Editor's Picks

TransAlta Co. (NYSE: TAC) Quarterly Earnings Preview and Strategic Partnership Highlights

  • TransAlta Co. (NYSE: TAC) is set to release its quarterly earnings with an expected EPS of $0.05 and projected revenue of $493.4 million.
  • The company’s partnership with Circle to enhance stablecoin infrastructure security could bolster its position in the digital currency market.
  • Despite financial challenges, TAC has a “Moderate Buy” consensus rating, with a negative P/E ratio of -29.03 and a high debt-to-equity ratio of 2.88.

TransAlta Co. (NYSE: TAC) is preparing to release its quarterly earnings on February 27, 2026. Analysts expect the earnings per share to be $0.05, with projected revenue of approximately $493.4 million. TAC operates in the energy sector, focusing on power generation and energy marketing. It competes with other energy companies in North America, striving to maintain a strong market presence.

TAC’s subsidiary, CyberScope Web3 Security, recently partnered with Circle, the issuer of USDC, to enhance stablecoin infrastructure security. This collaboration aims to improve security measures and compliance standards in the stablecoin sector, ensuring a robust framework for digital currency transactions. This strategic move could potentially strengthen TAC’s position in the digital currency market.

The stock has received a “Moderate Buy” consensus rating from eight brokerages, as highlighted by MarketBeat.com. Among these, six analysts recommend buying the stock, while two suggest holding it. The average twelve-month target price is C$24.13, reflecting positive sentiment among analysts despite the company’s current financial challenges.

TAC’s financial metrics reveal some concerns. The company has a negative price-to-earnings (P/E) ratio of -29.03, indicating ongoing losses. The price-to-sales ratio is 2.08, suggesting investors are willing to pay $2.08 for every dollar of sales. Additionally, the enterprise value to sales ratio is 3.78, reflecting the company’s total valuation relative to its sales.

The company’s debt-to-equity ratio is high at 2.88, indicating a reliance on debt financing. The current ratio is 0.79, suggesting potential liquidity challenges in covering short-term liabilities with current assets. Despite these challenges, analysts have varied opinions on the stock’s future, with some adjusting their price objectives and ratings.

Leave a comment

Your email address will not be published. Required fields are marked *