TransAlta Rating Downgraded by CIBC World Markets

TransAlta Corporation (TSE: TA) has recently had its stock rating changed by CIBC World Markets. On Wednesday, CIBC announced in a research report that they have downgraded TransAlta from a 'strong-buy' rating to a 'hold' rating.

This change follows similar actions by other analysts who have provided insights on the company in recent times. Notably, CIBC shifted TransAlta from an 'outperform' rating to a 'neutral' stance, while also raising their target price for the stock from C$17.00 to C$23.00.

Desjardins also adjusted their view, increasing their price target from C$15.50 to C$16.00 and assigning a 'hold' rating to the company. Additionally, the Royal Bank of Canada raised their target from C$14.00 to C$16.00 on November 6. BMO Capital Markets followed suit, increasing their price target from C$17.00 to C$22.00 on December 16.

On the buy-side, TD Securities raised their price objective from C$16.00 to C$18.00 while giving the stock a 'buy' rating. As a result of these assessments, the current ratings for TransAlta include three 'hold' ratings, four 'buy' ratings, and one 'strong buy' rating, leading to an overall consensus rating of 'Moderate Buy' along with an average price target of C$18.33 according to MarketBeat.

TransAlta's Market Performance

The stock of TransAlta opened at C$19.12 on the day of the report. The company has a 50-day moving average stock price of C$17.45 and a 200-day moving average of C$13.74. Over the last year, TransAlta's stock price has fluctuated, reaching a low of C$8.22 and a high of C$20.98. Its market capitalization is approximately C$5.70 billion, with a price-to-earnings (P/E) ratio of 10.06 and a P/E growth (P/E/G) ratio of -0.07. The company has a beta of 0.93, suggesting low volatility compared to the market.

Insider Activity

In terms of insider trading, there have been several significant sales. Senior Officer Jane Nyla Fedoretz sold 25,000 shares at an average price of C$15.11, totaling C$377,750. Additionally, Director John Harry Kousinioris sold 45,000 shares at an average price of C$17.67, making a total sale of C$795,150. Over the past three months, insiders have collectively sold 204,763 shares worth approximately C$3,478,670. Currently, insiders hold about 0.21% of TransAlta's stock.

Overview of TransAlta Corporation

TransAlta Corporation is involved in the development, production, and sale of electric energy. The company operates several segments, including Hydro, Wind and Solar, Gas, Energy Transition, and Energy Marketing. Specifically, the Hydro segment maintains around 922 megawatts (MW) of owned hydroelectric generating capacity distributed across Alberta, British Columbia, and Ontario.

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