# TransAlta Corporation (TA-PJ.TO) fundamentals

Data as of 2026-09-08. TSX, Canada. Sector: Utilities / Independent Power and Renewable Electricity Producers. Price C$26.40, market value C$7.6 billion.

## Valuation
- **P/E (trailing): n/a** (negative earnings). TransAlta Corporation reported negative earnings over the last twelve months, so the P/E is not meaningful; use price-to-sales, EV/EBITDA and free-cash-flow yield instead.
- **Price / sales: 3.3×**. Each dollar of revenue is priced at 3.3×.
- **Price / book: 9.9×**. The shares trade at 9.9× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 15.4×**. Enterprise value is 15.4× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 5.9%**. Free cash flow equals 5.9% of the market value. Above 5% is generally attractive.

## Profitability
- **Gross margin: 63.9%**. TransAlta Corporation keeps 63.9% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 8.3%**. 8.3% of revenue is left after running the business.
- **Net margin: -5.7%**. The company reported a net loss over the last twelve months.
- **Return on equity: -9.9%**. Return on equity is negative because earnings are negative.
- **Return on invested capital: 1.7%**. Return on all capital, debt included, is 1.7%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: -0.3%**. Each dollar of assets produces -0.3% of profit.

## Growth
- **Revenue growth (1 yr): -15.5%** (3-yr -6.9%/yr). Revenue fell 15.5% over the last year.

## Financial health
- **Debt to equity: 3.10**. Debt is 3.10 times equity, a leveraged balance sheet, which is normal for utilities.
- **Net debt / EBITDA: 5.4×**. It would take 5.4 years of operating earnings to repay net borrowings, above the 3× level most lenders treat as comfortable.
- **Interest coverage: 0.7×**. Operating profit covers interest only 0.7×: fragile.
- **Current ratio: 0.73** (quick 0.67). Current liabilities exceed current assets, so the company depends on ongoing cash generation or refinancing to pay the next year's bills.
- **Piotroski F-score: 3/9**. 3 of 9 checks pass: weak or deteriorating financials.

## Dividends
- **Dividend yield: 6.41%** (C$0.27 per share, trailing). TransAlta Corporation yields 6.41%, high enough to check carefully: yields this high often precede a cut.
- **Consecutive years of increases: 5**. 5 straight years of increases.
- **Dividend growth (5 yr): 6.3%/yr** (1-yr 24.6%). The dividend has grown 6.3% a year over five years.

## Price and momentum
- **Total return (1 yr): 10.2%** (YTD 4.6%, 3-mo 2.0%). The shares are up 10.2% over twelve months including dividends.
- **From 52-week high: -2.0%** (5.6% above the low). Trading within 5% of its 52-week high.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 42**. An RSI of 42 is neutral.
- **Beta (1 yr): 0.02** (volatility 5%). Beta of 0.02 against the S&P/TSX Composite: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=TA-PJ.TO · Page: https://foliofundamentals.com/stocks/ta-pj.to

Not investment advice.