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TransAlta (TransAlta) EV-to-EBITDA

: 4.13 (As of Today)
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EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, TransAlta's enterprise value is $5,371 Mil. TransAlta's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 was $1,302 Mil. Therefore, TransAlta's EV-to-EBITDA for today is 4.13.

The historical rank and industry rank for TransAlta's EV-to-EBITDA or its related term are showing as below:

TAC' s EV-to-EBITDA Range Over the Past 10 Years
Min: 2.86   Med: 7.71   Max: 38.75
Current: 4.23

During the past 13 years, the highest EV-to-EBITDA of TransAlta was 38.75. The lowest was 2.86. And the median was 7.71.

TAC's EV-to-EBITDA is ranked better than
87.54% of 345 companies
in the Utilities - Independent Power Producers industry
Industry Median: 11.5 vs TAC: 4.23

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

As of today (2024-04-18), TransAlta's stock price is $6.22. TransAlta's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 was $1.706. Therefore, TransAlta's PE Ratio for today is 3.65.

The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio.


TransAlta EV-to-EBITDA Historical Data

The historical data trend for TransAlta's EV-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

TransAlta Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EV-to-EBITDA
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.95 11.20 15.10 6.88 4.72

TransAlta Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
EV-to-EBITDA Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 6.88 5.69 5.31 4.24 4.72

Competitive Comparison

For the Utilities - Independent Power Producers subindustry, TransAlta's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


TransAlta EV-to-EBITDA Distribution

For the Utilities - Independent Power Producers industry and Utilities sector, TransAlta's EV-to-EBITDA distribution charts can be found below:

* The bar in red indicates where TransAlta's EV-to-EBITDA falls into.



TransAlta EV-to-EBITDA Calculation

TransAlta's EV-to-EBITDA for today is calculated as:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA (TTM)
=5371.254/1301.685
=4.13

TransAlta's current Enterprise Value is $5,371 Mil.
TransAlta's EBITDA for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,302 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


TransAlta  (NYSE:TAC) EV-to-EBITDA Explanation

EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.

TransAlta's PE Ratio for today is calculated as:

PE Ratio=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=6.22/1.706
=3.65

TransAlta's share price for today is $6.22.
TransAlta's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $1.706.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio.

Please read Which price ratio outperforms the enterprise multiple?


TransAlta EV-to-EBITDA Related Terms

Thank you for viewing the detailed overview of TransAlta's EV-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


TransAlta (TransAlta) Business Description

Address
110 - 12th Avenue SW, Station M, Calgary, AB, CAN, T2P 2M1
TransAlta is an independent power producer based in Alberta, Canada. The company operates a diverse and growing fleet of electrical power generation assets in Canada, the United States, and Australia consisting of hydro, wind, solar, battery storage, gas and energy transition facilities. The majority of the company's revenues are derived from the sale of generation capacity, electricity, thermal energy, environmental attributes, and byproducts of power generation.