TransAlta (TAC) Stock Price, News & Analysis

Company Overview

TransAlta Corporation engages in the development, production, and sale of electric energy. It operates through Hydro, Wind and Solar, Gas, Energy Transition, and Energy Marketing segments. The Hydro segment holds interest of approximately 922 megawatts (MW) of owned hydroelectric generating capacity located in Alberta, British Columbia, and Ontario. The Wind and Solar segment has a net ownership interest of approximately 2,057 MW of owned wind and solar electrical-generating capacity, as well as battery storage facilities located in Alberta, Ontario, New Brunswick, and Québec in Canada; the states of Massachusetts, Minnesota, New Hampshire, North Carolina, Pennsylvania, Washington, and Wyoming in the United States; and the state of Western Australia. The Gas segment has a net ownership interest of approximately 2,775 MW of owned gas electrical-generating capacity, and facilities located in Alberta, Ontario, Michigan, and the state of Western Australia. The Energy Transition segment has a net ownership interest of approximately 671 MW of owned coal electrical-generating capacity, as well as operates the Skookumchuck hydro facility in Centralia; and engages in the highvale mine and the mine reclamation activities. The Energy Marketing segment is involved in the trading of power, natural gas, and environmental products. It serves customers in various industry segments, including commercial real estate, municipal, manufacturing, industrial, hospitality, finance, and oil and gas. TransAlta Corporation was founded in 1909 and is headquartered in Calgary, Canada.

Key Stats

• Today's Range: $10.22 to $10.35
• 50-Day Range: $9.03 to $11.08
• 52-Week Range: $5.94 to $11.10
• Volume: 417,579 shs
• Average Volume: 881,219 shs
• Market Capitalization: $3.07 billion
• P/E Ratio: 27.78
• Dividend Yield: 1.65%
• Price Target: N/A
• Consensus Rating: Hold

TransAlta Stock Analysis - MarketRank™

TransAlta scored higher than 45% of companies evaluated by MarketBeat, and ranked 74th out of 94 stocks in the utilities sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: N/A
• Analyst Rating: N/A

Consensus Rating

There is not enough analysis data for TransAlta.

Earnings and Valuation

• Score: 1.3 / 5
• Proj. Earnings Growth: -23.64%

Earnings Growth

Earnings for TransAlta are expected to decrease by -23.64% in the coming year, from $0.55 to $0.42 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of TransAlta is 27.78, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 127.65.

Price to Earnings Ratio vs. Sector

The P/E ratio of TransAlta is 27.78, which means that it is trading at a less expensive P/E ratio than the Utilities sector average P/E ratio of about 98.44.

Price to Book Value per Share Ratio

TransAlta has a P/B Ratio of 4.28. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

1.30% of the float of TransAlta has been sold short.

Short Interest Ratio / Days to Cover

TransAlta has a short interest ratio ("days to cover") of 5.2.

Change versus previous month

Short interest in TransAlta has recently increased by 14.50%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

TransAlta pays a meaningful dividend of 1.67%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

TransAlta does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of TransAlta is 45.95%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, TransAlta will have a dividend payout ratio of 40.48% next year. This indicates that TransAlta will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

1.30% of the float of TransAlta has been sold short.

Short Interest Ratio / Days to Cover

TransAlta has a short interest ratio ("days to cover") of 5.2.

Change versus previous month

Short interest in TransAlta has recently increased by 14.50%, indicating that investor sentiment is decreasing significantly.

News and Social Media

• Score: 3.4 / 5
• News Sentiment: 1.18

News Sentiment

TransAlta has a news sentiment score of 1.18. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.68 average news sentiment score of Utilities companies.

News Coverage This Week

MarketBeat has tracked 7 news articles for TransAlta this week, compared to 3 articles on an average week.

Search Interest

4 people have searched for TAC on MarketBeat in the last 30 days. This is an increase of 33% compared to the previous 30 days.

Company Ownership

• Score: 1.7 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, TransAlta insiders have not sold or bought any company stock.

Percentage Held by Insiders

13.10% of the stock of TransAlta is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

59.00% of the stock of TransAlta is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

TAC Stock Analysis - Frequently Asked Questions

How have TAC shares performed this year?

TransAlta's stock was trading at $8.31 at the beginning of 2024. Since then, TAC stock has increased by 23.7% and is now trading at $10.28.
View the best growth stocks for 2024 here.

How were TransAlta's earnings last quarter?

TransAlta Co. (NYSE:TAC) issued its earnings results on Thursday, August, 1st. The utilities provider reported $0.13 earnings per share for the quarter, beating analysts' consensus estimates of $0.05 by $0.08. The utilities provider had revenue of $425.37 million for the quarter. TransAlta had a trailing twelve-month return on equity of 17.46% and a net margin of 5.72%.

Who are TransAlta's major shareholders?

Top institutional shareholders of TransAlta include Brookfield Corp ON (11.90%), Rubric Capital Management LP (1.88%), FMR LLC (1.54%) and National Bank of Canada FI (0.98%).
View institutional ownership trends.

How do I buy shares of TransAlta?

Shares of TAC stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of TransAlta own?

Based on aggregate information from My MarketBeat watchlists, some other companies that TransAlta investors own include Meta Platforms (META), NVIDIA (NVDA), Broadcom (AVGO), General Electric (GE), Arista Networks (ANET), Novo Nordisk A/S (NVO) and Advanced Micro Devices (AMD).

Company Calendar

• Last Earnings: 8/01/2024
• Ex-Dividend for 10/1 Dividend: 8/30/2024
• Dividend Payable: 10/01/2024
• Today: 11/20/2024
• Ex-Dividend for 1/1 Dividend: 11/29/2024
• Fiscal Year End: 12/31/2024
• Dividend Payable: 1/01/2025
• Next Earnings (Estimated): 2/28/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Utilities
• Industry: Electric services
• Sub-Industry: Utilities
• Current Symbol: NYSE:TAC
• CUSIP: N/A
• CIK: 1144800
• Web: www.transalta.com
• Phone: (403) 267-7110
• Fax: 1-403-267-7405
• Employees: 1,257
• Year Founded: N/A

Profitability

• EPS (Most Recent Fiscal Year): $0.37
• Trailing P/E Ratio: 27.78
• Forward P/E Ratio: 18.69
• P/E Growth: N/A
• Net Income: $514.86 million
• Net Margins: 5.72%
• Pretax Margin: 11.96%
• Return on Equity: 17.46%
• Return on Assets: 1.84%

Debt

• Debt-to-Equity Ratio: 2.94
• Current Ratio: 0.74
• Quick Ratio: 0.67

Sales & Book Value

• Annual Sales: $2.49 billion
• Price / Sales: 1.23
• Cash Flow: $2.90 per share
• Price / Cash Flow: 3.54
• Book Value: $1.73 per share
• Price / Book: 5.94

Miscellaneous

• Outstanding Shares: 298,400,000
• Free Float: 259,308,000
• Market Cap: $3.07 billion
• Optionable: Optionable
• Beta: 0.92