Talen EnergyTLN +0.35%33 Graham Number is $14.14 as of Mar. 2026, which is 135% above its 10-year median of 6.01. GuruFocus rates TLN with a GF Score™ of 33/100. The stock has 6 warning signs investors should review. Among 273 Utilities - Independent Power Producers companies, Talen Energy ranks worse than 100% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
As of today (2026-07-11), the stock price of Talen Energy is $385.80. Talen Energy's graham number for the quarter that ended in Mar. 2026 was $14.14. Therefore, Talen Energy's Price to Graham Number ratio for today is 27.28.
The historical rank and industry rank for Talen Energy's Graham Number or its related term are showing as below:
TLN'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 3.39 Med: 6.01 Max: 27.62
Current: 27.28
During the past 10 years, the highest Price to Graham Number ratio of Talen Energy was 27.62. The lowest was 3.39. And the median was 6.01.
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Talen Energy (NAS:TLN) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Talen Energy's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
385.80
/
14.14
=
27.28
* 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.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Talen Energy Graham Number Related Terms
Talen Energy Graham Number Historical Data
* Premium members only.
The historical data trend for Talen Energy's Graham Number 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 Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number 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 Price-to-Graham-Number vs Utilities - Independent Power Producers Industry
For the Utilities - Independent Power Producers industry and Utilities sector, Talen Energy's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Talen Energy's Price-to-Graham-Number 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 Graham Number of $14.14 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Talen Energy and its competitors. This is 135% above median its historical median of 6.01. Over the past decade, Talen Energy's Graham Number has ranged from 3.39 to 27.62. According to the industry distribution chart, Talen Energy ranks #273 out of 273 companies in the Utilities - Independent Power Producers industry.
Is Talen Energy's Graham Number too high?
Talen Energy's current Graham Number of $14.14 is 135% above median its 10-year median of 6.01. Over the past 10 years, this metric has ranged from a low of 3.39 to a high of 27.62. The Utilities - Independent Power Producers industry median Graham Number is 1.13. Talen Energy's value of $14.14 is 1151.3% above this industry median. Based on the distribution chart, Talen Energy ranks #273 out of 273 companies in the Utilities - Independent Power Producers industry, which is in the bottom quartile relative to peers. 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 Graham Number compare to OKLO and NRG?
According to the Utilities - Independent Power Producers industry distribution chart, Talen Energy ranks #273 out of 273 companies for Graham Number. This places Talen Energy in the lower half of its industry. The industry median Graham Number is 1.13. Talen Energy's value of $14.14 is 1151.3% above this benchmark. Historically, Talen Energy's own Graham Number has ranged from 3.39 to 27.62 over the past decade. While the company's 10-year median is 6.01 vs. the industry median of 1.13, Talen Energy has consistently been above 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 Graham Number for an Utilities - Independent Power Producers company?
The median Graham Number among Utilities - Independent Power Producers companies is 1.13, based on 273 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Talen Energy's current Graham Number of $14.14 is 1151.3% above 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 Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Talen Energy and its competitors. For the Utilities - Independent Power Producers industry, the median Graham Number is 1.13 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Talen Energy's current Graham Number is $14.14, which is 135% above median its own 10-year median of 6.01. 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 Graham Number of $14.14. The current Graham Number is $14.14, which is 135% above median its 10-year median of 6.01 and 1151.3% above the Utilities - Independent Power Producers industry median of 1.13. Talen Energy's overall GF Score™ is 33/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Talen Energy (TLN), the current Graham Number is $14.14 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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