Popular Nuclear Stock just CRASHED 50%! Should You Buy? 👀

Hey welcome back subscribers. So I've actually been getting asked quite a lot actually about the nuclear energy stock Oklo recently heading into this new year not just because of how much it's risen all time you know very popular spec stock in my opinion but more importantly because of how much it's actually fallen by a giant amount too more recently off of the highs. Just a better illustrate this for you as you can see on this chart here since going public a couple years ago for around $10 a share the stock has actually climbed all the way up to around 80 today which is about a 1000% increase in price. I mean it's absolutely staggering. However more recently the stock has actually lost close to half of its entire value from the top in just the past few months alone. By the way I do fully expect that volatility to continue in the future where I think it's very likely that we will see huge swings both up and down continuing to happen in the coming years. But as for me personally I did first buy a small position as a speculative bet on nuclear energy for the long term and because of all this volatility I've been getting asked a lot by you guys more recently if I sold any of my shares during this downturn or if I'm buying more on the dip or even if I'm just simply holding on to what I already have. Well I will just tell you guys right off the bat that I have not sold any of my shares and I do actually plan on continuing to hold the small position that I have long term which I'm going to give you guys three very quick reasons for why I'm choosing to stay invested in this short video today. However you should know too that I initially bought my shares at around $30 a piece so I am still up like triple my cost basis right now which I admit does make it much easier for me to hold on to my shares knowing that even if another big drop happens it'll probably still come from my profits rather than my initial investment. But you could also make the argument that because I'm choosing to stay invested at today's prices it's almost the same as buying it here too since either way I'm leaving my actual money in the stock on the table which is always at risk of going down. But with all of that in mind I just want to give you guys my three quick reasons for why I'm choosing to stay invested through all the volatility again as a small speculative play on the future of nuclear energy and then I'll give you guys one cautious reason at the end too for why I'm also not buying any new shares myself at least not yet. Okay so bullish reason number one for me it has really so much to do with just the sheer amount of future potential that I see in nuclear which I feel is the only viable option that we have really for providing the unimaginable amounts of energy needed to power the AI revolution where we aren't just talking about powering houses and electric vehicles anymore but rather we're continuously building larger and larger AI superclusters that require gigawatts of 24-7 clean power and with the government itself pushing for energy dominance the shift towards nuclear isn't just a trend but rather it is becoming a national priority. In fact when we look at energy demand from data centers alone this coming from a Goldman Sachs research well it was actually flat four years before 2020 but from 2020 up to 2030 it's projected to explode in demand by more than five times larger and it's driven largely by AI and do you have any idea how massive of an increase that is and by the way especially with AI specifically the the growth of it is actually getting larger every year meaning that there's even a bit of a snowball effect taking place where as AI becomes stronger and more powerful and more popular really the more it gets integrated into everything that we do in society well so too is that energy demand only going to continue growing by even larger rates potentially to the point where again you just can't really satisfy all of that demand especially in any kind of like a clean energy way without the use of nuclear. Well that leads me to reason number two this being Oklo's very impressive somewhat revolutionary tech for nuclear energy for example they're developing micro reactors that run on metallic uranium fuel which is denser and cheaper to fabricate than traditional uranium fuel pellets while also producing less carbon emissions some of the absolute lowest actually that that is available and the reason why many analysts are calling them a game changer really is because Oklo predicts that they'll be able to produce these reactors for only around 70 million dollars it's kind of like a starting price and while the original design for Aurora their flagship reactor it was meant for 15 megawatts but they're scaling up those designs now to 50 and even 100 megawatt versions to meet the growing AI demand well for context the construction of a traditional nuclear reactor could cost north of 10 billion dollars and take 15 years to build now obviously the capacity would be you know much much larger but the point is that micro reactors are smaller cheaper faster and more easily well distributed in fact they're designed with almost a lego-like structure in that they're not only perfect for on-site energy practically wherever it's needed or wanted but they're also able to scale up as needed too and can even operate for more than a decade without needing to be refueled which they've accomplished by using the recycling technologies that can even reuse nuclear waste as fuel which means they won't just be producing cheaper more versatile power than ever before but it's also a cleaner and more efficient form of it too plus this new tech is a big reason why i expect them to be able to clear regulatory hurdles in the future which they continue to make progress on too by the way having recently just received approval from the department of energy to move forward with a nuclear safety design agreement for their aurora fuel fabrication facility showing that federal agencies are actually actively advancing oklo through the regulatory process not to mention that in my opinion the government is heavily incentivized to continue deregulating the sector in order to keep up with china and others which is something that is heavily talked about as impressive as all of that technology really is though it wouldn't mean much without the necessary partnerships and deals in place to advance it all forward and that's really where i think oklo excels in my opinion this is reason number three as they have some of the strongest backing that you can really ask for first off sam altman the ceo of open ai of course is one of the most you know recognized names in artificial intelligence well he actually helped oklo go public by merging with his special acquisition company and even served as chairman of their board up until last year but the only reason that he stepped down was so that oklo could actually partner with open ai in the future without there being any kind of conflict of interest so in other words it's not so much that he like stepped down to leave oklo behind but rather it was to actually help them advance further ahead which he still by the way remains one of their absolute largest shareholders too so he has a ton of skin in the game plus you might recall that altman was even selected as a key partner for trump's new project stargate which is a massive initiative to invest up to half a trillion dollars in new ai infrastructure so when you have the guy basically you know kind of leading the government's ai strategy also having such close ties to this energy startup i mean that's got to lead to some you know competitive advantages in the future at least in my opinion it's one of the biggest reasons why i first bought the stock in the first place and at the very least i would say that it's still going to be a big vote of confidence to have someone like that back in back in your company another big vote of confidence though is of course just this past month in fact meta the social media and ai behemoth actually signed a landmark deal with oklo to provide 1.2 gigawatts of power for their new data center campus in ohio making it the single largest deal in oklo's history but it doesn't stop there as oklo holds numerous other partnerships and deals too including a 500 megawatt agreement with equinix they have a 20-year deal to power diamondback energies operations in the permian basin and as of this year their total customer pipeline has ballooned to over 14 gigawatts of potential capacity with big names like wyoming hyperscale and switch already on the list the switch one by the way is actually one of the largest corporate nuclear agreements ever signed allowing them to procure up to 12 gigawatts of nuclear power from oklo through 2044 so why then is this still considered a very high risk stock that i'm choosing to no longer buy any new shares at least at the moment well the reason is very simple oklo doesn't expect to bring its first commercial reactor online until sometime next year which i think is probably going to be like late 2027 at best probably even into 2028 in other words we're still very much in the pre-revenue phase of this startup and i just think it should be treated as such given that they continue to burn cash basically every year as they work hard to clear regulatory hurdles and their products actually you know try to get their products out into the market plus if even just one of their major deals gets heavily delayed if they face any kind of bigger regulatory hurdles if anything kind of goes wrong with them this is a stock that could very easily get punished by the market especially when you know the stock market has already been trading at record highs and everybody kind of wants a little bit of a correction out there myself included but again just for me personally i do feel that the risk is still worth it for this one again as a small speculative play for the future i acknowledge the risk that i'm taking on with it and you know i make my own decision on it but you know when i look into the 2030s beyond that i see a giant opportunity for oklo to really continuously be awarded larger contracts with a ton of upside potential into future decades again i think the ride will be bumpy along the way with big rallies on any new deals getting announced could easily drive the stock higher but i think we'll also see big falls whenever you know investors just lose even just a tiny little bit of interest in this company the stock could easily get punished let alone a market wide downturn which would um yeah almost you know certainly cause this one to fall hard but um like i said i acknowledge the risk i think it's worth it for me and it's a very tiny position in my portfolio and i'm fine with that but let me know what you guys think about this one down below i'd love to hear your thoughts um i suspect most of you are probably going to be avoiding it so you know there may be a few comments there um feeling a little negative about it which i totally understand by the way um but maybe some of you took an early bet like me and maybe you're up a lot and you're just kind of letting it ride long term without stressing too much about it or maybe some of you are actually thinking about buying more today maybe you think it's worth it maybe you think the dip is worth it um i don't know i'd love to hear your thoughts and i'll try to respond to as many comments as i can but hey either way i hope you enjoyed the video and uh i hope you're all doing well and i will catch you in the next one all right take care of my friends buh-bye