NuScale Power (NYSE:SMR) Reports Earnings, Surpasses Expectations

NuScale Power (NYSE:SMR) announced its earnings results for the quarter on Monday. The company reported an earnings per share (EPS) of $0.60, which significantly exceeded analysts' expectations of ($0.11) by a remarkable $0.71, according to reports.

Despite this positive earnings report, NuScale Power showed a negative net margin of 1,089.32%, along with a troubling return on equity of -72.85%. These figures indicate that the company is currently facing significant challenges in profitability.

NuScale Power Stock Performance

On the trading front, NuScale Power's stock experienced a decline of $1.72, closing at $15.47 for the day. The total trading volume reached 12,093,657 shares, slightly above the average volume of 11,973,180 shares. The stock's 52-week range highlights its volatility, having seen a low of $3.55 and a high of $32.30. The company's market capitalization stands at $3.95 billion, with a price-to-earnings (P/E) ratio of -16.28, and a beta of 1.51. The company's fifty-day moving average is $21.69, while the two-hundred-day moving average is $18.44. Financial stability indicators reveal a debt-to-equity ratio of 0.26, alongside quick and current ratios of 2.24, reflecting a comfortable liquidity position.

Insider Activity at NuScale Power

In noteworthy insider activity, CEO John Lawrence Hopkins sold 664,568 shares of NuScale Power stock on January 2nd. The average selling price was reported at $18.04, leading to a total transaction value of approximately $11,988,806.72. After this sale, the CEO retained ownership of 34,675 shares valued at $625,537, marking a 95.04% reduction in his stake. This transaction has been officially disclosed in a document filed with the SEC, where it is publicly accessible. It is noted that insiders own about 1.96% of the company’s stock.

About NuScale Power

NuScale Power Corporation focuses on developing and selling modular light water reactor nuclear power plants. These systems are intended for various applications including electrical generation, district heating, desalination, and hydrogen production. One of the company's primary offerings is the NuScale Power Module (NPM), which has the capacity to generate 77 megawatts of electricity (MWe). They also design power plants of varying sizes, accommodating one to four or six to twelve NPMs.

Conclusion

In summary, while NuScale Power has impressed with its earnings surpassing expectations, it still faces considerable financial challenges. Investors and analysts will likely monitor the company's performance closely in the coming quarters to gauge the effectiveness of their business strategy and operational efficiency.

NuScale, Earnings, Stock