TransAlta (TAC) Stock Declines While Market Improves: Some Information for Investors
TransAlta (TAC) closed the latest trading day at $7.31, indicating a -1.75% change from the previous session's end. The stock trailed the S&P 500, which registered a daily gain of 0.08%. At the same time, the Dow lost 0.26%, and the tech-heavy Nasdaq gained 0.36%.
The the stock of power generation and marketing company has fallen by 11.01% in the past month, lagging the Utilities sector's loss of 6.64% and the S&P 500's gain of 2.4%.
The upcoming earnings release of TransAlta will be of great interest to investors. The company's earnings report is expected on February 23, 2024. On that day, TransAlta is projected to report earnings of $0.28 per share, which would represent year-over-year growth of 162.22%.
It's also important for investors to be aware of any recent modifications to analyst estimates for TransAlta. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. TransAlta is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note TransAlta's current valuation metrics, including its Forward P/E ratio of 16.06. This expresses a premium compared to the average Forward P/E of 14.43 of its industry.
The Utility - Electric Power industry is part of the Utilities sector. At present, this industry carries a Zacks Industry Rank of 106, placing it within the top 43% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow TAC in the coming trading sessions, be sure to utilize Zacks.com.
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TransAlta Corporation (TAC) : Free Stock Analysis Report
