Energy companies without revenues, such as Oklo and Fermi, have reached huge market values, but investment risks are significant.

The rapid increase in the value of energy companies that do not generate revenue, especially in the context of the enthusiasm generated by AI technology, raises concerns, writes The Wall Street Journal. The company Oklo, which develops modular nuclear reactors, has reached a market capitalization of approximately 26 billion dollars, even though it does not yet have licenses or power sale contracts. Fermi, another company without revenue, debuted on the market with a value of 19 billion dollars, but has failed to secure client-related contracts. Other companies, such as Nano Nuclear Energy and Terra Innovatum, also have high valuations without generating revenue.

Investors are betting on these speculative companies, partly because profitable companies in the energy sector already have high valuations. For example, Bloom Energy is valued at 133 times its estimated earnings. However, history suggests that many of these revenue-less startups could fail, especially if enthusiasm for AI wanes. These companies have the most to lose in the event of a market correction, having little financial support.