TransAlta (NYSE:TAC) Raised to Strong-Buy at Scotiabank

TransAlta (NYSE:TAC) (TSE:TA) was upgraded by equities research analysts at Scotiabank to a “strong-buy” rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

Several other equities research analysts also recently commented on TAC. National Bank Financial raised shares of TransAlta from a “sector perform” rating to an “outperform” rating in a report on Tuesday, March 24th. BMO Capital Markets assumed coverage on shares of TransAlta in a research note on Wednesday. They issued an “outperform” rating for the company. TD Cowen began coverage on shares of TransAlta in a research report on Wednesday. They issued a “buy” rating on the stock. Royal Bank Of Canada restated an “outperform” rating and set a $24.00 price target on shares of TransAlta in a research note on Tuesday, March 24th. Finally, TD Securities reaffirmed a “buy” rating on shares of TransAlta in a report on Thursday, May 7th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, TransAlta currently has a consensus rating of “Moderate Buy” and an average price target of $22.25.

TransAlta Stock Performance

NYSE:TAC opened at $12.41 on Wednesday. The company has a market capitalization of $3.69 billion, a P/E ratio of -22.97 and a beta of 0.69. The business has a fifty day simple moving average of $13.13 and a two-hundred day simple moving average of $13.11. The company has a debt-to-equity ratio of 6.61, a current ratio of 0.76 and a quick ratio of 0.70. TransAlta has a 1 year low of $10.28 and a 1 year high of $17.88.

TransAlta (NYSE:TAC) (TSE:TA) last posted its quarterly earnings results on Wednesday, May 6th. The utilities provider reported $0.04 earnings per share for the quarter, topping the consensus estimate of $0.01 by $0.03. TransAlta had a positive return on equity of 9.52% and a negative net margin of 9.46%.The company had revenue of $406.19 million during the quarter, compared to the consensus estimate of $436.36 million. On average, analysts expect that TransAlta will post 0.26 earnings per share for the current year.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Rubric Capital Management LP boosted its position in shares of TransAlta by 32.9% during the 2nd quarter. Rubric Capital Management LP now owns 15,948,451 shares of the utilities provider’s stock valued at $172,084,000 after acquiring an additional 3,948,451 shares during the last quarter. Norges Bank bought a new stake in TransAlta during the fourth quarter worth about $45,298,000. Sculptor Capital LP purchased a new position in shares of TransAlta in the 4th quarter worth about $37,958,000. Bank of Montreal Can boosted its holdings in shares of TransAlta by 27.5% in the 4th quarter. Bank of Montreal Can now owns 13,295,335 shares of the utilities provider’s stock worth $168,163,000 after purchasing an additional 2,870,026 shares in the last quarter. Finally, Aventail Capital Group LP bought a new position in shares of TransAlta during the 3rd quarter valued at about $38,633,000. 59.00% of the stock is currently owned by hedge funds and other institutional investors.

About TransAlta

TransAlta Corporation, originally founded in 1909 as Calgary Power Company Ltd., is a publicly traded energy company specializing in the development, ownership and operation of power generation and transmission assets. Headquartered in Calgary, Alberta, TransAlta has grown from its early hydroelectric roots into a diversified energy provider with a multi-fuel generating fleet.

The company’s core business activities encompass power generation, asset management and energy trading services.