10 Best Performing Utilities Stocks So Far in 2025

1) Oklo Inc. (NYSE:OKLO)

% Gain on a YTD Basis: 106.5%

Number of Hedge Fund Holders: 27

Oklo Inc. (NYSE:OKLO) is engaged in designing and developing fission power plants to offer reliable and commercial-scale energy to customers in the US. Wedbush analyst Daniel Ives raised the company’s price target to $45 from $26, keeping an “Outperform” rating on the shares due to the increase in confidence in the AI Revolution data center buildout under the Trump Administration. Wedbush believes that Project Stargate is the beginning of a much bigger AI initiative within the Beltway, and nuclear energy is playing a critical role in powering data centers at the foundation of the 4^th Industrial Revolution. Notably, Oklo Inc. (NYSE:OKLO) is well-placed to be a leading player.

Elsewhere, Citi upped the company’s price target to $31 from $10, keeping a “Neutral” rating. As per the firm, the utility-scale companies remain well-placed with achievable consensus estimates and stronger balance sheets. Oklo Inc. (NYSE:OKLO)’s innovative business model of building, owning, and operating its reactors while, at the same time, selling power directly to customers under long-term contracts places it well for stable and recurring revenue streams. This approach makes Oklo Inc. (NYSE:OKLO) stand apart from traditional nuclear power companies and aligns with the requirements of modern energy consumers, primarily in the data center and industrial sectors.

While we acknowledge the potential of OKLO as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than OKLO but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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