WallStSmart

Algonquin Power & Utilities Corp (AQN)vsTransAlta Corp (TAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Algonquin Power & Utilities Corp generates 15% more annual revenue ($2.53B vs $2.21B). AQN leads profitability with a 6.7% profit margin vs -7.7%. AQN earns a higher WallStSmart Score of 52/100 (C-).

AQN

Buy

52

out of 100

Grade: C-

Growth: 3.3Profit: 5.0Value: 7.0Quality: 4.0
Piotroski: 5/9Altman Z: 0.34

TAC

Avoid

33

out of 100

Grade: F

Growth: 2.0Profit: 4.0Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: -0.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AQNUndervalued (+70.3%)

Margin of Safety

+70.3%

Fair Value

$22.27

Current Price

$6.01

$16.26 discount

UndervaluedFair: $22.27Overvalued

Intrinsic value data unavailable for TAC.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AQN2 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
22.6%8/10

Strong operational efficiency at 22.6%

TAC0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

AQN4 concerns · Avg: 2.8/10
Return on EquityProfitability
3.6%3/10

ROE of 3.6% — below average capital efficiency

Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Debt/EquityHealth
1.443/10

Elevated debt levels

EPS GrowthGrowth
-10.7%2/10

Earnings declined 10.7%

TAC4 concerns · Avg: 2.8/10
Price/BookValuation
11.3x4/10

Trading at 11.3x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
6.982/10

Expensive relative to growth rate

Return on EquityProfitability
-12.1%2/10

ROE of -12.1% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : AQN

The strongest argument for AQN centers on Price/Book, Operating Margin. Revenue growth of 14.4% demonstrates continued momentum.

Bull Case : TAC

TAC has a balanced fundamental profile.

Bear Case : AQN

The primary concerns for AQN are Return on Equity, Profit Margin, Debt/Equity.

Bear Case : TAC

The primary concerns for TAC are Price/Book, Piotroski F-Score, PEG Ratio. Debt-to-equity of 3.17 is elevated, increasing financial risk.

Key Dynamics to Monitor

AQN profiles as a value stock while TAC is a turnaround play — different risk/reward profiles.

AQN carries more volatility with a beta of 0.90 — expect wider price swings.

AQN is growing revenue faster at 14.4% — sustainability is the question.

TAC generates stronger free cash flow (93M), providing more financial flexibility.

Bottom Line

AQN scores higher overall (52/100 vs 33/100) and 14.4% revenue growth. Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Algonquin Power & Utilities Corp

UTILITIES · UTILITIES - DIVERSIFIED · USA

Algonquin Power & Utilities Corp. The company is headquartered in Oakville, Canada.

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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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