Pomerantz LLP Launches Inquiry into NuScale Power Amid Stock Slide
Following a sharp 15.67% drop in share price, Pomerantz LLP has opened an investigation into NuScale Power Corporation. The inquiry seeks to determine if the company or its leadership misled shareholders regarding business practices, potentially exposing investors to significant losses after a harsh analyst downgrade earlier this month.
The legal action follows a September 11 report from UBS, which downgraded NuScale from "Neutral" to "Sell." Analyst Jon Windham slashed the firm’s price target from $10 to $6, citing the erosion of NuScale’s competitive edge in the small modular reactor market. The report highlighted mounting operational hurdles, specifically a five-year construction timeline, a dearth of firm customer commitments, and a projected $700 million burn in free cash flow through 2028.
Stagnation at the RoPower project in Romania and the partnership with the Tennessee Valley Authority further fueled investor concerns. Shares closed at $8.61 on the day of the announcement, down $1.60 per share. Investors affected by these developments are encouraged to contact Danielle Peyton at Pomerantz LLP for details regarding the ongoing securities fraud investigation.
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