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TLN (Talen Energy) Current Ratio : 2.29 (As of Dec. 2024)


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What is Talen Energy Current Ratio?

The current ratio is a liquidity ratio that measures a company's ability to pay short-term obligations. It is calculated as a company's Total Current Assets divides by its Total Current Liabilities. Talen Energy's current ratio for the quarter that ended in Dec. 2024 was 2.29.

Talen Energy has a current ratio of 2.29. It generally indicates good short-term financial strength.

The historical rank and industry rank for Talen Energy's Current Ratio or its related term are showing as below:

TLN' s Current Ratio Range Over the Past 10 Years
Min: 0.8   Med: 1.32   Max: 3.2
Current: 2.29

During the past 8 years, Talen Energy's highest Current Ratio was 3.20. The lowest was 0.80. And the median was 1.32.

TLN's Current Ratio is ranked better than
75.51% of 437 companies
in the Utilities - Independent Power Producers industry
Industry Median: 1.37 vs TLN: 2.29

Talen Energy Current Ratio Historical Data

The historical data trend for Talen Energy's Current Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Talen Energy Current Ratio Chart

Talen Energy Annual Data
Trend Dec11 Dec12 Dec13 Dec14 Dec15 Dec22 Dec23 Dec24
Current Ratio
Get a 7-Day Free Trial 0.93 1.32 - 3.20 2.29

Talen Energy Quarterly Data
Dec12 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Sep23 Dec23 Jun24 Sep24 Dec24
Current Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 3.20 4.51 4.10 2.29

Competitive Comparison of Talen Energy's Current Ratio

For the Utilities - Independent Power Producers subindustry, Talen Energy's Current Ratio, along with its competitors' market caps and Current Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Talen Energy's Current Ratio Distribution in the Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Talen Energy's Current Ratio distribution charts can be found below:

* The bar in red indicates where Talen Energy's Current Ratio falls into.


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Talen Energy Current Ratio Calculation

The current ratio is mainly used to give an idea of the company's ability to pay back its short-term liabilities with its short-term assets.

Talen Energy's Current Ratio for the fiscal year that ended in Dec. 2024 is calculated as

Current Ratio (A: Dec. 2024 )=Total Current Assets (A: Dec. 2024 )/Total Current Liabilities (A: Dec. 2024 )
=1040/455
=2.29

Talen Energy's Current Ratio for the quarter that ended in Dec. 2024 is calculated as

Current Ratio (Q: Dec. 2024 )=Total Current Assets (Q: Dec. 2024 )/Total Current Liabilities (Q: Dec. 2024 )
=1040/455
=2.29

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Talen Energy  (NAS:TLN) Current Ratio Explanation

The current ratio can give a sense of the efficiency of a company's operating cycle or its ability to turn its product into cash. Companies that have trouble getting paid on their receivables or have long inventory turnover can run into liquidity problems because they are unable to alleviate their obligations. Because business operations differ in each industry, it is always more useful to compare companies within the same industry.

Acceptable current ratios vary from industry to industry and are generally between 1 and 3 for healthy businesses.

The higher the current ratio, the more capable the company is of paying its obligations. A ratio under 1 suggests that the company would be unable to pay off its obligations if they came due at that point. While this shows the company is not in good financial health, it does not necessarily mean that it will go bankrupt - as there are many ways to access financing - but it is definitely not a good sign.

If all other things were equal, a creditor, who is expecting to be paid in the next 12 months, would consider a high current ratio to be better than a low current ratio, because a high current ratio means that the company is more likely to meet its liabilities which fall due in the next 12 months.


Talen Energy Current Ratio Related Terms

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Talen Energy Business Description

Traded in Other Exchanges
N/A
Address
1780 Hughes Landing, Suite 800, The Woodlands, TX, USA, 77380
Talen Energy Corp is an independent power producer and infrastructure company. The company owns and operates approximately 10.7 gigawatts of power infrastructure in the United States. The group produces and sells electricity, capacity, and ancillary services into wholesale U.S. power markets, including PJM and WECC, with its generation fleet located in the Mid-Atlantic and Montana.