NuScale Power Corporation (SMR) saw a significant surge in its stock price on January 3, 2025, closing at $20.85, up 17.73% from the previous close of $17.71. The stock opened at $17.95 and reached an intraday high of $20.99, with a trading volume of 10,376,195 shares, which is 90.17% of its average daily volume. The rally was primarily driven by the Biden administration's announcement of eased rules for hydrogen tax credits under the Inflation Reduction Act, which benefits nuclear power companies like NuScale. This regulatory change is expected to stimulate investment in clean hydrogen production, a sector where NuScale's small modular reactors (SMRs) are well-positioned to capitalize.
Additionally, NuScale's financial position was bolstered by a $227.7 million cash injection from the exercise of warrants, which saw 97% of its warrants exercised, resulting in the purchase of nearly 20 million shares. This financial boost is perceived as a strong vote of confidence in NuScale's technology and future prospects. The positive sentiment was further amplified by discussions on social media platforms, where investors expressed optimism about NuScale's strategic positioning in the clean energy sector.