Intrinsiqq
⚠ Showing the latest available close (Oct 21, 2026, 2 days ago). Our price provider hasn't published a newer EOD for this ticker yet. Price-dependent metrics (P/E, P/FCF, yield) may not reflect current market conditions.
TransAlta Corporation logoTransAlta CorporationTAC
$13.34+2.85%
TransAlta Corporation logo

TransAlta Corporation

TAC

$13.34

+$0.37 (+2.85%)

⊜ Compare
ProfitabilityThin marginsGrowthDecliningCash FlowStrong conversionValuationN/A
What stands out

Operating margin is thin at 2.91%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.

What's changing

Revenue declined 15.5% YoY. Margins deteriorated 17.5pp alongside, both lines moving the wrong way.

What deserves caution

Free cash flow declined 19% versus the prior year, cash generation momentum has weakened. ROIC dropped from 7.33% to 0.91%, capital efficiency is deteriorating.

Price History

-20.2%

Valuation & Multiples

Based on TTM earnings · Diluted shares

Market CapC$5.65B
EPS-C$0.17
P/E-76.37
P/FCF12.73
EV/EBITDA14.36
FCF Yield7.9%
Div. Yield0.77%
Net Debt/FCF9.3x
52-Week Range
$11.78$17.73

Profitability & Returns

Revenue (TTM)

C$2.27B

▼ -15.5% YoY

Net Income (TTM)

-C$25M

▼ -166.1% YoY

Op. Margin

8.34%

▼ -17.5pp YoY

ROIC

0.91%

▼ -6.4pp YoY

Cash Flow & Balance Sheet

FCF (TTM)

C$444M

▼ -19.2% YoY

Op. Cash Flow (TTM)

C$667M

▼ -1.4% YoY

Net Debt

C$4.14B

Cash & Equiv.

C$205M

3Y CAGR: -6.9%

Continue Research

Is TransAlta (TAC) overvalued?

TransAlta (TAC) trades above a two-stage DCF intrinsic value of about C$11.78 per share, so at C$13.34 the stock looks overvalued (11.7% above estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.

On quality, TransAlta scores 24/100 on Intrinsiqq's quality scorecard (a lower-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 0.8%; see dividend safety for coverage and history. All figures are computed from company filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.

Frequently asked

What is TransAlta's fair value?+

Intrinsiqq's two-stage DCF estimates an intrinsic value of about C$11.78 per share for TAC, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around C$8.83. At today's C$13.34, that puts the stock about 11.7% above estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.

Is TransAlta a high-quality business?+

TransAlta scores 24 out of 100 on Intrinsiqq's quality score, a weighted blend of 7 metrics each scored 0 to 100, which makes it a lower-quality business on these measures. Recent fundamentals include a 8.3% operating margin and a 0.9% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from company filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.

Does TransAlta (TAC) pay a dividend, and how much?+

Yes, TransAlta pays a regular dividend of about C$0.14 per share per year (typically in quarterly installments), a yield of roughly 0.8% at the current price. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For TAC's full payout history, growth streak and dividend-safety score, see the dividends tab.

Is TransAlta a good stock to buy right now?+

That depends on valuation and quality together, not either alone. TAC currently trades above its estimated intrinsic value and scores 24/100 on quality (lower-quality). It also yields about 0.8%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from company filings, not investment advice.

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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.

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Intrinsiqq is a Netherlands-based company operating in Rotterdam, KvK 73238007.