TSE:TA

Transalta Corp (TA.TO)

19.59
+0.12 (0.62%)
as of Jun 25, 2026, 8:00:00 pm Market Open.
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Investor Insights
star iconJun 25, 2026, 12:00 am

This summary was created by AI, based on 13 opinions in the last 12 months.

Transalta Corp (TA-T) has recently been navigating the complexities of the utility market, reflecting mixed sentiments from experts. Some see opportunities in its strategic acquisitions and growth prospects, particularly in the context of rising power demand due to data centers, especially in Alberta. However, concerns arise regarding its low dividend yield of approximately 1.6%, and its stock price trading below the issue price after recent financing efforts. Experts note the utility's underperformance can be attributed to broader market trends favoring high-growth AI stocks at the expense of traditional utilities. While there are points for optimism, particularly with expected earnings growth and beneficial market conditions, many advise caution and recommend monitoring pending developments before making any investment decisions.

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Consensus
Cautious
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Valuation
Fair Value
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BUY
He believes they have underperformed. Costs are down and leverage is down. He would buy and feels it could grow nicely. He owns on the bond side.
WEAK BUY
This stock has benefited from the sparks spread, which is basically the wholesale price of electricity compared to the wholesale price of natural gas. They have managed to play that pretty well. At the moment they are making money. There are some real issues with maintenance of plants and ability to grow.
DON'T BUY
If you are going to buy it, you had better have a very firm view that the dividend is safe.
HOLD
They have to expand beyond their Alberta base so this is why they signed the multi-year deal with the California outfit. It's not going to pay off initially. Their trouble in the past has been their dividend relative to their income. Finds the valuation a little bit high right now.
BUY
In an improved situation and it's part of the pricing inflation.
SELL
Doesn't like this company. Essentially trading off its dividend. The basic bottom line is it's selling power into the unregulated market. Would be very lucrative if gas prices were cheap.
DON'T BUY
Utilities, pipelines, etc. have done fabulously well and benefited from growth in the Price/Earnings ratio which has grown from a typical 12 to 18. Very little room for expansion in the P/E ratio. You'll have single digit growth and a reasonable dividend yield. Would consider paring back and moving into better areas.
PAST TOP PICK
(A Top Pick Jun 6/05. Up 13.5%.) Also had a nice dividend. Dividend is rock solid. Would still buy the stock at these prices.
DON'T BUY
His model price is $18.36. Has always seemed expensive.
SELL
It's hard to see a high dividend payout strategy, which is what this company is following, with its pure play Genco strategy. Not any real catalyst for upside.
SELL
They don't make enough money to pay their dividend, but haven't cut it yet. A very expensive stock. Given the uncertainty about the dividend and that the yield has come down, he would be a seller.
HOLD
Has been doing great. Everybody expected its dividend to drop any day, but the reality is that it won't be dropped. Great cash flows. Shouldn't do you too much harm. 5% dividend.
TOP PICK
The utility stock that all the analysts hate and yet it continues to go up. Has an attractive yield. Had some business problems last year and the year before, but those are in the past now and things are getting better for them. Sees next year's earnings and the year after starting to accelerate.
HOLD
If you draw a trend line across the lows and another one across the top, this stock is near the top of its trading range. If you're in the stock, the trend is upwards, but if you are thinking of buying wait until it drops down towards the lower part of the trend lind.
DON'T BUY
Quite a diversity of opinion on this stock. The bulls say the dividend is safe at $1 and the bears say it's not. Would not buy because of the diverse views.
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