NANO Nuclear Energy Inc (NNE) saw its stock soar 6.95% in pre-market trading on Tuesday, outperforming the broader market. This surge came after a steep selloff on Monday, which had impacted the nuclear energy sector along with tech stocks.
The rebound in NNE and other nuclear stocks like Oklo Inc, NuScale Power, and Vistra Energy Corp can be attributed to investors viewing Monday's selloff as an overreaction. Concerns over the potential impact of China's AI startup DeepSeek on the narrative surrounding the growth of the AI industry had caused a widespread selloff in tech and related sectors.
However, analysts now believe that the selloff presents a buying opportunity, particularly for companies like NNE that stand to benefit from the increasing demand for power sources to support the booming AI industry. With nuclear energy being a potential solution, investors seem to be regaining confidence in the sector's prospects.
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