11:08 AM EST, 11/12/2025 (MT Newswires) -- Oklo ( OKLO ) highlighted significant progress on fuel and regulatory fronts, but key questions remain around the cost of its first-of-a-kind, or FOAK, reactor build and the timing of its power purchase agreements, BofA Securities said in a Wednesday note.

The US Department of Energy recently granted swift approval for Oklo's ( OKLO ) Fuel Fabrication Facility at Idaho National Laboratory and provided funding for "Project Pluto," which advances plutonium-based fuel testing, according to the research note.

The brokerage noted that Oklo ( OKLO ) began construction of its first Aurora reactor in October, with excavation planned for early 2026 under DOE oversight. A Kiewit-led capital expenditure update, expected early next year, will serve as a key gauge of project economics.

Oklo's ( OKLO ) subsidiary, Atomic Alchemy, also received DOE support for a pilot isotope production facility set to begin operations by mid-2026 and generate modest initial revenue, the report added.

BofA highlighted that Oklo's ( OKLO ) valuation already assumes a smooth transition from FOAK to next-of-a-kind builds, with upcoming catalysts centered on project cost visibility, PPA agreements, and financing structure.

The firm maintained its neutral rating on the stock and lowered its price objective to $111 from $117.

Shares of Oklo ( OKLO ) were up 5.5% in recent trading.

Price: 109.95, Change: +5.73, Percent Change: +5.50