Oklo (OKLO) shares have gained 25% in the past five days after the NYSE-listed firm said the U.S. Air Force has conditionally selected its Aurora Powerhouse as a supplier of nuclear energy to its Eielson Base in Alaska. 

This conditional selection “reflects confidence in the company’s ability to deliver clean and secure energy solutions for mission-critical infrastructure,” said Jacob DeWitte, the chief executive of OKLO, in a press release this week. 

Including recent gains, Oklo stock is up well over 200% versus its year-to-date low in early April.

Wedbush Says Oklo Stock Has Upside to $75

OKLO stock has been on an absolute tear ever since President Donald Trump passed an executive order aimed at strengthening the United States’ foothold in nuclear technology. 

According to senior Wedbush analyst Dan Ives, shares of the company based out of Santa Clara, California remain worth owning amidst the new administration’s devotion to artificial intelligence and its “intention to use nuclear energy to power the fourth industrial revolution.”

Ives reiterated his “Outperform” rating on Oklo shares after the nuclear technology firm secured the Department of Defense as an “important customer/partner” on June 11 – and raised his price target to $75, which indicates potential for another 17% upside from here. 

OKLO Shares Are Not Free From Risk

Investors should still tread with caution on Oklo stock since its cosmic run in recent weeks may already be pricing in a lot of good news.  

Plus, given that OKLO is a pre-revenue company, its current valuation looks rather unsustainable. 

What’s also worth mentioning is that Oklo is yet to secure an NRC Design Certification that rival NuScale (SMR) has received already. 

The Oklo Rally May Have Gone Too Far

OKLO’s meteoric rally over the past two months has pushed its stock price well above analysts’ mean target. 

The consensus rating on the nuclear-tech stock remains at “Strong Buy,” but the mean target of $55 indicates potential downside of 14% from current levels.