WallStSmart

Talen Energy Corporation (TLN)vsTXNM Energy, Inc. (TXNM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Talen Energy Corporation generates 67% more annual revenue ($3.74B vs $2.23B). TXNM leads profitability with a 8.8% profit margin vs -5.0%. TXNM earns a higher WallStSmart Score of 63/100 (C+).

TLN

Hold

44

out of 100

Grade: D

Growth: 8.0Profit: 2.5Value: 5.0Quality: 2.5
Piotroski: 3/9Altman Z: 0.30

TXNM

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 5.5Value: 3.7Quality: 6.5
Piotroski: 3/9Altman Z: 3.29

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

TLN2 strengths · Avg: 9.0/10
Revenue GrowthGrowth
111.2%10/10

Revenue surging 111.2% year-over-year

EPS GrowthGrowth
34.5%8/10

Earnings expanding 34.5% YoY

TXNM5 strengths · Avg: 9.0/10
EPS GrowthGrowth
190.9%10/10

Earnings expanding 190.9% YoY

Altman Z-ScoreHealth
3.2910/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.5%8/10

Strong operational efficiency at 22.5%

Areas to Watch

TLN4 concerns · Avg: 2.8/10
Price/BookValuation
8.7x4/10

Trading at 8.7x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Return on EquityProfitability
-11.4%2/10

ROE of -11.4% — below average capital efficiency

Free Cash FlowQuality
$-546.00M2/10

Negative free cash flow — burning cash

TXNM4 concerns · Avg: 3.0/10
P/E RatioValuation
32.0x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
4.2%3/10

ROE of 4.2% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.552/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : TLN

The strongest argument for TLN centers on Revenue Growth, EPS Growth. Revenue growth of 111.2% demonstrates continued momentum.

Bull Case : TXNM

The strongest argument for TXNM centers on EPS Growth, Altman Z-Score, Debt/Equity.

Bear Case : TLN

The primary concerns for TLN are Price/Book, Piotroski F-Score, Return on Equity. Debt-to-equity of 5.92 is elevated, increasing financial risk.

Bear Case : TXNM

The primary concerns for TXNM are P/E Ratio, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

TLN profiles as a hypergrowth stock while TXNM is a value play — different risk/reward profiles.

TLN carries more volatility with a beta of 1.63 — expect wider price swings.

TLN is growing revenue faster at 111.2% — sustainability is the question.

TXNM generates stronger free cash flow (-195M), providing more financial flexibility.

Bottom Line

TXNM scores higher overall (63/100 vs 44/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Talen Energy Corporation

UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA

Talen Energy Corporation (Ticker: TLN) is a prominent player in the U.S. power generation and infrastructure sector, committed to delivering reliable energy solutions through a robust portfolio that includes both traditional and renewable resources. The company emphasizes environmental sustainability and grid resilience, adapting to the increasing demand for electricity in a rapidly evolving energy landscape. With a strategic focus on innovation and advanced technology, Talen is well-positioned to capitalize on the transition to cleaner energy alternatives, making it an attractive investment opportunity for institutional investors.

TXNM Energy, Inc.

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

TXNM Energy, Inc., provides electricity and electric services in the United States. The company is headquartered in Albuquerque, New Mexico.

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