WallStSmart

CMS Energy Corporation 5.6% JRSUB NT 78 (CMSA)vsTransAlta Corp (TAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

CMSA leads profitability with a 0.0% profit margin vs -1.0%. TAC earns a higher WallStSmart Score of 43/100 (D).

CMSA

Avoid

20

out of 100

Grade: F

Growth: 3.3Profit: 4.5Value: 6.7Quality: 3.5
Piotroski: 4/9Altman Z: 0.65

TAC

Hold

43

out of 100

Grade: D

Growth: 3.3Profit: 4.5Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: -0.05

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CMSA1 strengths · Avg: 10.0/10
P/E RatioValuation
10.8x10/10

Attractively priced relative to earnings

TAC1 strengths · Avg: 10.0/10
Operating MarginProfitability
33.3%10/10

Strong operational efficiency at 33.3%

Areas to Watch

CMSA4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
0.0%4/10

0.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Profit MarginProfitability
0.0%3/10

0.0% margin — thin

Operating MarginProfitability
0.0%3/10

Operating margin of 0.0%

TAC4 concerns · Avg: 2.3/10
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

EPS GrowthGrowth
-71.6%2/10

Earnings declined 71.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : CMSA

The strongest argument for CMSA centers on P/E Ratio.

Bull Case : TAC

The strongest argument for TAC centers on Operating Margin. Revenue growth of 12.5% demonstrates continued momentum.

Bear Case : CMSA

The primary concerns for CMSA are Revenue Growth, EPS Growth, Profit Margin. Debt-to-equity of 1.97 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

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

TAC is growing revenue faster at 12.5% — sustainability is the question.

TAC generates stronger free cash flow (17M), providing more financial flexibility.

Monitor MULTILINE UTILITIES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

TAC scores higher overall (43/100 vs 20/100) and 12.5% revenue growth. Both earn "Hold" 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.

CMS Energy Corporation 5.6% JRSUB NT 78

UTILITIES · MULTILINE UTILITIES · USA

CMS Energy Corporation is an energy company primarily in Michigan. The company is headquartered in Jackson, Michigan.

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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