TransAlta (NYSE:TAC) Shares Pass Above 200 Day Moving Average – Here’s Why

Shares of TransAlta Corporation (NYSE:TAC) (TSE:TA) crossed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $13.15 and traded as high as $14.02. TransAlta shares last traded at $13.9760, with a volume of 1,392,565 shares trading hands.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the stock. Scotiabank upgraded shares of TransAlta to a “strong-buy” rating in a research note on Wednesday, June 10th. Royal Bank Of Canada reiterated an “outperform” rating and issued a $24.00 target price on shares of TransAlta in a research note on Tuesday, March 24th. TD Securities reiterated a “buy” rating on shares of TransAlta in a report on Thursday, May 7th. Weiss Ratings raised shares of TransAlta from a “sell (d)” rating to a “sell (d+)” rating in a research report on Tuesday, June 16th. Finally, BMO Capital Markets began coverage on shares of TransAlta in a report on Wednesday, June 10th. They issued an “outperform” rating for the company. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $23.00.

TransAlta Price Performance

The firm has a fifty day moving average of $13.56 and a 200 day moving average of $13.15. The company has a market capitalization of $4.42 billion, a P/E ratio of -25.88 and a beta of 0.69. The company has a current ratio of 0.76, a quick ratio of 0.70 and a debt-to-equity ratio of 6.61.

TransAlta (NYSE:TAC) (TSE:TA) last issued its earnings results on Wednesday, May 6th. The utilities provider reported $0.04 earnings per share for the quarter, topping analysts’ consensus estimates of $0.01 by $0.03. The business had revenue of $406.19 million during the quarter, compared to analyst estimates of $436.36 million. TransAlta had a positive return on equity of 9.52% and a negative net margin of 9.46%. On average, equities research analysts anticipate that TransAlta Corporation will post 0.22 EPS for the current year.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the stock. Rubric Capital Management LP lifted its position in TransAlta by 11.5% during the fourth quarter. Rubric Capital Management LP now owns 17,781,325 shares of the utilities provider’s stock valued at $224,756,000 after purchasing an additional 1,832,874 shares during the period. Bank of Montreal Can grew its position in 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 during the period. Vanguard Group Inc. grew its position in TransAlta by 1.6% in the 4th quarter. Vanguard Group Inc. now owns 11,123,833 shares of the utilities provider’s stock worth $140,694,000 after purchasing an additional 174,449 shares during the period. Norges Bank purchased a new stake in TransAlta during the 4th quarter valued at $45,298,000. Finally, Sculptor Capital LP purchased a new stake in TransAlta during the 4th quarter valued at $37,958,000. 59.00% of the stock is owned by hedge funds and other institutional investors.

TransAlta Company Profile

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.