TransAlta Analysis
TransAlta holds a debt-to-equity ratio of 1.19. TransAlta's financial risk is the risk to TransAlta stockholders that is caused by an increase in debt.
Asset vs Debt
Equity vs Debt
TransAlta'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'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 Pink Sheet's retail investors understand whether an upcoming fall or rise in the market will negatively affect TransAlta's stakeholders.
For most companies, including TransAlta, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for TransAlta, the most critical issue when managing liquidity is ensuring that current assets are properly aligned with current liabilities. If they are not, TransAlta'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'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 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 to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, TransAlta is said to be less leveraged. If creditors hold a majority of TransAlta's assets, the Company is said to be highly leveraged.
TransAlta is undervalued with Real Value of 0.0 and Hype Value of 0.0. The main objective of TransAlta pink sheet analysis is to determine its intrinsic value, which is an estimate of what TransAlta is worth, separate from its market price. There are two main types of TransAlta's stock analysis: fundamental analysis and technical analysis.
The TransAlta pink sheet is traded in the USA on PINK 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 the USA. Here, you can get updates on important government artifacts, including earning estimates, SEC corporate filings, announcements, and TransAlta's ongoing operational relationships across important fundamental and technical indicators.
TransAlta |
TransAlta Pink Sheet Analysis Notes
About 43.0% of the company shares are owned by institutional investors. The company recorded a loss per share of 1.03. TransAlta last dividend was issued on the 28th of February 2023. TransAlta Corporation owns, operates, and develops a diverse fleet of electrical power generation assets in Canada, the United States, and Australia. TransAlta Corporation was founded in 1909 and is headquartered in Calgary, Canada. Transalta Corp operates under UtilitiesIndependent Power Producers classification in the United States and is traded on OTC Exchange. It employs 1476 people.The quote for TransAlta is published daily by the National Quotation Bureau and the company does not need to meet minimum requirements or file with the SEC. To find out more about TransAlta contact the company at 403 267 7110 or learn more at https://www.transalta.com.TransAlta Investment Alerts
| TransAlta is not yet fully synchronised with the market data | |
| TransAlta has some characteristics of a very speculative penny stock | |
| TransAlta has a very high chance of going through financial distress in the upcoming years | |
| The company reported the revenue of 2.72 B. Net Loss for the year was (537 M) with profit before overhead, payroll, taxes, and interest of 970 M. |
TransAlta Market Capitalization
The company currently falls under 'Mid-Cap' category with a current market capitalization of 2.54 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate TransAlta's market, we take the total number of its shares issued and multiply it by TransAlta'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
The company has Profit Margin (PM) of 0.05 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.22 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.22.TransAlta Debt to Cash Allocation
Many companies such as TransAlta, eventually find out that there is only so much market out there to be conquered, and adding the next product or service is only half as profitable per unit as their current endeavors. Eventually, the company will reach a point where cash flows are strong, and extra cash is available but not fully utilized. In this case, the company may start buying back its stock from the public or issue more dividends.
TransAlta has accumulated 2.33 B in total debt with debt to equity ratio (D/E) of 1.19, which is about average as compared to similar companies. TransAlta has a current ratio of 1.99, which is within standard range for the sector. Debt can assist TransAlta until it has trouble settling it off, either with new capital or with free cash flow. So, TransAlta'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 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's use of debt, we should always consider it together with cash and equity.TransAlta 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's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of TransAlta, which in turn will lower the firm's financial flexibility.Be your own money manager
As an investor, your ultimate goal is to build wealth. Optimizing your investment portfolio is an essential element in this goal. Using our pink sheet analysis tools, you can find out how much better you can do when adding TransAlta to your portfolios without increasing risk or reducing expected return.Did you try this?
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Other Consideration for investing in TransAlta Pink Sheet
If you are still planning to invest in TransAlta check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the TransAlta's history and understand the potential risks before investing.
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