TransAlta announces dividend hike, strong 2024 results

EditorAhmed Abdulazez Abdulkadir
Published 2025/02/20, 16:14
TransAlta announces dividend hike, strong 2024 results

CALGARY - TransAlta (TSX:TA) Corporation (NYSE:TAC), a leading provider of electric services with a market capitalization of $3.14 billion, disclosed strong financial results for the year 2024 and announced an increase in its dividend payments, as well as guidance for the year 2025.

The announcement was made through a Form 6-K filing with the U.S. Securities and Exchange Commission today. According to InvestingPro analysis, the company appears undervalued based on its Fair Value estimates.

The corporation, which is headquartered in Calgary, reported a robust performance for 2024, with EBITDA reaching $846.7 million and revenue of $2.06 billion. The positive results have led to a decision to raise the dividend, marking the company’s 38th consecutive year of dividend maintenance. InvestingPro data reveals that TransAlta has raised its dividend for five consecutive years, demonstrating its commitment to delivering shareholder value. The raised dividend is part of TransAlta’s broader financial strategy and reflects its operational success over the past year.

In addition to the dividend increase, TransAlta provided guidance for the upcoming year. The 2025 annual guidance outlines the company’s expectations for its financial and operational performance. While the exact projections were not specified in the press release, such guidance is typically used by investors to gauge the company’s future performance and strategic direction.

In other recent news, TransAlta Corporation disclosed its annual financial statements for 2024, providing a comprehensive analysis of its financial condition and operations. This filing, submitted to the U.S. Securities and Exchange Commission, underscores the company’s transparency and compliance with regulatory standards.

Additionally, TransAlta announced it will host a conference call to discuss its fourth quarter and full-year 2024 financial results, though specific details regarding the call have yet to be released. In another development, BMO Capital Markets raised TransAlta’s stock price target from $17.00 to $22.00 while maintaining an Outperform rating, highlighting the company’s potential in Alberta data center deals.

RBC Capital Markets also expressed confidence in TransAlta by maintaining an Outperform rating with a price target of CAD 16. Furthermore, TransAlta declared dividends as part of its regular payout strategy, reflecting its financial stability and commitment to shareholder returns. The specific details of the dividend amounts and payment dates were not disclosed in the filing.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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