TA.TO TransAlta (TSX) C$17.86 pre-market before Feb 27 earnings: debt focus
TA.TO stock is trading at C$17.86 pre-market on the TSX as investors position ahead of TransAlta Corporation’s earnings report on 2026-02-27. The stock opened C$17.72, volume is about 1,626,200 shares, and the company carries a high leverage profile versus peers. We focus on short-term catalysts from the earnings call and key balance sheet metrics that could move the price. Meyka AI provides this AI-powered market analysis platform briefing to highlight what to watch in the report and how it ties to valuation and near-term price action.
TA.TO stock earnings preview and key catalysts
TransAlta (TA.TO) reports on 2026-02-27 with analysts watching guidance, merchant generation margins, and trading income. Expect commentary on the Gas and Energy Transition segments and any updates to capital spending. The company posted trailing EPS -0.64 and a TTM PE of -27.91, so management commentary will matter more than current EPS. Watch for any shift in dividend policy or project-level guidance that could change near-term cash flow expectations.
TA.TO stock fundamentals: balance sheet and cash flow
TransAlta has market cap C$5.30 billion and 296,700,000 shares outstanding. Key ratios show pressure: debt to equity 2.88, interest coverage 0.38, and current ratio 0.79. On the positive side, free cash flow per share TTM is 1.50 and operating cash flow per share TTM is 2.68. Those cash flow metrics support the company’s dividend of C$0.255 per share, but high leverage increases sensitivity to commodity and rate moves.
TA.TO stock technicals and trading setup
Technicals point to a neutral setup ahead of earnings. The RSI is 48.36, MACD is flat at 0.09, and ATR is 0.62, indicating modest volatility. Price sits near the 50-day average (C$17.86) and below the 200-day average (C$17.67). Average volume is 1,129,865, and today’s volume 1,626,200 suggests slightly higher attention. Traders should watch support at C$17.05 (Bollinger lower) and resistance near C$19.09 (Bollinger upper).
TA.TO stock valuation and price target considerations
Valuation mixes utility stability with transition risk. Price to sales TTM is 2.13, price to free cash flow is 15.09, and PB is 2.73. Using cash flow multiples and project guidance, a conservative near-term price target is C$14.00, a base target is C$24.00, and a bullish target is C$33.00. Those targets reflect downside to the quarterly forecast and upside if merchant margins and trading recover.
TA.TO stock risks and opportunities
Key risks: high leverage, low interest coverage, exposure to wholesale power prices, and execution on transition projects. Key opportunities: renewable asset growth, higher merchant prices, and cost discipline that lifts EBITDA. Near-term volatility is likely around the earnings release as traders reprice forward cash flows and dividend sustainability.
TA.TO stock Meyka AI grade and forecast model
Meyka AI rates TA.TO with a score out of 100: 69.16 | Grade B | Suggestion: HOLD. This grade factors in S&P 500 benchmark comparison, sector performance, financial growth, key metrics, and analyst consensus. Meyka AI’s forecast model projects monthly C$16.56, quarterly C$13.65, yearly C$24.13, 3-year C$33.19, 5-year C$42.26, and 7-year C$50.79. Compared with the current price C$17.86, the model implies short-term downside of -7.28% (monthly) and upside of +35.12% (yearly). Forecasts are model-based projections and not guarantees. Grades are informative and not financial advice.
Final Thoughts
Earnings on 2026-02-27 make TA.TO stock a near-term event trade. At C$17.86 pre-market, investors must weigh weak interest coverage and high debt against steady free cash flow per share of 1.50. Our valuation band places a conservative target at C$14.00 and a base target at C$24.00; Meyka AI’s yearly forecast of C$24.13 implies +35.12% upside from today’s price. Short-term risk is evident in the quarterly forecast of C$13.65, which implies -23.58% downside. Use the earnings call to confirm guidance on merchant margins and capital allocation. For active traders, watch volume and the C$19.09 resistance level. For income investors, dividend sustainability will depend on cash flow and any change to capex or buyback priorities. This analysis is data-driven and anchored to model projections from Meyka AI; forecasts are projections and not guarantees.
FAQs
When does TransAlta report earnings and why does it matter for TA.TO stock?
TransAlta reports on 2026-02-27. The earnings call will update guidance, merchant margins, and capital spending, which directly affect TA.TO stock valuation and near-term price swings.
What are the main financial risks that could move TA.TO stock after earnings?
High leverage (debt to equity 2.88), low interest coverage 0.38, and sensitivity to wholesale power prices are primary risks that could pressure TA.TO stock post-earnings.
What price targets should investors consider for TA.TO stock?
Consider a conservative target C$14.00, base C$24.00, and bullish C$33.00. Meyka AI’s yearly forecast is C$24.13, implying +35.12% upside from C$17.86.
Disclaimer:
Stock markets involve risks. This content is for informational purposes only. Past performance does not guarantee future results. Meyka AI PTY LTD provides market analysis and data insights, not financial advice. Always conduct your own research and consider consulting a licensed financial advisor.