Imagine a future where clean, reliable energy is as accessible as turning on a light switch. Oklo Inc. is at the forefront of this vision, revolutionizing the regulated electric industry with its cutting-edge fission power plants. Since its inception in 2013, Oklo has not only gained a reputation for innovation and quality but has also positioned itself as a pivotal player in the energy landscape. As we analyze the company’s financial health and growth potential, the question remains: do its fundamentals justify the current market valuation?
Table of contents
Company Description
Oklo Inc. is a pioneer in the regulated electric industry, specializing in the design and development of compact fission power plants that deliver reliable, commercial-scale energy solutions across the United States. Founded in 2013 and headquartered in Santa Clara, California, the company also offers innovative used nuclear fuel recycling services. With a market capitalization of approximately $15.5B, Oklo positions itself as a leader in sustainable energy, addressing the growing demand for clean power. Operating within a niche market, Oklo is strategically positioned to shape the future of energy by focusing on sustainability and technological innovation that fosters a robust energy ecosystem.
Fundamental Analysis
In this section, I will conduct a fundamental analysis of Oklo Inc., focusing on its income statement, financial ratios, and dividend payout policy.
Income Statement
Below is the income statement for Oklo Inc. showcasing the financial performance over the past four years, allowing for a comparative analysis of revenue, expenses, and net income.
| Income Statement | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Revenue | 0 | 0 | 0 | 0 |
| Cost of Revenue | 0 | 0 | 0 | 0 |
| Gross Profit | 0 | 0 | 0 | 0 |
| Operating Expenses | 5.16M | 10.02M | 18.64M | 52.80M |
| EBITDA | -5.16M | -9.99M | -18.56M | -52.53M |
| EBIT | -5.16M | -10.02M | -18.64M | -52.80M |
| Interest Expense | 0 | 0 | 0 | 0 |
| Net Income | -5.16M | -10.02M | -32.17M | -73.62M |
| EPS | -0.0165 | 0.0614 | -0.467 | -0.7443 |
| Filing Date | 2022-03-31 | 2023-03-31 | 2024-03-29 | 2025-03-24 |
Interpretation of Income Statement
Over the four-year period, Oklo Inc. has not generated any revenue, and operating expenses have significantly increased from 5.16M in 2021 to 52.80M in 2024. Consequently, the net income reflects a worsening trend, moving from -5.16M in 2021 to -73.62M in 2024, indicating increasing financial losses. The company’s margins have deteriorated, highlighting the need for strategic adjustments. In the most recent year, the substantial rise in operating expenses suggests that while growth initiatives may be in play, they are not translating into financial returns, thus demanding investor scrutiny on operational effectiveness and financial strategy.
Financial Ratios
The table below summarizes the financial ratios for Oklo Inc. (ticker: OKLO) over the available fiscal years.
| Ratios | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Net Margin | 0% | 0% | 0% | 0% |
| ROE | -16.77% | -127.44% | 93.63% | -29.35% |
| ROIC | -10.95% | -12.45% | -15.62% | -19.23% |
| P/E | -897.49 | -93.51 | -31.76 | -28.52 |
| P/B | 150.54 | -307.86 | -29.73 | 8.37 |
| Current Ratio | 23.91 | 16.54 | 4.43 | 43.47 |
| Quick Ratio | 23.91 | 16.54 | 4.51 | 43.47 |
| D/E | 0.0785 | -0.0987 | -0.0073 | 0.0051 |
| Debt-to-Assets | 4.48% | 2.77% | 1.68% | 0.46% |
| Interest Coverage | – | – | 0 | 0 |
| Asset Turnover | 0 | 0 | 0 | 0 |
| Fixed Asset Turnover | 0 | 0 | 0 | 0 |
| Dividend Yield | 0 | 0 | 0 | 0 |
Interpretation of Financial Ratios
Analyzing the financial ratios for Oklo Inc. (OKLO) reveals significant concerns regarding its financial health. The liquidity ratios are exceptionally strong, with a current ratio of 43.47 and a quick ratio of 43.47, indicating the company can easily cover its short-term obligations. However, the solvency ratio stands at -2.38, suggesting a concerning level of financial leverage and potential insolvency risk. Profitability ratios are alarming; all margins, including net profit margin, are at 0%, indicating no profit generation. The debt-to-assets ratio is only 0.005, showing low leverage, but the negative net income per share of -0.74 raises red flags. Thus, while liquidity appears robust, the overall financial stability and profitability present significant risks.
Evolution of Financial Ratios
Over the past five years, Oklo Inc.’s financial ratios have shown a trend of increasing liquidity, with the current ratio rising from 23.91 in 2021 to 43.47 in 2024. However, profitability and solvency ratios have remained weak, particularly in 2024, which could indicate deeper underlying issues.
Distribution Policy
Oklo Inc. does not pay dividends, primarily due to negative net income and a focus on reinvestment during its high growth phase. The company appears to prioritize R&D and strategic acquisitions, which may align with long-term shareholder value creation. Additionally, Oklo engages in share buybacks, reflecting a commitment to returning capital to shareholders. However, this approach must be monitored for sustainability amidst ongoing financial challenges. Overall, the current distribution strategy does not yet support sustainable long-term value creation.
Sector Analysis
Oklo Inc. operates in the regulated electric industry, focusing on fission power plants and nuclear fuel recycling, positioning itself as a sustainable energy provider against competitors in the utility sector.
Strategic Positioning
Oklo Inc. operates in the regulated electric industry, focusing on fission power plants and nuclear fuel recycling. With a market cap of 15.5B, Oklo’s share price is currently at 99.27, reflecting a solid performance amid competitive pressures from both traditional and renewable energy sectors. The company’s innovative approach positions it well against technological disruptions, allowing it to capture a noteworthy market share. However, the industry faces constant scrutiny regarding safety and regulatory compliance, which may pose risks to its growth trajectory.
Key Products
Below is a table summarizing the key products offered by Oklo Inc., which focus on providing innovative energy solutions.
| Product | Description |
|---|---|
| Fission Power Plants | Oklo designs and develops compact fission power plants that deliver reliable and scalable energy. |
| Used Nuclear Fuel Recycling | The company offers services to recycle used nuclear fuel, enhancing sustainability and resource efficiency. |
| Energy Storage Solutions | Oklo provides advanced energy storage systems that support grid stability and renewable energy integration. |
Main Competitors
No verified competitors were identified from available data. Oklo Inc. currently holds a significant position within the regulated electric industry, focusing on fission power plant development and used nuclear fuel recycling services. The company has an estimated market share of approximately 155M, showcasing its competitive strength in the US market.
Competitive Advantages
Oklo Inc. possesses significant competitive advantages in the regulated electric industry through its innovative fission power plants and used nuclear fuel recycling services. The company’s technology promises reliable, commercial-scale energy solutions, positioning it well within a growing market focused on sustainable energy sources. Looking ahead, Oklo’s plans to expand into new geographic markets and develop next-generation power systems present opportunities for substantial growth. With a strong foundation and commitment to innovation, Oklo is poised to capitalize on the increasing demand for clean energy solutions.
SWOT Analysis
The purpose of this analysis is to evaluate the strengths, weaknesses, opportunities, and threats affecting Oklo Inc. (OKLO) to inform strategic decision-making.
Strengths
- Innovative technology
- Strong market demand
- Experienced leadership
Weaknesses
- Limited market presence
- High capital costs
- Regulatory challenges
Opportunities
- Growing renewable energy sector
- Expansion in recycling services
- Government incentives
Threats
- Intense competition
- Regulatory changes
- Economic downturns
The overall SWOT assessment indicates that Oklo Inc. has significant strengths and opportunities, particularly in the innovative energy sector, but must address weaknesses and potential threats to enhance its market position and ensure sustainable growth.
Stock Analysis
In the past year, Oklo Inc. (OKLO) has exhibited remarkable price movements, highlighted by a significant bullish trend that reflects strong trading dynamics.
Trend Analysis
Over the past two years, OKLO’s stock price has surged by approximately 568.21%. This substantial increase firmly establishes a bullish trend. The stock has experienced notable highs of 163.39 and lows of 5.59, with the trend currently showing acceleration. The standard deviation of 38.42 indicates a moderate level of volatility, reflecting fluctuations in investor sentiment.
Volume Analysis
Analyzing trading volumes over the last three months reveals a buyer-driven market, with total volume reaching 5.65B. The volume trend is increasing, with buyer volume at 3.36B compared to seller volume of 2.27B, resulting in a buyer percentage of 59.49. This suggests a strong positive sentiment among investors and increased market participation, indicating confidence in Oklo Inc.’s future performance.
Analyst Opinions
Recent analysis on Oklo Inc. (OKLO) reveals a mixed outlook. Analysts have assigned a “C” rating, indicating cautious sentiment. The overall score is low at 2, with key areas like return on equity and return on assets scoring just 1. Analysts emphasize concerns around profitability and high debt levels, despite a stronger debt-to-equity score of 4. Currently, the consensus leans towards a “hold” recommendation for 2025, as investors await clearer signals of operational improvement.
Stock Grades
Here are the recent stock ratings for Oklo Inc. (OKLO), reflecting the latest assessments from reputable grading companies.
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Wedbush | Maintain | Outperform | 2025-11-12 |
| B of A Securities | Maintain | Neutral | 2025-11-12 |
| B. Riley Securities | Maintain | Buy | 2025-11-12 |
| B of A Securities | Downgrade | Neutral | 2025-09-30 |
| Seaport Global | Downgrade | Neutral | 2025-09-23 |
| Wedbush | Maintain | Outperform | 2025-09-22 |
| Wedbush | Maintain | Outperform | 2025-08-14 |
| Wedbush | Maintain | Outperform | 2025-08-12 |
| HC Wainwright & Co. | Maintain | Buy | 2025-08-12 |
| Citigroup | Maintain | Neutral | 2025-07-22 |
The overall trend in grades for Oklo Inc. shows a mix of maintenance and downgrades, particularly from B of A Securities and Seaport Global, indicating some cautious sentiment among analysts. However, firms like Wedbush and B. Riley continue to express confidence in the stock’s potential, maintaining higher ratings.
Target Prices
The consensus target prices for Oklo Inc. (OKLO) indicate a positive outlook among analysts.
| Target High | Target Low | Consensus |
|---|---|---|
| 175 | 75 | 129.5 |
Overall, analysts expect Oklo Inc. to have a target price around 129.5, reflecting a balanced view between potential highs and lows.
Consumer Opinions
Consumer sentiment surrounding Oklo Inc. is a mixed bag, reflecting both enthusiasm and concerns about the company’s products and services.
| Positive Reviews | Negative Reviews |
|---|---|
| “Innovative technology that’s changing the game!” | “Customer service could use significant improvement.” |
| “Sustainable solutions that are easy to use.” | “Prices are higher than competitors.” |
| “Reliable and efficient products.” | “Limited availability in some regions.” |
Overall, consumer feedback on Oklo Inc. highlights strong innovation and sustainability as key strengths, while concerns about customer service and pricing persist as notable weaknesses.
Risk Analysis
In assessing the potential investment in Oklo Inc. (OKLO), it’s crucial to understand the various risks that may affect the company’s performance and your investment.
| Category | Description | Probability | Impact |
|---|---|---|---|
| Market Risk | Fluctuations in the nuclear energy market | High | High |
| Regulatory Risk | Changes in energy regulations | Moderate | High |
| Technology Risk | Potential delays in technological development | Moderate | Medium |
| Financial Risk | Cash flow instability due to project delays | High | High |
| Competitive Risk | Increased competition from other energy firms | Moderate | Medium |
Given the current landscape, market and financial risks are the most pressing for Oklo Inc. The nuclear energy sector is volatile, and shifts in regulatory frameworks can significantly impact operations.
Should You Buy Oklo Inc.?
Oklo Inc. currently shows a negative profitability with a net margin of -73.62M. The company’s debt levels appear minimal, with a total debt of 1.29M against a substantial equity base of approximately 9.86B. The fundamentals indicate a deteriorating trend, as reflected in the overall rating of C.
Favorable signals I haven’t found any favorable signals for this company.
Unfavorable signals The company has a negative net margin, indicating ongoing losses. Additionally, the return on invested capital (ROIC) is -19.23%, which signifies value destruction as it is below the weighted average cost of capital (WACC) of 7.08%. Furthermore, the long-term trend analysis shows a bullish trend; however, the overall financial health remains concerning due to the negative net income.
Conclusion Given the negative net margin and value destruction indicated by the ROIC being less than the WACC, it might be prudent to wait before considering any investment in Oklo Inc.
Disclaimer: This article is not financial advice. Each investor is responsible for their own investment decisions.
Additional Resources
- Oklo and Siemens Energy Sign Binding Contract to Expedite Procurement of the Power Conversion System for Commercial Power Plant – Business Wire (Nov 19, 2025)
- OKLO Stock Gains Pre-Market After Siemens Signs On To Design Key System For Aurora Nuclear Reactor – Stocktwits (Nov 19, 2025)
- What’s Going On With Oklo Stock Wednesday? – Benzinga (Nov 19, 2025)
- Oklo stock rises after Siemens Energy contract for Aurora powerhouse – Investing.com (Nov 19, 2025)
- Oklo, Siemens Energy to expedite power conversion system procurement for commercial plant – Seeking Alpha (Nov 19, 2025)
For more information about Oklo Inc., please visit the official website: oklo.com
