Talen Energy Corporation (NASDAQ:
TLN) is one of the
cheap new stocks to buy now. On February 26, Talen Energy reported a full-year 2025 GAAP net loss of $219 million, which was a significant shift from the previous year’s $998 million profit. This decline was primarily attributed to the absence of one-time gains from asset sales recorded in 2024 and a $501 million non-cash charge related to a strategic realignment of executive management and stock-based compensation.
Despite the net loss, the company’s operational health remained robust, with Adjusted EBITDA rising to $1,035 million and Adjusted Free Cash Flow reaching $524 million, driven by stronger capacity and energy revenues. The company aggressively expanded its footprint in the PJM market through high-profile acquisitions. In November 2025, Talen closed a $3.8 billion deal for the Freedom and Guernsey plants, adding 2.8GW of capacity.
Building on this momentum, the company announced the Cornerstone Acquisition, a $3.45 billion agreement to acquire three additional facilities in Ohio and Indiana from Energy Capital Partners. These moves are central to the Talen Flywheel strategy, aimed at diversifying cash flows and providing the reliable baseload generation required to power the rapidly growing AI data center sector. Talen Energy Corporation (NASDAQ:TLN) reaffirmed its strong outlook for 2026, guiding for Adjusted EBITDA between $1,750 and $2,050 million and Adjusted Free Cash Flow between $980 and $1,180 million.
Talen Energy Corporation (NASDAQ:TLN) is an independent power producer and infrastructure company that produces & sells electricity, capacity, and ancillary services into wholesale power markets in the US.
While we acknowledge the potential of TLN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the
best short-term AI stock.
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