Transalta Corp Stock Analysis
| TA Stock | CAD 17.41 0.20 1.16% |
TransAlta Corp has over 4.56 Billion in debt which may indicate that it relies heavily on debt financing. With a high degree of financial leverage come high-interest payments, which usually reduce TransAlta Corp's Earnings Per Share (EPS).
Asset vs Debt
Equity vs Debt
TransAlta Corp's liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. TransAlta Corp's cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the Company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps TransAlta Stock's retail investors understand whether an upcoming fall or rise in the market will negatively affect TransAlta Corp's stakeholders.
For most companies, including TransAlta Corp, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for TransAlta Corp, the most critical issue when managing liquidity is ensuring that current assets are properly aligned with current liabilities. If they are not, TransAlta Corp's management will need to obtain alternative financing to ensure there are always enough cash equivalents on the balance sheet to meet obligations.
Given that TransAlta Corp's debt-to-equity ratio measures a Company's obligations relative to the value of its net assets, it is usually used by traders to estimate the extent to which TransAlta Corp is acquiring new debt as a mechanism of leveraging its assets. A high debt-to-equity ratio is generally associated with increased risk, implying that it has been aggressive in financing its growth with debt. Another way to look at debt-to-equity ratios is to compare the overall debt load of TransAlta Corp to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, TransAlta Corp is said to be less leveraged. If creditors hold a majority of TransAlta Corp's assets, the Company is said to be highly leveraged.
TransAlta Corp is overvalued with Real Value of 16.03 and Hype Value of 17.41. The main objective of TransAlta Corp stock analysis is to determine its intrinsic value, which is an estimate of what TransAlta Corp is worth, separate from its market price. There are two main types of TransAlta Corp's stock analysis: fundamental analysis and technical analysis. Fundamental analysis focuses on the financial and economic factors that affect TransAlta Corp's performance, such as revenue growth, earnings, and financial stability. Technical analysis, on the other hand, focuses on the price and volume data of TransAlta Corp's stock to identify patterns and trends that may indicate its future price movements.
The TransAlta Corp stock is traded in Canada on Toronto Exchange, with the market opening at 09:30:00 and closing at 16:00:00 every Mon,Tue,Wed,Thu,Fri except for officially observed holidays in Canada. TransAlta Corp is usually not traded on Civic Holiday, Labour Day, Thanksgiving Day, Christmas Day, Boxing Day, New Year 's Day, Family Day, Good Friday, Victoria Day, Canada Day. TransAlta Stock trading window is adjusted to America/Toronto timezone.
TransAlta |
TransAlta Stock Analysis Notes
About 81.0% of the company shares are owned by institutional investors. The company has Price/Earnings (P/E) ratio of 114.11. TransAlta Corp recorded a loss per share of 0.64. The entity last dividend was issued on the 27th of February 2026. The firm had 1:5 split on the 1st of August 2019. TransAlta Corporation operates as non-regulated electricity generation and energy marketing company in Canada, the United States, and Western Australia. TransAlta Corporation was founded in 1909 and is headquartered in Calgary, Canada. TRANSALTA CORPORATION operates under Utilities - Independent Power Producers classification in Canada and is traded on Toronto Stock Exchange. It employs 1883 people. To find out more about TransAlta Corp contact the company at 403 267 7110 or learn more at https://www.transalta.com.TransAlta Corp Investment Alerts
| TransAlta Corp generated a negative expected return over the last 90 days | |
| TransAlta Corp has high likelihood to experience some financial distress in the next 2 years | |
| TransAlta Corp has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Over 81.0% of the company shares are owned by institutional investors |
TransAlta Market Capitalization
The company currently falls under 'Mid-Cap' category with a current market capitalization of 5.17 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate TransAlta Corp's market, we take the total number of its shares issued and multiply it by TransAlta Corp's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.TransAlta Profitablity
TransAlta Corp's profitability indicators refer to fundamental financial ratios that showcase TransAlta Corp's ability to generate income relative to its revenue or operating costs. If, let's say, TransAlta Corp is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, TransAlta Corp's executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of TransAlta Corp's profitability requires more research than a typical breakdown of TransAlta Corp's financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.
The company has Profit Margin (PM) of (0.06) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of 0.06 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.06. Technical Drivers
As of the 26th of January, TransAlta Corp has the Risk Adjusted Performance of (0.13), variance of 6.26, and Coefficient Of Variation of (546.13). 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 Price Movement Analysis
The output start index for this execution was twenty-three with a total number of output elements of thirty-eight. The Bollinger Bands is very popular indicator that was developed by John Bollinger. It consist of three lines. TransAlta Corp middle band is a simple moving average of its typical price. The upper and lower bands are (N) standard deviations above and below the middle band. The bands widen and narrow when the volatility of the price is higher or lower, respectively. The upper and lower bands can also be interpreted as price targets for TransAlta Corp. When the price bounces off of the lower band and crosses the middle band, then the upper band becomes the price target.
TransAlta Corp Outstanding 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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TransAlta Corp Predictive Daily 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 Forecast Models
TransAlta Corp's time-series forecasting models are one of many TransAlta Corp's stock analysis techniques aimed at predicting future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary TransAlta Corp's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.TransAlta Corp Debt to Cash Allocation
TransAlta Corp has accumulated 4.56 B in total debt with debt to equity ratio (D/E) of 85.2, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. TransAlta Corp has a current ratio of 1.71, which is within standard range for the sector. Debt can assist TransAlta Corp until it has trouble settling it off, either with new capital or with free cash flow. So, TransAlta Corp's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like TransAlta Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for TransAlta to invest in growth at high rates of return. When we think about TransAlta Corp's use of debt, we should always consider it together with cash and equity.TransAlta Corp Assets Financed by Debt
Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the TransAlta Corp's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of TransAlta Corp, which in turn will lower the firm's financial flexibility.TransAlta Corp Corporate Bonds Issued
About TransAlta Stock Analysis
Stock analysis is the technique used by a trader or investor to examine and evaluate how TransAlta Corp prices is reacting to, or reflecting on a current market direction and economic conditions. It can be used to make informed decisions about market timing, and when buying or selling TransAlta shares will generate the highest return on investment. We also built our stock analysis module to help investors to gain an insight into the world economy as a whole, the stock market, thematic ideas. a specific sector, or an individual Stock such as TransAlta Corp. By using and applying TransAlta Stock analysis, traders can create a robust methodology for identifying TransAlta entry and exit points for their positions.
TransAlta Corporation operates as non-regulated electricity generation and energy marketing company in Canada, the United States, and Western Australia. TransAlta Corporation was founded in 1909 and is headquartered in Calgary, Canada. TRANSALTA CORPORATION operates under Utilities - Independent Power Producers classification in Canada and is traded on Toronto Stock Exchange. It employs 1883 people.
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