NRG Energy Inc (NRG) is slightly overvalued and Transalta Corp (TAC) is fairly valued.
Both trade above our estimate of their intrinsic value. TAC is the closer of the two: -0%, against -16% for NRG.
Values as of the 19 Oct 2026 close.
Discounting its cash flows at 8.3% (average of 3 methods) values the shares at $85.60; the price of $99.38 is 16% above that value, and 79% of that value comes from beyond year five.
Leak Score 23/100 on 12 of 12 signals
Discounting its cash flows at 7.9% (average of 2 methods) values the shares at $12.97; the price of $13.00 sits right on that value, and 80% of that value comes from beyond year five.
Leak Score 50/100 on 10 of 12 signals
| Metric | NRG | TAC |
|---|---|---|
| Verdict | Slightly overvalued | Fairly valued |
| Price | $99.38 | $13.00 |
| Intrinsic value | $85.60 | $12.97 |
| Margin of safety | -16% | -0% |
| Leak Score | 23/100 (12/12) | 50/100 (10/12) |
| Market cap | $20.9B | $4.1B |
| Revenue growth, 5 years | 27.9% | 3.3% |
| Operating margin | 5.5% | -1.2% |
| Net margin | 2.4% | -3.3% |
| Return on equity | 23.8% | -1.4% |
| Debt to equity | 4.83 | 2.38 |
| P/E | 26.3x | — |
| Forward P/E | 9.2x | 32.9x |
| P/B | 5.0x | 7.0x |
| Dividend yield | 1.9% | 1.5% |