15 Best Power Generation Stocks To Buy For Data Center Demand

13. Talen Energy Corporation (NASDAQ:TLN)

On May 5, 2026, Talen Energy Corporation (NASDAQ:TLN) reported Q1 EPS of $1.33 compared to  ($2.94) last year, while revenue came in at $1.12B versus $1.07B consensus. CEO Mac McFarland said the company generated $473M in adjusted EBITDA and $350M in adjusted free cash flow during the quarter. He added that Talen continues to advance the Cornerstone acquisition after securing financing in April and repurchased 300,000 shares for $100M under its buyback program, with $1.9B remaining authorized through 2028. McFarland also said the company continues pursuing land development and contracting opportunities through its “flywheel strategy.” Talen Energy maintained its FY26 adjusted EBITDA outlook of $1.75B-$2.05B.

Ahead of the earnings report, Morgan Stanley raised its price target on Talen Energy Corporation (NASDAQ:TLN) to $498 from $479 previously and kept an Overweight rating on the shares.

Raymond James has also raised its price target on Talen Energy to $457 from $456 and maintained an Outperform rating on the shares. The firm said Q1 results across the independent power producer group were expected to be mixed, though Talen appeared well-positioned due to acquisitions, stronger PJM capacity revenues, and a heavily hedged portfolio.

Talen Energy Corporation (NASDAQ:TLN) is an independent power producer and infrastructure company that produces and sells electricity, capacity, and ancillary services into wholesale power markets in the United States.