Oklo Stock Tanks 18.3%: What’s Behind This Week’s Brutal Selloff?

Nuclear energy play Oklo just got hit with a radioactive market reaction—shares cratered 18.3% in a single week.

Market Forces Unleashed

Traders dumped positions as sector-wide headwinds slammed advanced energy stocks. The numbers don't lie—that 18.3% plunge signals serious institutional skepticism.

Regulatory Shadows Lengthen

Permitting delays and policy uncertainty created the perfect storm. While crypto assets surge toward new paradigms, traditional energy investments face bureaucratic quicksand.

Short-term pain for long-term vision? Maybe. But this week's bloodbath proves even revolutionary tech can't escape old-school market mechanics. Wall Street still treats nuclear like it's 1985—meanwhile Bitcoin's eating their lunch.

Goldman initiates coverage of Oklo stock

Amid significant investor enthusiasm for Oklo and nuclear stocks in general, Goldman Sachs analysts issued their first research note for Oklo on Wednesday, giving it a neutral rating. Goldman said that the company's business strategy needs "de-risking" and that the stock's valuation has outpaced reality.

Along with the neutral rating, the bank set a price target of $117 per share. That represented a significant downside when the note was released, but since the stock has fallen more than 23% since Wednesday's opening bell, that target is now represents an upside.

Image source: Getty Images.

The lukewarm note from Goldman comes as several high-profile insiders unload a fairly large amount of stock. The CEO and CFO alone sold more than a combined $12 million worth of shares.

Oklo's valuation is a concern

I have to agree with the Goldman analysis. I think investors are getting ahead of themselves. The drop this week makes the stock more attractive, but the company's more than $16 billion market cap is still high, given that its technology is unproven and it is still pre-revenue.

Still, for investors with a higher risk tolerance, Oklo can be a solid pick. Nuclear energy is having a renaissance of sorts, and the opportunity for Oklo is massive. Just know it's a long road to profitability.