3 Nuclear and Biotech Stocks Cathie Wood is BUYING NOW!

In this video, we'll show you three nuclear and biotech stocks that Cathie Wood is buying right now that could play an important role in some of the biggest investment trends of the next decade. These companies are positioned at the intersection of artificial intelligence, energy, and health care, three industries that are expected to experience enormous long-term demand. And by the end of this video, you'll understand why one of them could become one of the most closely watched growth stocks over the next several years. The businesses we're covering today are trying to solve some of the world's biggest challenges. Reliable electricity for the AI revolution, faster drug discovery through artificial intelligence, and technologies that could reshape entire industries if they successfully execute. That combination of innovation and long-term opportunity is exactly why Cathie Wood continues looking for companies like these before they become household names. Let's begin with the first company, Oklo Inc., ticker symbol OKLO. One of the biggest investment themes unfolding today is something that many investors completely overlooked just a few years ago. Artificial intelligence is creating an unprecedented surge in electricity demand. Every new AI model requires enormous computing power. Every new data center consumes massive amounts of electricity. Cloud infrastructure continues expanding at an incredible pace. That means one question has suddenly become incredibly important. Where will all of that power come from? This is exactly where Oklo enters the picture. Rather than simply generating electricity using traditional methods, Oklo is attempting to modernize nuclear energy with compact advanced reactors designed to deliver reliable carbon-free power for decades. If successful, this could fundamentally change how electricity is produced for industries that cannot afford interruptions, especially AI data centers, industrial facilities, military installations, and remote communities. The opportunity here is much larger than building another power company. Oklo is trying to become part of the infrastructure that powers the next generation of artificial intelligence. That is one one the biggest reasons investors continue paying attention despite the company's early stage development. Cathy Wood certainly has. Her investment firm recently increased its position in Oklo through the ARK Autonomous Technology & Robotics ETF. According to the firm's latest trade disclosures, ARK purchased more than 100,000 additional shares of Oklo worth roughly $4.7 million. That purchase came during a period when many investors were debating whether nuclear stocks had already moved too far, too fast. Instead of reducing exposure, ARK added to the position. That alone doesn't guarantee future returns, but it tells us something important. Cathy Wood continues believing that nuclear energy could become one of the defining investment themes over the coming decade. The timing is also interesting. Shares of Oklo traded higher during pre-market trading following the announcement, climbing more than 1% while investors continued digesting the latest institutional buying activity. The market's reaction was relatively modest, but institutional accumulation often matters more than a single day's price movement. Large investors usually build positions over time. They are thinking several years ahead. So, why exactly is nuclear energy suddenly becoming one of Wall Street's hottest sectors? The answer comes down to one word, electricity. Artificial intelligence is expected to consume staggering amounts of energy over the next decade. Training advanced AI models requires thousands of powerful processors operating around the clock. Data centers never sleep. As AI adoption expands into health care, finance, manufacturing transportation robotics and nearly every major industry, electricity demand could continue climbing for years. Traditional power grids are already under pressure. Renewable energy certainly plays an important role, but solar and wind generation depend on weather conditions. Data centers cannot simply shut down because clouds appear or the wind stops blowing. They require consistent base load electricity. That is where nuclear power becomes attractive. Modern reactors can operate continuously while producing extremely low carbon emissions. Governments have also begun recognizing this reality. Policies designed to accelerate nuclear development have received increasing attention as countries seek reliable energy while also reducing emissions. This combination of AI-driven electricity demand and supportive policy has placed companies like Oklo directly in investor's spotlight. But having a great opportunity is only half the story. Execution ultimately determines success. Analysts continue emphasizing exactly that point. Truist analyst Christopher Souther recently initiated coverage on Oklo with a hold rating and established a $55 price target suggesting meaningful upside from previous trading levels. However, the reasoning behind the hold rating is particularly important. The analyst noted that companies developing advanced nuclear technologies are now transitioning from exciting concepts toward actual execution. Customer demand continues improving. Government support continues strengthening. But investors now need proof that these projects can actually be delivered successfully. That may become the defining challenge for Oklo. Building advanced nuclear reactors is not like launching another software platform. These projects involve extensive engineering, regulatory oversight, construction timelines, safety requirements, financing considerations, and customer adoption. Every milestone matters. Every delay matters. Every successful deployment builds confidence. Every setback creates uncertainty. That naturally makes the stock more volatile. Yet volatility often accompanies disruptive technologies during their early growth stages. The bigger question is whether Oklo possesses meaningful competitive advantages if it successfully executes its vision. One advantage comes from its business model. Rather than simply selling reactors, Oklo has discussed providing energy directly to customers under long-term power agreements. That creates the possibility of recurring revenue instead of one-time equipment sales. Long-term contracts could potentially generate predictable cash flow while building lasting customer relationships. That approach resembles infrastructure investing more than traditional manufacturing. Another advantage involves customer demand itself. Many industries increasingly need dedicated electricity supplies independent from increasingly constrained public grids. Large industrial facilities cannot afford outages. AI operators need reliable computing capacity. Government agencies require dependable energy security. These trends create multiple potential customer segments if Oklo successfully commercializes its technology. Of course, investors should remain realistic. This remains a company focused primarily on future potential rather than current earnings. The market is assigning value based largely on what Oklo could become rather than what it generates today. That introduces significant execution risk. Construction schedules can change. Regulatory approvals may take longer than expected. Commercial adoption may happen slower than investors hope. Competition within advanced nuclear technologies also continues evolving rapidly. These realities help explain why professional investors often view companies like Oklo through a long-term lens instead of focusing on quarterly fluctuations. Another encouraging development involves growing institutional confidence across the broader nuclear sector. Investment capital continues flowing toward companies developing next generation reactor technologies because the long-term demand outlook keeps strengthening. The AI revolution is no longer just about software. It increasingly depends upon physical infrastructure. Semiconductors require electricity. Cloud computing requires electricity. Autonomous systems require electricity. Future robotics require electricity. Without reliable power generation, AI growth eventually encounters practical limitations. That gives companies addressing this challenge enormous strategic importance. One aspect that separates successful long-term investments from temporary market excitement is whether the underlying demand continues growing regardless of economic cycles. Electricity demand tied to AI infrastructure appears increasingly durable. Companies building massive computing clusters cannot simply stop halfway through development because economic growth temporarily slows. The competitive race surrounding artificial intelligence remains global. That creates long-term investment visibility for energy infrastructure providers. Oklo is attempting to position itself directly inside that trend. Of course, investors should avoid assuming success is guaranteed simply because a famous investor purchased shares. Cathie Wood has made exceptional investments during her career, but she has also experienced periods where high-growth companies underperformed significantly. The important lesson is not blindly copying any investor. Instead, understand why they are investing. In Oklo's case, the investment thesis revolves around several powerful trends coming together. Growing AI electricity demand, renewed government support for nuclear energy, advanced reactor technology, potential long-term recurring revenue, and the possibility of becoming part of America's next-generation energy infrastructure. Those themes certainly make the company interesting. Whether they translate into shareholder returns ultimately depends upon execution. Can management successfully navigate regulation? Can projects remain on schedule? Can customers commit to long-term agreements? Can the company scale operations efficiently? Those questions will likely determine where Oklo trades 5 or 10 years from now far more than any short-term headline. For growth investors comfortable accepting uncertainty in exchange for potentially significant upside, Oklo represents one of the more fascinating companies emerging within the advanced nuclear sector. It remains speculative. It remains volatile. But it also sits directly at the intersection of two enormous megatrends, artificial intelligence and clean, reliable energy production. That combination explains why Cathie Wood continues adding shares while many investors remain focused only on short-term market noise. If this resonates with you, you're exactly who this channel is for. Please, hit the like button, share the video, and leave your thoughts in the comments. Subscribe to the channel so you don't miss out on the next important financial investing update. Remember to do your own research before you invest in any stock. Let's move on to the second stock. X-Energy Incorporated, ticker symbol XE. If the first company represents one possible solution to the growing electricity shortage created by artificial intelligence, the second company is pursuing the same massive opportunity from a different angle. That is important because the nuclear investment story is no longer about a single company. It is about an entire industry that suddenly finds itself at the center of one of the biggest infrastructure build-outs in decades. The AI revolution is forcing governments, utilities, and large technology companies to rethink how electricity will be generated over the next 20 years. That demand is unlikely to disappear. Every new AI application requires computing power. Every new data center requires dependable electricity. Every expansion of cloud infrastructure increases pressure on the electrical grid. The result is that advanced nuclear technology has gone from being an overlooked niche to becoming a strategic national priority. That brings us to X-Energy. Unlike companies focused solely on proving a scientific concept, X-Energy is working toward commercializing advanced nuclear reactor technology that could eventually supply reliable carbon-free electricity to utilities, industrial customers, and large energy users. The company's long-term vision is centered around developing reactors that are designed to be safer, more flexible, and more scalable than many traditional nuclear facilities. That matters because one of the biggest criticisms of conventional nuclear plants has always been cost, construction time, and complexity. If newer reactor technologies can reduce those challenges while maintaining high safety standards, they could significantly expand nuclear adoption over the coming decades. This is exactly the type of disruptive opportunity Cathie Wood has consistently looked for throughout her investing career. And recently, she made another very noticeable move. ARK Invest significantly increased its ownership of X-Energy across multiple exchange-traded funds. The firm purchased approximately 545,453 additional shares spread across the Ark Innovation ETF, the Ark Space Exploration and Innovation ETF, and the Ark Autonomous Technology and Robotics ETF. Combined, those purchases were worth roughly $8.7 million. That was not a small adjustment. It represented another meaningful vote of confidence in the long-term outlook for advanced nuclear energy. Perhaps even more interesting was the timing. Cathie Wood was buying aggressively even after X Energy's stock had fallen more than 47% below its initial public offering price. Many investors become fearful after large declines. Cathie Wood often does the opposite. She looks for situations where she believes Wall Street has become overly focused on short-term concerns while underestimating the long-term opportunity. Whether that approach proves correct remains to be seen, but it is consistent with how Ark has invested for years. Instead of chasing momentum, the firm often increases positions during periods of weakness if the long- term investment thesis remains intact. That appears to be exactly what happened here. The market initially responded positively. Shares of X Energy gained more than 2% during pre-market trading following news of the latest Ark purchases. While one day's price movement is not especially meaningful by itself, institutional buying often attracts additional investor attention. The more important question is why Ark continues building such a large position. The answer goes well beyond nuclear power alone. It comes back to one of the defining investment themes of this decade. Artificial intelligence is becoming an electricity story. Many investors focus almost exclusively on software companies whenever AI is discussed. Others immediately think about semiconductor manufacturers. Those businesses are certainly important. But AI cannot exist without enormous amounts of dependable electricity. Every large language model, every autonomous system, every cloud computing platform, every enterprise AI application, every robotics deployment, they all require power, reliable power. That shifts attention toward companies capable of supplying the energy needed for this next generation of digital infrastructure. X-energy wants to become one of those companies. Another factor supporting the long-term investment case is growing government interest in strengthening domestic nuclear power production. Energy security has become a major strategic issue. Countries increasingly recognize that dependable electricity generation is not simply an economic advantage. It is a national security priority. That has encouraged policy makers to support technologies capable of producing clean, reliable baseload power. For companies developing advanced nuclear reactors, that creates a more favorable environment than existed several years ago. Government support does not eliminate execution risk, but it can improve financing opportunities, accelerate permitting, and encourage broader industry adoption. That combination could become increasingly valuable as electricity demand continues rising. Still, investors should remain grounded. X-energy is not a mature utility generating billions in annual profits. It remains a growth company working toward commercial deployment. That means investors are buying future potential rather than current financial performance. There are meaningful risks. Commercial timelines could take longer than expected. Regulatory approvals require patience. Construction costs must remain under control. Customers ultimately need confidence that projects can be delivered on schedule and within budget. Those are not small challenges. History has shown that major infrastructure projects often encounter delays. Successful execution will likely determine whether today's valuation eventually looks cheap or expensive. That said, one encouraging aspect of the nuclear industry today is that demand appears much stronger than it did just a few years ago. The conversation has shifted dramatically. Previously, investors debated whether nuclear energy would remain relevant. Now, the discussion increasingly focuses on how quickly additional nuclear capacity can be developed. That represents an important change in market psychology. Demand is no longer the primary concern. Execution has become the central question. That distinction matters. When industries experience structural demand growth, companies that execute successfully often create tremendous long-term shareholder value. Investors should also recognize why advanced nuclear technologies could become especially attractive compared to many other forms of electricity generation. Consistency. Solar energy is highly effective, but production varies depending on weather conditions and daylight hours. Wind energy also depends upon natural conditions. Advanced nuclear reactors, by comparison, are designed to provide continuous electricity around the clock. For customers operating AI infrastructure 24 hours a day, that reliability could become an enormous competitive advantage. Imagine operating one of the world's largest AI data centers. Downtime is incredibly expensive. Interruptions can affect millions of users. Reliable electricity is no longer simply a utility expense. It becomes a strategic asset. That is precisely the environment companies like X-energy hope to serve. Another reason investors remain interested is scalability. As electricity demand expands, customers may increasingly look for modular solutions capable of being deployed closer to where energy is consumed. That could reduce transmission challenges while improving energy security. If X-energy successfully demonstrates its technology at commercial scale, its addressable market could become substantially larger than many investors currently appreciate. Of course, investors should remember that not every promising technology ultimately becomes a successful business. The path from innovation to commercialization often proves more difficult than expected. Management execution, capital allocation, regulatory relationships, manufacturing capabilities, customer adoption. Every one of these factors will influence long-term shareholder returns. That is why this stock remains appropriate primarily for investors with a higher tolerance for volatility. The opportunity is significant. So are the risks. Cathie Wood appears willing to accept that trade-off because she believes the long-term reward justifies the uncertainty. Her continued accumulation suggests she views recent share price weakness as an opportunity rather than a warning sign. Time will determine whether that thesis proves correct. For investors building a diversified growth portfolio, X Energy offers exposure to one of the most important infrastructure trends likely to shape the coming decade. The demand for electricity. More specifically, the demand for dependable, scalable, carbon-free electricity capable of supporting artificial intelligence, advanced manufacturing, and the broader digital economy. If those trends continue unfolding as expected, companies capable of delivering practical nuclear solutions could occupy an increasingly valuable position within the global energy landscape. That makes X Energy one of the more intriguing speculative investments currently attracting institutional attention. And when experienced growth investors continue adding millions of dollars to their position despite substantial volatility, it is certainly worth understanding exactly what they see. This video is brought to you by Value Stocks Investing Master Course. If you're looking to grow your wealth by investing in solid undervalued stocks, but not sure where to start, I created the Value Stocks Investing Master Course to teach you how to identify great companies, make smart investment decisions, and build a portfolio that lasts. Click the link in the description and pinned comments to get the course today and take control of your financial future. Now, let's move on to the third and final stock, Recursion Pharmaceuticals, RXRX. While the first two companies are trying to solve one of the world's biggest energy challenges, this final company is trying to solve something just as important, the future of medicine. Drug development has always been one of the longest, most expensive, and riskiest businesses in the world. It can take well over a decade to bring a single drug to market with billions of dollars spent along the way. Even after years of research, many drug candidates fail before they ever reach patients. That creates an enormous opportunity for any company that can make the process faster, more efficient, and more accurate. This is where artificial intelligence could fundamentally transform healthcare. Instead of relying solely on traditional trial and error, AI can analyze massive amounts of biological data, identify patterns humans may never notice, and help researchers prioritize which drug candidates have the highest probability of success. That is exactly what Recursion Pharmaceuticals is attempting to do. Rather than simply becoming another biotechnology company developing drugs one at a time, Recursion has built an AI-driven drug discovery platform that combines robotics, computer vision, machine learning, and one of the largest biological datasets in the industry. Its goal is straightforward: generate enormous amounts of biological data, allow artificial intelligence to analyze that information, identify promising drug candidates much faster than traditional research methods. If that approach works consistently, it could dramatically reduce both the cost and time required to develop new medicines. That possibility is one of the reasons Cathie Wood continues investing in the company. Although Recursion is not among the three largest holdings in the ARK Genomic Revolution ETF, it remains an important position. As of July 10th, ARK owned more than $50 million worth of Recursion Pharmaceuticals shares. That is a meaningful commitment to a company that many investors still consider highly speculative. The reason becomes easier to understand once you examine the business more closely. Every single week, Recursion's automated laboratories use robotics and computer vision to conduct millions of cell-based experiments. Think about the scale involved: millions of experiments every week. Each experiment generates new biological information that feeds into the company's growing AI models. The more data the platform collects, the more opportunities artificial intelligence has to identify previously unknown biological relationships. That creates a potential competitive advantage. Artificial intelligence systems generally improve as they receive larger, higher quality data sets. In other words, the company's platform could become smarter over time. This creates a powerful feedback loop. More experiments generate more data. More data improves the AI models. Better AI models identify stronger drug candidates. Those discoveries lead to additional experiments, creating even more valuable data. That type of flywheel is difficult to replicate. It also helps explain why investors increasingly pay attention to platform companies rather than focusing only on individual drug candidates. Recursion is not simply building one medicine. It is attempting to build an engine capable of discovering many medicines. That distinction could become incredibly important over the long run. The company's pipeline currently includes seven drug candidates in various stages of clinical development. One of the most advanced is REC4881. This experimental therapy is designed to treat a rare genetic condition that can significantly increase cancer risk. Early proof-of-concept data has been encouraging. Even more importantly, additional phase 1B and phase 2 clinical data is expected during the first half of 2027. Those future trial results could become one of the company's biggest catalysts. Positive clinical outcomes would strengthen confidence not only in that individual therapy, but also in Recursion's overall AI-driven discovery platform. Successful platform validation often carries implications far beyond a single drug. Another reason investors continue watching Recursion closely is the quality of its strategic partnerships. Young biotechnology companies rarely attract collaborations with global industry leaders unless they possess something genuinely valuable. Recursion has done exactly that. The company has established therapeutic partnerships with major European healthcare organizations, including Bayer and Roche Holding. These relationships matter for several reasons. First, they validate the company's technology. Large pharmaceutical companies perform extensive due diligence before entering research collaborations. Second, partnerships can provide funding that helps support continued research. Third, they create opportunities to commercialize discoveries through organizations that already possess significant global development and distribution capabilities. Perhaps even more interesting is Recursion's relationship with Nvidia. The two companies previously worked together to process enormous amounts of biological data using advanced supercomputing capabilities. That partnership highlights just how computationally intensive modern drug discovery has become. Artificial intelligence is only as effective as power supporting it. As AI infrastructure continues improving, companies like Recursion may gain access to increasingly sophisticated computational tools capable of accelerating research even further. Still, investors should approach this company with realistic expectations. Recursion currently has no approved drugs generating recurring product revenue. Most of its current income comes through collaboration agreements rather than commercial medicine sales. That means today's valuation depends primarily on future success. Investors are buying potential, not established profitability. That naturally increases risk. Clinical trials can fail. Regulatory approvals are never guaranteed. Competition within AI-powered drug discovery continues intensifying. Numerous companies are pursuing similar objectives hoping to combine artificial intelligence with biotechnology. The winners will likely be those capable of consistently translating AI insights into commercially successful medicines. That remains the key challenge. Generating interesting discoveries is one thing. Turning those discoveries into approved therapies that improve patients' lives while generating substantial revenue is something entirely different. Fortunately, the company's financial position provides some breathing room. Management has indicated that Recursion expects to have sufficient capital to fund operations into early 2028 without requiring additional financing. That is an important point for investors. Early-stage biotechnology companies often need to raise capital repeatedly, creating shareholder dilution. Having several years of financial runway allows management to focus more on executing its research strategy rather than constantly worrying about immediate funding needs. That does not eliminate future financing risk, but it certainly improves flexibility. From an investment perspective, Recursion probably fits best as a speculative growth position within a diversified portfolio. It is not the type of company investors typically buy for stable earnings or predictable dividends. Instead, investors own companies like this because they believe breakthrough innovation can create extraordinary long-term returns. If Recursion successfully commercializes multiple therapies discovered through its AI platform, today's valuation could eventually look very different. If clinical development disappoints, the stock could remain volatile for years. That is simply the nature of biotechnology investing. The potential rewards are significant. The risks are equally real. This is exactly why position sizing matters. Even Cathie Wood, despite her optimism, owns Recursion as one position within a much broader innovation focused portfolio. She understands that not every breakthrough company succeeds. Diversification remains essential when investing in emerging technologies. Stepping back and looking at all three companies covered today, an interesting pattern begins to emerge. None of them are built around short-term market trends. Instead, each is attempting to solve a long-term structural challenge. Oklo is pursuing advanced nuclear energy to help meet growing electricity demand. X-energy is developing next-generation nuclear technology designed to support the expanding digital economy. Recursion Pharmaceuticals is using artificial intelligence to transform how new medicines are discovered. Different industries, different technologies, but one common theme. All three are trying to build solutions that could remain relevant for decades rather than years. That is precisely the type of innovation Cathie Wood has consistently sought throughout her investment career. Whether every investment succeeds is impossible to know, but understanding the long-term thesis behind these businesses helps investors make more informed decisions instead of reacting emotionally to daily stock price movements. The most successful long-term investors usually focus less on what a stock did this week and more on where the underlying business could be five or 10 years from today. That perspective often separates investing from speculation. If you want exclusive stock tips, in-depth analysis, real-time trade alerts, and free investing guides, join the Stocks Galore Patreon today and take your investing game to the next level. Our members get full in-depth analysis on most of the stocks mentioned here. Head over to patreon.com/stocksgalore and become part of our growing community of smart investors. Link is in the description. Now, I'd love to hear from you. Which of these three companies do you believe has the strongest long-term competitive advantage? Oklo's advanced nuclear energy strategy, X-Energy's next-generation reactor technology, or Recursion Pharmaceuticals' AI-driven drug discovery platform? Let everyone know your thoughts in the comments because I'd love to hear your perspective. Do not forget to like the video, share your thoughts in the comments, and subscribe so you do not miss the next important investing update. Thanks for watching, and I will see you in the next one.