TransAlta Downgraded to Hold by CIBC World Markets

On Wednesday, CIBC World Markets downgraded shares of TransAlta Corporation (TSE:TA, NYSE: TAC) from a "strong-buy" rating to a "hold" rating, according to a report from Zacks.com.

This change in rating comes amid a broader reassessment of the company by various analysts. CIBC, for instance, not only lowered its recommendation but also adjusted its target price for TransAlta, raising it from C$17.00 to C$23.00.

Other firms have weighed in on the stock as well. Desjardins increased their price objective from C$15.50 to C$16.00 and maintained a "hold" rating. Meanwhile, on November 6th, the Royal Bank of Canada raised its target price for TransAlta from C$14.00 to C$16.00. BMO Capital Markets also adjusted their price target upwards, moving it from C$17.00 to C$22.00.

TD Securities gave a positive outlook by increasing their price objective from C$16.00 to C$18.00, categorizing the stock as a "buy." Currently, the consensus among analysts has resulted in three hold ratings, four buy ratings, and one strong buy rating for TransAlta, leading to an overall consensus rating of "Moderate Buy" and an average price target of C$18.33.

Recent Price Performance

As of Wednesday, shares of TransAlta opened at C$19.12. The stock's 50-day moving average stands at C$17.45, while the 200-day moving average is at C$13.74. Over the past year, TransAlta has seen a low of C$8.22 and a high of C$20.98. The company boasts a market capitalization of C$5.70 billion, with a P/E ratio of 10.06, a P/E/G ratio of -0.07, and a beta of 0.93. Financial metrics also reveal a current ratio of 0.84, a quick ratio of 0.62, and a noteworthy debt-to-equity ratio of 219.87.

Insider Transactions

Additionally, recent insider trading has been reported. On November 21st, Senior Officer Jane Nyla Fedoretz sold 25,000 shares for an average price of C$15.11, totaling C$377,750.00. Furthermore, Director John Harry Kousinioris sold 45,000 shares on December 5th at an average of C$17.67, resulting in a total value of C$795,150.00. In total, insiders have divested 204,763 shares valued at approximately $3,478,670 over the last three months. It is worth mentioning that insiders currently own 0.21% of the company’s stock.

About TransAlta Corporation

TransAlta Corporation is primarily engaged in the development, production, and sale of electric energy. The company operates through various segments, including Hydro, Wind and Solar, Gas, Energy Transition, and Energy Marketing. Notably, the Hydro segment holds about 922 megawatts (MW) of generating capacity across Alberta, British Columbia, and Ontario.

TransAlta, CIBC, Hold