Is TransAlta Corp Stock a Good Investment?
TransAlta Corp Investment Advice | TAC |
- Examine TransAlta Corp's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research TransAlta Corp's leadership team and their track record. Good management can help TransAlta Corp navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Independent Power and Renewable Electricity Producers space and any emerging trends that could impact TransAlta Corp's business and its evolving consumer preferences.
- Compare TransAlta Corp's performance and market position to its competitors. Analyze how TransAlta Corp is positioned in terms of product offerings, innovation, and market share.
- Check if TransAlta Corp pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about TransAlta Corp's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in TransAlta Corp stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if TransAlta Corp is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Solid | Details | |
Volatility | Not too volatile | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine TransAlta Corp Stock
Researching TransAlta Corp's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 71.0% of the company shares are owned by institutional investors. The company has Price/Earnings (P/E) ratio of 126.14. TransAlta Corp last dividend was issued on the 29th of November 2024. The entity had 1:8 split on the June 5, 2014.
To determine if TransAlta Corp is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding TransAlta Corp's research are outlined below:
| TransAlta Corp has a strong financial position based on the latest SEC filings | |
| About 71.0% of the company shares are owned by institutional investors | |
| Latest headline from thelincolnianonline.com: TransAlta Co. Plans Quarterly Dividend of 0.04 |
TransAlta Corp Quarterly Liabilities And Stockholders Equity |
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TransAlta Corp uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in TransAlta Corp. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to TransAlta Corp's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 23rd of February 2024 Upcoming Quarterly Report | View | |
| 3rd of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 23rd of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact TransAlta Corp's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises TransAlta Corp's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2020-03-04 | 2019-12-31 | -0.07 | -0.08 | -0.01 | 14 | ||
2017-08-09 | 2017-06-30 | -0.08 | -0.07 | 0.01 | 12 | ||
2016-11-04 | 2016-09-30 | -0.03 | -0.04 | -0.01 | 33 | ||
2016-05-03 | 2016-03-31 | 0.04 | 0.05 | 0.01 | 25 | ||
2000-10-25 | 2000-09-30 | 0.2 | 0.22 | 0.02 | 10 | ||
2019-11-07 | 2019-09-30 | -0.09 | -0.06 | 0.03 | 33 | ||
2017-03-03 | 2016-12-31 | 0.15 | 0.18 | 0.03 | 20 | ||
2012-04-26 | 2012-03-31 | 0.23 | 0.2 | -0.03 | 13 |
Know TransAlta Corp's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as TransAlta Corp is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading TransAlta Corp backward and forwards among themselves. TransAlta Corp's institutional investor refers to the entity that pools money to purchase TransAlta Corp's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Cibc World Markets Inc. | 2024-06-30 | 3 M | Federation Des Caisses Desjardins Du Quebec | 2024-06-30 | 2.8 M | Yaupon Capital Management Lp | 2024-09-30 | 2.7 M | Bank Of Nova Scotia | 2024-09-30 | 2.7 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 2.2 M | Cibc Global Asset Management Inc | 2024-09-30 | 2 M | The Toronto-dominion Bank | 2024-06-30 | 1.7 M | Renaissance Technologies Corp | 2024-09-30 | 1.7 M | Intact Investment Management, Inc. | 2024-09-30 | 1.6 M | Royal Bank Of Canada | 2024-06-30 | 47.9 M | Brookfield Corp | 2024-09-30 | 35.5 M |
TransAlta Corp's market capitalization trends
The company currently falls under 'Mid-Cap' category with a total capitalization of 3.36 B.Market Cap |
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TransAlta Corp's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.09 | 0.09 | |
| Return On Capital Employed | 0.16 | 0.17 | |
| Return On Assets | 0.08 | 0.08 | |
| Return On Equity | 0.45 | 0.47 |
Determining TransAlta Corp's profitability involves analyzing its financial statements and using various financial metrics to determine if TransAlta Corp is a good buy. For example, gross profit margin measures TransAlta Corp's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of TransAlta Corp's profitability and make more informed investment decisions.
Please note, the presentation of TransAlta Corp's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, TransAlta Corp's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of TransAlta Corp's management manipulating its earnings.
Evaluate TransAlta Corp's management efficiency
TransAlta Corp has Return on Asset of 0.042 % which means that on every $100 spent on assets, it made $0.042 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0995 %, implying that it generated $0.0995 on every 100 dollars invested. TransAlta Corp's management efficiency ratios could be used to measure how well TransAlta Corp manages its routine affairs as well as how well it operates its assets and liabilities. The current year's Return On Tangible Assets is expected to grow to 0.09. The current year's Return On Capital Employed is expected to grow to 0.17. At present, TransAlta Corp's Non Current Assets Total are projected to decrease significantly based on the last few years of reporting. The current year's Intangible Assets is expected to grow to about 308 M, whereas Non Currrent Assets Other are forecasted to decline to about 314.7 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 6.03 | 5.73 | |
| Tangible Book Value Per Share | 3.54 | 3.36 | |
| Enterprise Value Over EBITDA | 4.03 | 3.83 | |
| Price Book Value Ratio | 1.98 | 1.71 | |
| Enterprise Value Multiple | 4.03 | 3.83 | |
| Price Fair Value | 1.98 | 1.71 |
Evaluating the management effectiveness of TransAlta Corp allows investors to assess its financial health and operational efficiency. Coupled with an analysis of its growth prospects and the current market dynamics, we evaluate the stock's true value and future potential. Key indicators such as revenue, earnings or debt levels are examined alongside external factors like economic trends and regulatory changes. The TransAlta Stock analysis seeks to determine whether the stock is undervalued, appropriately priced, or overvalued, thereby guiding your investment decisions.
Dividend Yield 0.0157 | Forward Dividend Yield 0.0157 | Forward Dividend Rate 0.17 | Beta 0.917 |
Basic technical analysis of TransAlta Stock
As of the 30th of November, TransAlta Corp has the Semi Deviation of 1.28, risk adjusted performance of 0.1553, and Coefficient Of Variation of 513.19. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of TransAlta Corp, as well as the relationship between them.TransAlta Corp's Outstanding Corporate Bonds
TransAlta Corp issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. TransAlta Corp uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most TransAlta bonds can be classified according to their maturity, which is the date when TransAlta Corp has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand TransAlta Corp's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing TransAlta Corp's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1553 | |||
| Market Risk Adjusted Performance | (3.55) | |||
| Mean Deviation | 1.46 | |||
| Semi Deviation | 1.28 | |||
| Downside Deviation | 1.67 | |||
| Coefficient Of Variation | 513.19 | |||
| Standard Deviation | 2.07 | |||
| Variance | 4.29 | |||
| Information Ratio | 0.1284 | |||
| Jensen Alpha | 0.4078 | |||
| Total Risk Alpha | 0.0479 | |||
| Sortino Ratio | 0.1594 | |||
| Treynor Ratio | (3.56) | |||
| Maximum Drawdown | 13.41 | |||
| Value At Risk | (2.07) | |||
| Potential Upside | 4.08 | |||
| Downside Variance | 2.79 | |||
| Semi Variance | 1.63 | |||
| Expected Short fall | (1.83) | |||
| Skewness | 0.8383 | |||
| Kurtosis | 3.0 |
| Risk Adjusted Performance | 0.1553 | |||
| Market Risk Adjusted Performance | (3.55) | |||
| Mean Deviation | 1.46 | |||
| Semi Deviation | 1.28 | |||
| Downside Deviation | 1.67 | |||
| Coefficient Of Variation | 513.19 | |||
| Standard Deviation | 2.07 | |||
| Variance | 4.29 | |||
| Information Ratio | 0.1284 | |||
| Jensen Alpha | 0.4078 | |||
| Total Risk Alpha | 0.0479 | |||
| Sortino Ratio | 0.1594 | |||
| Treynor Ratio | (3.56) | |||
| Maximum Drawdown | 13.41 | |||
| Value At Risk | (2.07) | |||
| Potential Upside | 4.08 | |||
| Downside Variance | 2.79 | |||
| Semi Variance | 1.63 | |||
| Expected Short fall | (1.83) | |||
| Skewness | 0.8383 | |||
| Kurtosis | 3.0 |
Consider TransAlta Corp's intraday indicators
TransAlta Corp intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of TransAlta Corp stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
TransAlta Corp Corporate Filings
6K | 14th of November 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
TransAlta Stock media impact
Far too much social signal, news, headlines, and media speculation about TransAlta Corp that are available to investors today. That information is available publicly through TransAlta media outlets and privately through word of mouth or via TransAlta internal channels. However, regardless of the origin, that massive amount of TransAlta data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of TransAlta Corp news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of TransAlta Corp relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to TransAlta Corp's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive TransAlta Corp alpha.
TransAlta Corp Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards TransAlta Corp can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
TransAlta Corp Corporate Directors
| Alan Fohrer | Independent Director | Profile | |
| Sandra Sharman | Independent Director | Profile | |
| Yakout Mansour | Independent Director | Profile | |
| Bryan Pinney | Independent Director | Profile |
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Is Independent Power and Renewable Electricity Producers space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of TransAlta Corp. If investors know TransAlta will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about TransAlta Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.21) | Dividend Share 0.235 | Earnings Share 0.27 | Revenue Per Share 9.166 | Quarterly Revenue Growth (0.37) |
The market value of TransAlta Corp is measured differently than its book value, which is the value of TransAlta that is recorded on the company's balance sheet. Investors also form their own opinion of TransAlta Corp's value that differs from its market value or its book value, called intrinsic value, which is TransAlta Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because TransAlta Corp's market value can be influenced by many factors that don't directly affect TransAlta Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between TransAlta Corp's value and its price, as these two are different measures arrived at by various means. Investors typically determine if TransAlta Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, TransAlta Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.