The AES Corporation (AES)vsTransAlta Corp (TAC)
AES
The AES Corporation
$14.79
-0.07%
UTILITIES · Cap: $10.58B
TAC
TransAlta Corp
$12.08
-0.82%
UTILITIES · Cap: $3.91B
Smart Verdict
WallStSmart Research — data-driven comparison
The AES Corporation generates 476% more annual revenue ($13.05B vs $2.27B). AES leads profitability with a 14.3% profit margin vs -1.0%. AES appears more attractively valued with a PEG of 1.09. AES earns a higher WallStSmart Score of 73/100 (B).
AES
Strong Buy73
out of 100
Grade: B
TAC
Hold43
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-37.3%
Fair Value
$11.97
Current Price
$14.79
$2.82 premium
Intrinsic value data unavailable for TAC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Every $100 of equity generates 30 in profit
Earnings expanding 951.0% YoY
Reasonable price relative to book value
19.9% revenue growth
Strong operational efficiency at 33.3%
Areas to Watch
Weak financial health signals
Negative free cash flow — burning cash
Distress zone — elevated risk
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
ROE of -12.1% — below average capital efficiency
Earnings declined 71.6%
Comparative Analysis Report
WallStSmart ResearchBull Case : AES
The strongest argument for AES centers on P/E Ratio, Return on Equity, EPS Growth. Revenue growth of 19.9% demonstrates continued momentum. PEG of 1.09 suggests the stock is reasonably priced for its growth.
Bull Case : TAC
The strongest argument for TAC centers on Operating Margin. Revenue growth of 12.5% demonstrates continued momentum.
Bear Case : AES
The primary concerns for AES are Piotroski F-Score, Free Cash Flow, Altman Z-Score. Debt-to-equity of 6.50 is elevated, increasing financial risk.
Bear Case : TAC
The primary concerns for TAC are Piotroski F-Score, PEG Ratio, Return on Equity. Debt-to-equity of 2.38 is elevated, increasing financial risk.
Key Dynamics to Monitor
AES profiles as a growth stock while TAC is a turnaround play — different risk/reward profiles.
AES carries more volatility with a beta of 0.95 — expect wider price swings.
AES is growing revenue faster at 19.9% — sustainability is the question.
TAC generates stronger free cash flow (17M), providing more financial flexibility.
Bottom Line
AES scores higher overall (73/100 vs 43/100) and 19.9% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
The AES Corporation
UTILITIES · UTILITIES - DIVERSIFIED · USA
The AES Corporation is a Fortune 500 company that generates and distributes electrical power. AES is headquartered in Arlington, Virginia.
Visit Website →TransAlta Corp
UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA
TransAlta Corporation owns, operates and develops a diverse fleet of electric power generation assets in Canada, the United States and Australia. The company is headquartered in Calgary, Canada.
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