$378.08
-0.40%Talen Energy Corporation, an independent power producer and infrastructure company, produces and sells electricity, capacity, and ancillary services into wholesale power markets in the United States. The company operates nuclear, fossil, solar, and coal power plants. It is also developing battery storage projects. The company owns and operates approximately 10.7 GW of power infrastructure. Talen Energy Corporation is headquartered in Houston, Texas.
Warren Buffett's Owner Earnings DCF analysis for intrinsic value calculation
Base year metrics used for projections
Forecast period and terminal assumptions
Calculation flow from present value to intrinsic value per share
Operating Cash Flow - Maintenance CapEx = Owner Earnings
| Metric | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $1.2B | $2.5B | $4.9B | $9.8B | $19.7B | $39.4B | $78.7B | $157.4B | $314.9B | $629.8B |
| Maintenance CapEx | -$82.4M | -$164.8M | -$329.6M | -$659.2M | -$1.3B | -$2.6B | -$5.3B | -$10.5B | -$21.1B | -$42.2B |
| Owner Earnings | $1.1B | $2.3B | $4.6B | $9.2B | $18.4B | $36.7B | $73.4B | $146.9B | $293.8B | $587.6B |
| Discount Factor | 0.926 | 0.857 | 0.794 | 0.735 | 0.681 | 0.630 | 0.583 | 0.540 | 0.500 | 0.463 |
| Present Value | $1.1B | $2.0B | $3.6B | $6.7B | $12.5B | $23.1B | $42.9B | $79.4B | $147.0B | $272.2B |
Snapshot
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Value Model
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Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.