OKLO Stock Forecast Gets Slashed by Goldman Sachs and Citi Analysts as ‘Pre-Revenue’ Reality Sinks In

Oklo OKLO -6.33% ▼ shares ended Wednesday’s session at $60.53, up 1.41% despite an influx of price target cuts from major Wall Street banks. The nuclear technology firm reported a full-year operational loss of $139.3 million for 2025, a figure that has analysts at Goldman Sachs GS -0.19% ▼ and Citi C +0.89% ▲ worried about how much cash the company will burn before it ever makes a profit. While the stock rose on news of a design approval from the Department of Energy; big banks are moving to the sidelines.

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Goldman Sachs Warns of Massive Capital Requirements

Goldman Sachs analyst Brian K. Lee maintained a Hold rating on the stock but slashed his price target from $91 down to $65. He is concerned that the company’s ambitious plans to build a fleet of small modular reactors will require an enormous amount of outside funding. Goldman Sachs estimates that Oklo “may need to raise $14 billion through the 2040s to fund its expansion.” Because the company is still in the “pre-revenue” stage, meaning it doesn’t actually sell anything yet, investors are worried that future stock sales will make their current shares worth much less.

Citi Flags Timeline Risks and Rising Expenses

Citi analyst Vikram Bagri also kept a Neutral rating while dropping his target from $95 to $73.50. He pointed out that the company’s operating cash guidance for 2026 was raised to a range of $80 million to $100 million, mostly to cover a surge in hiring and business costs. Bagri noted that the lower price target reflects a “notable shift in assessment regarding OKLO’s market performance potential” as the timeline for actual power delivery remains years away. Citi is staying cautious until the company can show it can manage these rising costs without running out of cash.

Oklo’s Deal with Meta Provides a Safety Net

Despite the target cuts, both banks acknowledged that Oklo’s partnership with Meta META -1.12% ▼ is a major win. The company has an agreement to deliver 1.2 gigawatts of power to Meta’s data centers by 2034. This deal includes a prepayment mechanism in which Meta provides upfront cash to help Oklo buy fuel and start construction. Analysts believe this partnership is the only reason the stock hasn’t dropped further, as it proves that Big Tech is willing to bet on nuclear energy to power the AI revolution.

Key Takeaway

The reason Wall Street is turning cautious is that Oklo is currently a pre-revenue company. This means they are spending millions of dollars on research, hiring, and legal fees, but they won’t have a finished product to sell until at least 2027 or 2028. For an investor, this is like backing a restaurant that hasn’t been built yet; you have to pay for the kitchen and the chefs for years before you can sell a single meal. Goldman and Citi are worried that if interest rates stay high, it will become too expensive for Oklo to keep borrowing the money it needs to stay afloat.

Is Oklo a Good Stock to Buy?

Turning to TipRanks, Wall Street has a Moderate Buy consensus rating on OKLO stock based on nine Buy and four Hold recommendations. The average 12-month OKLO stock price target of $96.23 indicates 69.72% upside potential.

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