers operational and regulatory advantages, as Oklo can apply for a combined license for design, construction, and operations, potentially shortening approval timelines and lowering regulatory costs compared to traditional nuclear developers who license reactor designs to utilities.
The company’s customer base has also shown impressive growth, with its pipeline nearly doubling from 700 MW in July 2023 to 1,350 MW by August 2024, reinforcing confidence in its future prospects and supporting the Buy rating.