11:05 AM EDT, 09/15/2025 (MT Newswires) -- NuScale Power ( SMR ) is facing a "strong growth opportunity" amid increasing demand from cloud service providers for nuclear energy, RBC Capital Markets said Monday in a report.

Clients are "increasingly willing to compensate the tech for the full value of its benefits, including as a source of carbon-free electricity," and government backing is also boosting the sector, the report said.

NuScale is a "a first mover and industry leader in small modular reactor technology," "RBC said, initiating coverage of the stock at sector perform, speculative risk.

"Timelines are underappreciated," and further evidence of scalability in the company's partnership model is needed, the note said.

RBC has a $35 price target on NuScale stock.

NuScale shares rose 2% in recent Monday trading.

Price: 37.10, Change: +0.76, Percent Change: +2.09