TransAlta Corporation (NYSE:TAC) Stock Has Average Target Price of $24.50 According to Brokerages

TransAlta Corporation (NYSE:TAC) (TSE:TA) has been assigned a consensus recommendation of “Moderate Buy” from the nine analysts that are presently covering the company, MarketBeat Ratings reports. Two research analysts have rated the stock with a hold rating, six have issued a buy rating and one has given a strong buy rating to the company. The average 1-year target price among analysts that have covered the stock in the last year is $24.50.

A number of research firms recently weighed in on TAC. Weiss Ratings raised shares of TransAlta from a “sell (d+)” rating to a “hold (c-)” rating in a report on Thursday, October 8th. Zacks Research raised shares of TransAlta from a “strong sell” rating to a “hold” rating in a research note on Monday, August 17th. Canadian Imperial Bank of Commerce reiterated an “outperform” rating on shares of TransAlta in a report on Friday, July 17th. Finally, BMO Capital Markets reissued an “outperform” rating on shares of TransAlta in a research report on Monday, August 3rd.

TransAlta Stock Up 0.2%

Shares of NYSE:TAC opened at $12.69 on Tuesday. The company has a market capitalization of $4.01 billion, a price-to-earnings ratio of -70.47 and a beta of 0.75. The company has a 50 day moving average of $12.31 and a two-hundred day moving average of $12.95. TransAlta has a 52-week low of $11.38 and a 52-week high of $17.88. The company has a quick ratio of 0.77, a current ratio of 0.84 and a debt-to-equity ratio of 3.64.

TransAlta (NYSE:TAC) (TSE:TA) last posted its earnings results on Friday, July 31st. The utilities provider reported $0.13 EPS for the quarter, topping analysts’ consensus estimates of $0.11 by $0.02. TransAlta had a negative net margin of 2.76% and a positive return on equity of 8.85%. The business had revenue of $342.85 million for the quarter, compared to analysts’ expectations of $379.54 million. As a group, analysts forecast that TransAlta will post 0.21 earnings per share for the current fiscal year.

TransAlta Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, October 1st. Stockholders of record on Tuesday, September 1st were given a dividend of C$0.07 per share. This represents a $0.28 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date of this dividend was Tuesday, September 1st. TransAlta’s payout ratio is presently -111.11%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of TAC. Persistent Asset Partners Ltd acquired a new stake in TransAlta during the 2nd quarter valued at approximately $29,000. EverSource Wealth Advisors LLC raised its position in shares of TransAlta by 54.7% in the 1st quarter. EverSource Wealth Advisors LLC now owns 4,642 shares of the utilities provider’s stock valued at $61,000 after purchasing an additional 1,642 shares in the last quarter. Caitong International Asset Management Co. Ltd acquired a new position in shares of TransAlta in the 4th quarter valued at approximately $87,000. Sage Rhino Capital LLC raised its position in shares of TransAlta by 8.7% in the 1st quarter. Sage Rhino Capital LLC now owns 11,078 shares of the utilities provider’s stock valued at $145,000 after purchasing an additional 882 shares in the last quarter. Finally, Envestnet Asset Management Inc. purchased a new position in shares of TransAlta during the 2nd quarter valued at approximately $159,000. Hedge funds and other institutional investors own 59.00% of the company’s stock.

About TransAlta

TransAlta Corporation is a Canada-based power generation and wholesale marketing company headquartered in Calgary, Alberta. The company develops, owns, and operates electricity-generating facilities and supplies power to utilities, commercial customers, industrial users, and wholesale markets.

TransAlta’s generating portfolio includes hydroelectric, wind, solar, natural gas, and energy storage assets. The company has also historically operated coal-fired power plants, although it has been transitioning away from coal and expanding its renewable and lower-emission generation capabilities.