TransAlta Renews Share Buyback Program to Enhance Shareholder Value

TransAlta ( (TSE:TA) ) just unveiled an announcement.

On May 27, 2025, TransAlta Corporation announced the renewal of its normal course issuer bid (NCIB) as approved by the Toronto Stock Exchange. This initiative allows the company to repurchase up to 14 million common shares, approximately 4.7% of its outstanding shares, over the next year. The NCIB is part of TransAlta’s strategy to enhance long-term shareholder value by purchasing shares when market prices do not reflect their underlying value. The company has previously repurchased nearly 8 million shares under a similar program, indicating a continued commitment to capital allocation alternatives that benefit shareholders.

The most recent analyst rating on (TSE:TA) stock is a Buy with a C$17.00 price target. To see the full list of analyst forecasts on TransAlta stock, see the TSE:TA Stock Forecast page.

Spark’s Take on TSE:TA Stock

According to Spark, TipRanks’ AI Analyst, TSE:TA is a Neutral.

TransAlta’s overall stock score of 64 reflects a balance between strong operational performance and strategic initiatives, offset by financial challenges such as declining revenues and high leverage. While the earnings call provided positive sentiment, technical indicators suggest a cautious approach. The valuation remains a concern with a very high negative P/E ratio, but the dividend yield offers some support.

To see Spark’s full report on TSE:TA stock, click here.

More about TransAlta

TransAlta Corporation is a leading provider of electrical power generation assets with operations in Canada, the United States, and Australia. The company focuses on delivering clean, affordable, and reliable power to municipalities, industries, businesses, and utility customers. TransAlta is recognized as one of Canada’s largest producers of wind power and Alberta’s largest producer of hydro-electric power, aligning its corporate goals with sustainable development and climate change management.

Average Trading Volume: 1,751,132

Technical Sentiment Signal: Buy

Current Market Cap: C$3.87B

For an in-depth examination of TA stock, go to TipRanks’ Stock Analysis page.