Tln stock price forecast short-term traders eye Fibonacci

Short-term traders eye Fibonacci retracement levels post recent rally. The tln stock price forecast aligns with retracement support near $16.85 before another leg higher toward $18. We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. You don't have to agree with these inputs, I recommend redoing the calculations yourself and playing with them. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Talen Energy as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 7.0%, which is based on a levered beta of 0.937. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. Talen Energy Corp ( (TLN) ) has provided an announcement. Sector-wide valuation metrics show TLN trading at a discount to peers. This undervaluation supports a constructive tln stock price forecast pointing toward mean reversion at $18.