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TransAlta Corp T.TA

Alternate Symbol(s):  TAC | T.TA.PR.E | TRNTF | T.TA.PR.D | TACPF | T.TA.PR.F | TSLTF | T.TA.PR.H | T.TA.PR.J | T.TA.PR.G

TransAlta Corporation owns, operates and develops a diverse fleet of electrical power generation assets in Canada, the United States and Australia. It provides municipalities, medium and large industries, businesses and utility customers with affordable, energy-efficient and reliable power. It also produces wind power and hydro-electric power. Its segments include Hydro, Wind & Solar, Gas, Energy Transition, Energy Marketing, and Corporate. It has a diversified fleet of hydro, wind, solar, natural gas, and cogeneration generate 7,300 megawatt of electricity. It delivers renewable energy solutions for large scale commercial partners, including tech companies. It operates a fleet of electrical power generation assets, including Antrim Wind Project, Ardenville Wind Facility, Old Town Wind Project, Pinnacle Project, SunHills Solar Project, Fortescue River Gas Pipeline, and others. The Antrim Wind Project is situated on over 1,700 acres of land located in Hillsborough County, New Hampshire.


TSX:TA - Post by User

Bullboard Posts
Comment by billysimzon Feb 10, 2020 7:06pm
148 Views
Post# 30670563

RE:RE:RE:RE:Great BUY

RE:RE:RE:RE:Great BUY Looking at it from a shareholder perspective I see a huge difference. TA has gained 45% in the last 12 months as of today (but had many ups and downs). RNW has gained 54% in the last 12 months as of today (almost no signifcant price decreases).

$100k invested in TA 12 months ago = $145,000 + approx 2.19% yield at that time for $2,190 divy = $147,190 at year end

$100k invested in RNW 12 months ago = $154,000 + approx 8.47% divy yield at that time for $8,147 divy = $162,147


For a $100,000 investment, that's $14,957 more gain for RNW vs TA for the past 12 months. While the Parent company (TA) gets to accrue SOME of these benefits by owning SOME of RNW, the actual shareholders of TA would have done >10% WORSE owning TA vs RNW over the past 12 months. Not to mention TA's share price was more volatile over the past 12 months vs RNW. Since TA does not own all of RNW, TA and its shareholders could be at greater risk as well since they still have a large % of their energy in coal.

If you reinvested all dividend payments from each company back into the same company, RNWs returns for 12 months would be that much better.

In summary, from a shareholder's perspective RNW has performed significantly better over 12 months, with less volatitlity. As a shareholder, the trend towards renewables makes RNW even more appealing in terms of share price potential and staibility. 

The choice to invest in RNW over TA seems like an obvious one based on past performance, current dividend yields, and future appreciation.
Bullboard Posts