TC Energy (TRP) AI Stock Analysis

• Market Cap: $74.86B
• Dividend Yield: 4.84%
• Average Volume (3M): 3.40M
• Price to Earnings (P/E): 17.6
• Beta (1Y): 0.70
• Revenue Growth: -2.93%
• EPS Growth: 23.33%
• Country: CA
• Employees: 6,668
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Midstream
• EPS (TTM): 0.82
• Shares Outstanding: 1,040,000,000
• 10 Day Avg. Volume: 4,047,258
• 30 Day Avg. Volume: 3,404,177
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.86
• Enterprise Value/Revenue: 10.89
• Enterprise Value/Gross Profit: 21.99
• Enterprise Value/Ebitda: 12.82
• 1Y Price Target: $75.11
• Price Target Upside: 4.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 10

• Rating: 76 Outperform
• Price Target: C$79.00 ▲(10.27% Upside)

TC Energy's strong earnings call, highlighting robust financial performance and strategic growth initiatives, is the most significant factor driving the score. The technical analysis supports a bullish outlook, while the valuation remains attractive. Financial performance is solid but tempered by high leverage, which requires careful management.

Positive Factors

Negative Factors

TC Energy Business Overview & Revenue Model

Company Description

TC Energy Corporation (TRP) is a leading North American energy infrastructure company based in Calgary, Alberta, Canada. It primarily operates in the natural gas and liquids sectors, owning and managing a vast network of pipelines that transport natural gas, crude oil, and refined products across Canada and the United States. The company also has interests in power generation, with a portfolio that includes renewable energy projects. TC Energy is committed to providing safe, reliable, and efficient energy solutions to meet the growing demands of its customers.

How the Company Makes Money

TC Energy generates revenue primarily through its regulated and non-regulated business segments. The regulated operations, which involve the transportation of natural gas and liquids, provide stable and predictable cash flows through long-term contracts with customers. This segment includes its extensive pipeline network, where it earns fees for transporting energy products. In addition to pipeline operations, TC Energy also generates revenue from its power generation portfolio, which includes both traditional and renewable energy sources. The company often engages in strategic partnerships and joint ventures to expand its infrastructure capabilities and enhance its service offerings. Factors contributing to TC Energy's earnings include demand for energy transportation, regulatory frameworks that support infrastructure development, and its ability to efficiently manage operational costs.

TC Energy Financial Statement Overview

Summary

TC Energy demonstrates strong profitability and operational efficiency with robust EBIT and EBITDA margins. However, the high leverage indicated by the debt-to-equity ratio poses a potential risk. The company shows promising cash flow growth, supporting its financial stability, but needs to focus on revenue growth and debt management.

Income Statement

TC Energy's income statement shows a strong EBIT and EBITDA margin, indicating efficient operations. However, the company experienced a decline in revenue growth rate, which is a concern. The net profit margin remains healthy, reflecting good profitability despite the revenue dip.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio, suggesting significant leverage, which could pose risks if not managed well. However, the return on equity is solid, indicating effective use of equity to generate profits. The equity ratio is moderate, reflecting a balanced asset structure.

Cash Flow

Cash flow analysis shows a strong free cash flow growth rate, which is a positive indicator for future investments and debt repayment. The operating cash flow to net income ratio is healthy, but the free cash flow to net income ratio is relatively low, suggesting limited cash available after capital expenditures.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	12.81B	13.77B	13.27B	12.31B	13.39B	13.00B
Gross Profit	6.34B	6.61B	6.67B	5.80B	6.68B	6.53B
EBITDA	10.88B	11.22B	8.66B	5.24B	6.70B	9.53B
Net Income	4.35B	4.70B	2.92B	748.00M	1.96B	4.62B
Balance Sheet
Total Assets	116.84B	118.24B	125.03B	114.35B	104.22B	100.30B
Cash, Cash Equivalents and Short-Term Investments	1.42B	801.00M	3.68B	620.00M	673.00M	1.53B
Total Debt	59.43B	59.88B	63.66B	58.68B	53.15B	49.99B
Total Liabilities	79.46B	79.88B	86.03B	80.23B	70.82B	66.83B
Stockholders Equity	27.52B	27.59B	29.55B	33.99B	33.27B	31.40B
Cash Flow
Free Cash Flow	1.44B	1.34B	-881.00M	-352.00M	966.00M	-1.08B
Operating Cash Flow	7.53B	7.70B	7.27B	6.38B	6.89B	7.06B
Investing Cash Flow	-6.59B	-6.91B	-12.29B	-7.01B	-7.71B	-6.05B
Financing Cash Flow	-2.19B	-3.87B	8.09B	487.00M	-88.00M	-800.00M

TC Energy Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 71.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TRP, the sentiment is Positive. The current price of 71.64 is above the 20-day moving average (MA) of 71.46, above the 50-day MA of 68.51, and above the 200-day MA of 66.59, indicating a bullish trend. The MACD of 0.92 indicates Positive momentum. The RSI at 58.42 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:TRP.

TC Energy Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TRP	76 Outperform	$74.86B	17.64	15.25%	4.84%	-2.93%	23.33%
ENB	74 Outperform	147.36B	23.76	10.13%	5.54%	48.78%	9.69%
KEY	73 Outperform	10.22B	19.28	18.75%	4.70%	1.57%	55.82%
PPL	67 Neutral	30.91B	17.91	11.00%	5.26%	-3.86%	-9.35%
ALA	66 Neutral	12.55B	16.06	9.27%	2.95%	-1.95%	78.65%
GEI	66 Neutral	4.29B	26.91	18.61%	6.41%	-14.27%	-11.69%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

TC Energy Corporate Events

TC Energy Declares Quarterly Dividends, Reinforces Shareholder Value

TC Energy Corporation announced the declaration of a quarterly dividend of $0.85 per common share for the quarter ending September 30, 2025. The dividends are designated as eligible for tax purposes, providing an enhanced dividend tax credit for Canadian residents. This move reflects TC Energy’s commitment to providing consistent returns to its shareholders and may impact investor confidence positively. Additionally, the company’s Dividend Reinvestment and Share Purchase Plan allows shareholders to reinvest dividends, potentially increasing their holdings in the company.

The most recent analyst rating on (TSE:TRP) stock is a Hold with a C$57.00 price target. To see the full list of analyst forecasts on TC Energy stock, see the TSE:TRP Stock Forecast page.

TC Energy Reports Strong Q2 2025 Results and Announces New Growth Projects

TC Energy reported strong second-quarter 2025 results, highlighting solid execution and asset performance that support an improved financial outlook for the year. The company announced $4.5 billion in new growth projects over the past nine months to meet increasing customer demand for incremental capacity. TC Energy expects to place approximately $8.5 billion of capital projects into service this year, with costs tracking about 15% below budget. The company’s disciplined strategy and focus on high-value, low-risk opportunities are expected to drive long-term shareholder value.

The most recent analyst rating on (TSE:TRP) stock is a Hold with a C$55.00 price target. To see the full list of analyst forecasts on TC Energy stock, see the TSE:TRP Stock Forecast page.

TC Energy to Announce Q2 2025 Financial Results

TC Energy announced it will release its second quarter 2025 financial results on July 31, 2025, with a teleconference and webcast scheduled for the same day. The event will feature discussions by key executives, including the CEO and CFO, on the company’s financial performance and developments. This announcement is significant for stakeholders as it provides insights into the company’s operational and financial health, potentially impacting its market position and investor confidence.

The most recent analyst rating on (TSE:TRP) stock is a Hold with a C$65.00 price target. To see the full list of analyst forecasts on TC Energy stock, see the TSE:TRP Stock Forecast page.

TC Energy Commences Tolls on Under-Budget Southeast Gateway Pipeline

TC Energy has begun collecting tolls on the Southeast Gateway pipeline, a major natural gas infrastructure project completed under budget and ahead of schedule. This pipeline, constructed in partnership with Mexico’s Comisión Federal de Electricidad (CFE), is crucial for supporting Mexico’s energy demand and economic growth. The project underscores TC Energy’s commitment to enhancing energy security and transitioning to more sustainable energy sources in Mexico.

The most recent analyst rating on (TSE:TRP) stock is a Hold with a C$57.00 price target. To see the full list of analyst forecasts on TC Energy stock, see the TSE:TRP Stock Forecast page.

TC Energy Announces Preferred Shares Conversion Options

TC Energy announced that it will not redeem its Series 3 and Series 4 preferred shares on June 30, 2025. Shareholders of these series have options to either retain their shares and receive dividends at new rates or convert them between Series 3 and Series 4 to switch between fixed and floating dividend rates. The decision impacts the company’s financial structuring and offers flexibility to shareholders, with potential implications for market positioning and investor relations.

The most recent analyst rating on (TSE:TRP) stock is a Hold with a C$57.00 price target. To see the full list of analyst forecasts on TC Energy stock, see the TSE:TRP Stock Forecast page.