TLN Relative Valuation
TLN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, TLN is overvalued; if below, it's undervalued.
Historical Valuation
Talen Energy Corp (TLN) is now in the Undervalued zone, suggesting that its current forward PE ratio of 20.61 is considered Undervalued compared with the five-year average of 26.03. The fair price of Talen Energy Corp (TLN) is between 413.16 to 753.21 according to relative valuation methord. Compared to the current price of 373.99 USD , Talen Energy Corp is Undervalued By 9.48%.
Relative Value
Fair Zone
413.16-753.21
Current Price：373.99
9.48%
Undervalued
20.75
PE
1Y
3Y
5Y
Trailing
Forward
10.70
EV/EBITDA
Talen Energy Corp. (TLN) has a current EV/EBITDA of 10.70. The 5-year average EV/EBITDA is 10.91. The thresholds are as follows: Strongly Undervalued below 4.10, Undervalued between 4.10 and 7.50, Fairly Valued between 14.31 and 7.50, Overvalued between 14.31 and 17.71, and Strongly Overvalued above 17.71. The current Forward EV/EBITDA of 10.70 falls within the Historic Trend Line -Fairly Valued range.
14.25
EV/EBIT
Talen Energy Corp. (TLN) has a current EV/EBIT of 14.25. The 5-year average EV/EBIT is 17.91. The thresholds are as follows: Strongly Undervalued below 6.73, Undervalued between 6.73 and 12.32, Fairly Valued between 23.50 and 12.32, Overvalued between 23.50 and 29.09, and Strongly Overvalued above 29.09. The current Forward EV/EBIT of 14.25 falls within the Historic Trend Line -Fairly Valued range.
4.59
PS
Talen Energy Corp. (TLN) has a current PS of 4.59. The 5-year average PS is 3.42. The thresholds are as follows: Strongly Undervalued below 0.57, Undervalued between 0.57 and 1.99, Fairly Valued between 4.84 and 1.99, Overvalued between 4.84 and 6.26, and Strongly Overvalued above 6.26. The current Forward PS of 4.59 falls within the Historic Trend Line -Fairly Valued range.
12.75
P/OCF
Talen Energy Corp. (TLN) has a current P/OCF of 12.75. The 5-year average P/OCF is 12.67. The thresholds are as follows: Strongly Undervalued below 0.86, Undervalued between 0.86 and 6.76, Fairly Valued between 18.58 and 6.76, Overvalued between 18.58 and 24.48, and Strongly Overvalued above 24.48. The current Forward P/OCF of 12.75 falls within the Historic Trend Line -Fairly Valued range.
18.83
P/FCF
Talen Energy Corp. (TLN) has a current P/FCF of 18.83. The 5-year average P/FCF is 16.69. The thresholds are as follows: Strongly Undervalued below 5.02, Undervalued between 5.02 and 10.86, Fairly Valued between 22.53 and 10.86, Overvalued between 22.53 and 28.36, and Strongly Overvalued above 28.36. The current Forward P/FCF of 18.83 falls within the Historic Trend Line -Fairly Valued range.
Talen Energy Corp (TLN) has a current Price-to-Book (P/B) ratio of 11.37. Compared to its 3-year average P/B ratio of 5.04 , the current P/B ratio is approximately 125.72% higher. Relative to its 5-year average P/B ratio of 5.04, the current P/B ratio is about 125.72% higher. Talen Energy Corp (TLN) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 28.02%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 28.02% , the current FCF yield is about -100.00% lower.
11.44
P/B
Median3y
5.04
Median5y
5.04
1.35
FCF Yield
Median3y
28.02
Median5y
28.02
Competitors Valuation Multiple
The average P/S ratio for TLN's competitors is 7.76, providing a benchmark for relative valuation. Talen Energy Corp Corp (TLN) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 38.74%, this premium appears sustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of TLN increased by 82.62% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 52.10 to 80.79.
The secondary factor is the Revenue Growth, contributed 38.74%to the performance.
Overall, the performance of TLN in the past 1 year is driven by P/E Change. Which is more unsustainable.
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