American States Water Company (AWR)vsTransAlta Corp (TAC)
AWR
American States Water Company
$86.48
-1.13%
UTILITIES · Cap: $3.50B
TAC
TransAlta Corp
$12.08
-0.82%
UTILITIES · Cap: $3.91B
Smart Verdict
WallStSmart Research — data-driven comparison
TransAlta Corp generates 225% more annual revenue ($2.27B vs $697.48M). AWR leads profitability with a 20.5% profit margin vs -1.0%. AWR appears more attractively valued with a PEG of 2.98. AWR earns a higher WallStSmart Score of 66/100 (B-).
AWR
Strong Buy66
out of 100
Grade: B-
TAC
Hold43
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-9.1%
Fair Value
$65.05
Current Price
$86.48
$21.43 premium
Intrinsic value data unavailable for TAC.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 35.8%
Keeps 21 of every $100 in revenue as profit
Earnings expanding 25.8% YoY
Strong operational efficiency at 33.3%
Areas to Watch
Expensive relative to growth rate
Negative free cash flow — burning cash
Distress zone — elevated risk
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 : AWR
The strongest argument for AWR centers on Operating Margin, Profit Margin, EPS Growth. Profitability is solid with margins at 20.5% and operating margin at 35.8%. Revenue growth of 11.2% demonstrates continued momentum.
Bull Case : TAC
The strongest argument for TAC centers on Operating Margin. Revenue growth of 12.5% demonstrates continued momentum.
Bear Case : AWR
The primary concerns for AWR are PEG Ratio, Free Cash Flow, Altman Z-Score.
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
AWR profiles as a mature stock while TAC is a turnaround play — different risk/reward profiles.
AWR carries more volatility with a beta of 0.56 — expect wider price swings.
TAC is growing revenue faster at 12.5% — sustainability is the question.
TAC generates stronger free cash flow (17M), providing more financial flexibility.
Bottom Line
AWR scores higher overall (66/100 vs 43/100), backed by strong 20.5% margins and 11.2% 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.
American States Water Company
UTILITIES · UTILITIES - REGULATED WATER · USA
American States Water Company provides water and electricity services to residential, commercial, industrial and other customers in the United States. The company is headquartered in San Dimas, California.
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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