AWK vs. TLN: A Head-to-Head Stock Comparison

Updated on August 23, 2025

Here’s a clear look at AWK and TLN, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

Symbol	AWK	TLN
Company Name	American Water Works Company, Inc.	Talen Energy Corporation
Country	United States	United States
GICS Sector	Utilities	Utilities
GICS Industry	Water Utilities	Independent Power and Renewable Electricity Producers
Market Capitalization	28.41 billion USD	16.45 billion USD
Exchange	NYSE	NasdaqGS
Listing Date	April 23, 2008	June 2, 2023
Security Type	Common Stock	Common Stock

Historical Performance

This chart compares the performance of AWK and TLN by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

AWK vs. TLN: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

Symbol	AWK	TLN
5-Day Price Return	1.03%	-3.18%
13-Week Price Return	1.86%	50.36%
26-Week Price Return	16.15%	55.67%
52-Week Price Return	3.00%	176.90%
Month-to-Date Return	3.54%	-2.49%
Year-to-Date Return	16.64%	82.74%
10-Day Avg. Volume	1.42M	0.87M
3-Month Avg. Volume	1.33M	1.04M
3-Month Volatility	19.72%	60.66%
Beta	0.72	1.62

Profitability

Return on Equity (TTM)

AWK

10.34%

Water Utilities Industry

Max: 14.76%
Q3: 13.44%
Median: 10.08%
Q1: 6.84%
Min: 5.11%

AWK’s Return on Equity of 10.34% is on par with the norm for the Water Utilities industry, indicating its profitability relative to shareholder equity is typical for the sector.

TLN

12.06%

Independent Power and Renewable Electricity Producers Industry

Max: 30.49%
Q3: 14.63%
Median: 7.41%
Q1: 3.67%
Min: -8.17%

TLN’s Return on Equity of 12.06% is on par with the norm for the Independent Power and Renewable Electricity Producers industry, indicating its profitability relative to shareholder equity is typical for the sector.

AWK vs. TLN: A comparison of their Return on Equity (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Net Profit Margin (TTM)

AWK

21.91%

Water Utilities Industry

Max: 33.53%
Q3: 23.04%
Median: 13.50%
Q1: 8.95%
Min: -3.68%

AWK’s Net Profit Margin of 21.91% is aligned with the median group of its peers in the Water Utilities industry. This indicates its ability to convert revenue into profit is typical for the sector.

TLN

8.75%

Independent Power and Renewable Electricity Producers Industry

Max: 32.12%
Q3: 16.71%
Median: 10.67%
Q1: 5.10%
Min: -6.37%

TLN’s Net Profit Margin of 8.75% is aligned with the median group of its peers in the Independent Power and Renewable Electricity Producers industry. This indicates its ability to convert revenue into profit is typical for the sector.

AWK vs. TLN: A comparison of their Net Profit Margin (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Operating Profit Margin (TTM)

AWK

36.48%

Water Utilities Industry

Max: 54.67%
Q3: 39.13%
Median: 31.40%
Q1: 24.32%
Min: 7.04%

AWK’s Operating Profit Margin of 36.48% is around the midpoint for the Water Utilities industry, indicating that its efficiency in managing core business operations is typical for the sector.

TLN

6.27%

Independent Power and Renewable Electricity Producers Industry

Max: 42.59%
Q3: 29.96%
Median: 18.17%
Q1: 12.79%
Min: 4.70%

TLN’s Operating Profit Margin of 6.27% is in the lower quartile for the Independent Power and Renewable Electricity Producers industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

AWK vs. TLN: A comparison of their Operating Profit Margin (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Profitability at a Glance

Symbol	AWK	TLN
Return on Equity (TTM)	10.34%	12.06%
Return on Assets (TTM)	3.29%	3.03%
Net Profit Margin (TTM)	21.91%	8.75%
Operating Profit Margin (TTM)	36.48%	6.27%
Gross Profit Margin (TTM)	--	62.61%

Financial Strength

Current Ratio (MRQ)

AWK

0.35

Water Utilities Industry

Max: 1.94
Q3: 1.40
Median: 1.09
Q1: 0.77
Min: 0.38

AWK’s Current Ratio of 0.35 is notably low, falling beneath the typical range for the Water Utilities industry. This suggests a heightened liquidity risk and could indicate potential challenges in meeting its short-term obligations.

TLN

1.84

Independent Power and Renewable Electricity Producers Industry

Max: 1.74
Q3: 1.21
Median: 0.86
Q1: 0.62
Min: 0.25

TLN’s Current Ratio of 1.84 is exceptionally high, placing it well outside the typical range for the Independent Power and Renewable Electricity Producers industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

AWK vs. TLN: A comparison of their Current Ratio (MRQ) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Debt-to-Equity Ratio (MRQ)

AWK

1.40

Water Utilities Industry

Max: 5.48
Q3: 3.71
Median: 1.82
Q1: 0.96
Min: 0.58

AWK’s Debt-to-Equity Ratio of 1.40 is typical for the Water Utilities industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TLN

2.46

Independent Power and Renewable Electricity Producers Industry

Max: 3.93
Q3: 2.66
Median: 1.75
Q1: 1.05
Min: 0.22

TLN’s Debt-to-Equity Ratio of 2.46 is typical for the Independent Power and Renewable Electricity Producers industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AWK vs. TLN: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Interest Coverage Ratio (TTM)

AWK

4.17

Water Utilities Industry

Max: 5.04
Q3: 4.65
Median: 3.25
Q1: 2.23
Min: 0.58

AWK’s Interest Coverage Ratio of 4.17 is positioned comfortably within the norm for the Water Utilities industry, indicating a standard and healthy capacity to cover its interest payments.

TLN

28.78

Independent Power and Renewable Electricity Producers Industry

Max: 10.03
Q3: 7.41
Median: 2.59
Q1: 1.32
Min: -1.62

With an Interest Coverage Ratio of 28.78, TLN demonstrates a superior capacity to service its debt, placing it well above the typical range for the Independent Power and Renewable Electricity Producers industry. This stems from either robust earnings or a conservative debt load.

AWK vs. TLN: A comparison of their Interest Coverage Ratio (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Financial Strength at a Glance

Symbol	AWK	TLN
Current Ratio (MRQ)	0.35	1.84
Quick Ratio (MRQ)	0.32	1.34
Debt-to-Equity Ratio (MRQ)	1.40	2.46
Interest Coverage Ratio (TTM)	4.17	28.78

Growth

Revenue Growth

AWK vs. TLN: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

AWK vs. TLN: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

AWK

2.06%

Water Utilities Industry

Max: 5.64%
Q3: 5.51%
Median: 4.50%
Q1: 2.37%
Min: 0.00%

AWK’s Dividend Yield of 2.06% is in the lower quartile for the Water Utilities industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

TLN

0.00%

Independent Power and Renewable Electricity Producers Industry

Max: 8.02%
Q3: 5.65%
Median: 4.08%
Q1: 2.47%
Min: 0.00%

TLN currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

AWK vs. TLN: A comparison of their Dividend Yield (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Dividend Payout Ratio (TTM)

AWK

56.23%

Water Utilities Industry

Max: 324.59%
Q3: 254.46%
Median: 142.60%
Q1: 57.04%
Min: 12.69%

AWK’s Dividend Payout Ratio of 56.23% is in the lower quartile for the Water Utilities industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

TLN

0.00%

Independent Power and Renewable Electricity Producers Industry

Max: 125.56%
Q3: 90.24%
Median: 50.41%
Q1: 17.76%
Min: 0.00%

TLN has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

AWK vs. TLN: A comparison of their Dividend Payout Ratio (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Dividend at a Glance

Symbol	AWK	TLN
Dividend Yield (TTM)	2.06%	0.00%
Dividend Payout Ratio (TTM)	56.23%	0.00%

Valuation

Price-to-Earnings Ratio (TTM)

AWK

27.30

Water Utilities Industry

Max: 34.48
Q3: 27.82
Median: 18.45
Q1: 14.12
Min: 7.14

AWK’s P/E Ratio of 27.30 is within the middle range for the Water Utilities industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

TLN

87.97

Independent Power and Renewable Electricity Producers Industry

Max: 51.94
Q3: 27.00
Median: 10.10
Q1: 7.02
Min: 4.18

At 87.97, TLN’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Independent Power and Renewable Electricity Producers industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

AWK vs. TLN: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Price-to-Sales Ratio (TTM)

AWK

5.98

Water Utilities Industry

Max: 5.86
Q3: 3.76
Median: 2.73
Q1: 2.16
Min: 1.04

With a P/S Ratio of 5.98, AWK trades at a valuation that eclipses even the highest in the Water Utilities industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

TLN

7.70

Independent Power and Renewable Electricity Producers Industry

Max: 6.94
Q3: 3.56
Median: 2.46
Q1: 0.86
Min: 0.39

With a P/S Ratio of 7.70, TLN trades at a valuation that eclipses even the highest in the Independent Power and Renewable Electricity Producers industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

AWK vs. TLN: A comparison of their Price-to-Sales Ratio (TTM) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Price-to-Book Ratio (MRQ)

AWK

2.54

Water Utilities Industry

Max: 4.29
Q3: 3.24
Median: 1.73
Q1: 1.09
Min: 0.65

AWK’s P/B Ratio of 2.54 is within the conventional range for the Water Utilities industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

TLN

10.62

Independent Power and Renewable Electricity Producers Industry

Max: 3.49
Q3: 1.92
Median: 1.33
Q1: 0.81
Min: 0.35

At 10.62, TLN’s P/B Ratio is at an extreme premium to the Independent Power and Renewable Electricity Producers industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

AWK vs. TLN: A comparison of their Price-to-Book Ratio (MRQ) against their respective Water Utilities and Independent Power and Renewable Electricity Producers industry benchmarks.

Valuation at a Glance

Symbol	AWK	TLN
Price-to-Earnings Ratio (TTM)	27.30	87.97
Price-to-Sales Ratio (TTM)	5.98	7.70
Price-to-Book Ratio (MRQ)	2.54	10.62
Price-to-Free Cash Flow Ratio (TTM)	4,224.17	89.41