NVDA
NVIDIA
-- 144.470 TSLA
Tesla
-- 410.440 PLTR
Palantir
-- 79.890 CRNC
Cerence
-- 19.330 MSTR
MicroStrategy
-- 339.660 Nano Nuclear Sheds 20% on Stock and Warrant Sale, Taking NuScale and Oklo Down as Well
$NANO Nuclear Energy (NNE.US)$ sank more than 20% Monday after the next-generation nuclear-energy firm announced that it sold some $60 million of stock and warrants in private placements -- sparking a pullback that took other nuke stocks down as well.
NNE fell 22.9% to a $25.91 close after revealing that it sold 2.5 million new shares of a stock to three unnamed institutional investors at $24 a share. The firm also issued the investors five-year warrants to buy another 2.5 million shares at $26 apiece.
Nano said the sale will increase its cash on hand to some $120 million.
However, the stock issuance took the company's shares down significantly at a time when next-generation nuclear stocks have been soaring following interest in the sector from cloud-computing giants $Microsoft (MSFT.US)$, $Amazon (AMZN.US)$ and $Alphabet-A (GOOGL.US)$.
The three tech giants all separately announced investments or contracts with the industry to create nuclear power for the companies' cloud-computing businesses, which require vast amounts of electricity.
Although none of the deals involved NNE or other publicly traded next-gen nuclear firms, Big Tech's interest in the sector nonetheless sent stocks in the sector higher.
For example, Nano Nuclear rose 104% from its Nov. 4 $16.58 intraday low and last Friday's $33.82 intraday high.
$NuScale Power (SMR.US)$ likewise hit a $31.97 all-time intraday record earlier Monday before pulling back to end the day 7.1% lower at $28.06. Similarly, $Oklo Inc (OKLO.US)$ hit an all-time intraday high on Oct. 30, but shed 9.1% Monday to a $22.91 close.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
Jerry Kronenberg
Director of Financial Content
Former top editor at Seeking Alpha, Fidelity.com, TheStreet.com and UPI.
697Followers
641Following
3470Visitors
Follow
104630751 : In modern investment strategy, we should view each opportunity holistically and post covid19 taught us a very important lesson. Supply chain implication. In other words, big tech don’t need to announce direct cooperation with anyone, reveal their direction and high level strategy is sufficient. The money will roll into the supply chain, elevating the necessaries and uptrend will kick in.