Talen EnergyTLN -1.46%33 Current Ratio is 1.25 as of Mar. 2026, which is 35% below its 10-year median of 1.93. GuruFocus rates TLN with a GF Score™ of 33/100. The stock has 8 warning signs investors should review. Among 445 Utilities - Independent Power Producers companies, Talen Energy ranks worse than 55.73% on this metric.
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 Mar. 2026 was 1.25.
Talen Energy has a current ratio of 1.25. 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: 1.93 Max: 4.51
Current: 1.25
During the past 10 years, Talen Energy's highest Current Ratio was 4.51. The lowest was 0.80. And the median was 1.93.
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
Talen Energy Current Ratio Historical Data
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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.
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 Current Ratio vs 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.
* 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 (TLN) has a Current Ratio of 1.25 as of Mar. 2026. This is 35% below median its historical median of 1.93. Over the past decade, Talen Energy's Current Ratio has ranged from 0.80 to 4.51. According to the industry distribution chart, Talen Energy ranks #248 out of 445 companies in the Utilities - Independent Power Producers industry, placing it in the top 55.7%.
Is Talen Energy's Current Ratio too high?
Talen Energy's current Current Ratio of 1.25 is 35% below median its 10-year median of 1.93. Over the past 10 years, this metric has ranged from a low of 0.80 to a high of 4.51. The Utilities - Independent Power Producers industry median Current Ratio is 1.36. Talen Energy's value of 1.25 is 8.1% below this industry median. Based on the distribution chart, Talen Energy ranks #248 out of 445 companies in the Utilities - Independent Power Producers industry, which is below the industry midpoint. Overall, Talen Energy has a GF Score™ of 33/100, reflecting its overall financial health beyond just this single metric.
How does Talen Energy's Current Ratio compare to OKLO and NRG?
According to the Utilities - Independent Power Producers industry distribution chart, Talen Energy ranks #248 out of 445 companies for Current Ratio. This places Talen Energy in the lower half of its industry. The industry median Current Ratio is 1.36. Talen Energy's value of 1.25 is 8.1% below this benchmark. Historically, Talen Energy's own Current Ratio has ranged from 0.80 to 4.51 over the past decade. While the company's 10-year median is 1.93 vs. the industry median of 1.36, Talen Energy has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Current Ratio for an Utilities - Independent Power Producers company?
The median Current Ratio among Utilities - Independent Power Producers companies is 1.36, based on 445 companies in the industry. Companies in the top quartile (top 25%) have a Current Ratio significantly above this median, while those in the bottom quartile fall well below. However, Current Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Talen Energy's current Current Ratio of 1.25 is 8.1% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Current Ratio mean?
A high Current Ratio can signal that a stock is expensive relative to its fundamentals. For the Utilities - Independent Power Producers industry, the median Current Ratio is 1.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Talen Energy's current Current Ratio is 1.25, which is 35% below median its own 10-year median of 1.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Talen Energy stock overvalued right now?
Talen Energy (TLN) has a current Current Ratio of 1.25. The current Current Ratio is 1.25, which is 35% below median its 10-year median of 1.93 and 8.1% below the Utilities - Independent Power Producers industry median of 1.36. Talen Energy's overall GF Score™ is 33/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Current Ratio calculated?
Current Ratio is calculated from a company's financial statements. For Talen Energy (TLN), the current Current Ratio is 1.25 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Talen Energy Corp is an independent power producer and energy infrastructure company based in the United States. It owns and operates several gigawatts of power infrastructure in the United States, including 2.2GW of nuclear power and a dispatchable fossil fleet. The company produces and sells electricity, capacity, and ancillary services into wholesale U.S. power markets, with its generation fleet principally located in the Mid-Atlantic, Ohio, and Montana. Talen's operating segments are: PJM and Others. The PJM segment, which generates maximum revenue, is engaged in electricity generation, marketing activities, and commodity risk and fuel management within the PJM market and is comprised of Susquehanna and Talen's natural gas and coal generation facilities in PJM.
33GF Score
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