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TAC (TransAlta) EV-to-FCF : 21.95 (As of Dec. 11, 2024)


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What is TransAlta EV-to-FCF?

EV-to-FCF is calculated as enterprise value divided by its free cash flow. As of today, TransAlta's Enterprise Value is $7,231 Mil. TransAlta's Free Cash Flow for the trailing twelve months (TTM) ended in Sep. 2024 was $329 Mil. Therefore, TransAlta's EV-to-FCF for today is 21.95.

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

TAC' s EV-to-FCF Range Over the Past 10 Years
Min: -1076.81   Med: 17.91   Max: 95.01
Current: 22.98

During the past 13 years, the highest EV-to-FCF of TransAlta was 95.01. The lowest was -1076.81. And the median was 17.91.

TAC's EV-to-FCF is ranked worse than
64.32% of 227 companies
in the Utilities - Independent Power Producers industry
Industry Median: 14.86 vs TAC: 22.98

EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

As of today (2024-12-11), TransAlta's stock price is $13.19. TransAlta's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Sep. 2024 was $0.261. Therefore, TransAlta's PE Ratio (TTM) for today is 50.54.


TransAlta EV-to-FCF Historical Data

The historical data trend for TransAlta's EV-to-FCF 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 EV-to-FCF Chart

TransAlta Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
EV-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.52 37.76 16.44 -110.33 13.74

TransAlta Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
EV-to-FCF Get a 7-Day Free Trial 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 19.08 13.74 13.01 9.65 20.18

Competitive Comparison of TransAlta's EV-to-FCF

For the Utilities - Independent Power Producers subindustry, TransAlta's EV-to-FCF, along with its competitors' market caps and EV-to-FCF 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's EV-to-FCF Distribution in the Utilities - Independent Power Producers Industry

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

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



TransAlta EV-to-FCF Calculation

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

EV-to-FCF=Enterprise Value (Today)/Free Cash Flow (TTM)
=7231.066/329.457
=21.95

TransAlta's current Enterprise Value is $7,231 Mil.
TransAlta's Free Cash Flow for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $329 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-FCF Explanation

EV-to-FCF is a valuation multiple that allows analysts and investors to compare stocks, preferably in the same sector or industry. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.

TransAlta's PE Ratio (TTM) for today is calculated as:

PE Ratio (TTM)=Share Price (Today)/Earnings per Share (Diluted) (TTM)
=13.19/0.261
=50.54

TransAlta's share price for today is $13.19.
TransAlta's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.261.

* 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.

Enterprise Value is used because it is a more complete measure in reflecting how much an investor pays when buying a company. Free Cash Flow is an important financial metric because it represents the actual amount of cash at a company's disposal. Companies with a low EV-to-FCF ratio, combined with a strong balance sheet are generally considered as undervalued.


TransAlta EV-to-FCF Related Terms

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TransAlta Business Description

Address
1100 1st Street SE, TransAlta Place, Suite 1400, Calgary, AB, CAN, T2G 1B1
TransAlta Corp 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. The company has six reportable segments namely, hydro, wind & solar, Energy Marketing, gas, energy transition segment and Corporate Segment. The company generates the majority of its revenue from the gas segment.

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