WallStSmart

California Water Service Group (CWT)vsTransAlta Corp (TAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TransAlta Corp generates 138% more annual revenue ($2.40B vs $1.01B). CWT leads profitability with a 11.8% profit margin vs -5.7%. CWT appears more attractively valued with a PEG of 1.93. CWT earns a higher WallStSmart Score of 53/100 (C-).

CWT

Buy

53

out of 100

Grade: C-

Growth: 4.7Profit: 5.0Value: 6.7Quality: 2.8
Piotroski: 1/9Altman Z: 0.74

TAC

Avoid

31

out of 100

Grade: F

Growth: 2.0Profit: 3.5Value: 5.7Quality: 3.3
Piotroski: 2/9Altman Z: -0.14
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CWTUndervalued (+30.4%)

Margin of Safety

+30.4%

Fair Value

$63.42

Current Price

$43.05

$20.37 discount

UndervaluedFair: $63.42Overvalued
TACUndervalued (+38.3%)

Margin of Safety

+38.3%

Fair Value

$21.96

Current Price

$12.48

$9.48 discount

UndervaluedFair: $21.96Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CWT1 strengths · Avg: 8.0/10
Price/BookValuation
1.5x8/10

Reasonable price relative to book value

TAC0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

CWT4 concerns · Avg: 3.0/10
PEG RatioValuation
1.934/10

Expensive relative to growth rate

Return on EquityProfitability
7.2%3/10

ROE of 7.2% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

EPS GrowthGrowth
-69.3%2/10

Earnings declined 69.3%

TAC4 concerns · Avg: 2.8/10
Price/BookValuation
11.2x4/10

Trading at 11.2x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
6.982/10

Expensive relative to growth rate

Return on EquityProfitability
-9.6%2/10

ROE of -9.6% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : CWT

The strongest argument for CWT centers on Price/Book.

Bull Case : TAC

TAC has a balanced fundamental profile.

Bear Case : CWT

The primary concerns for CWT are PEG Ratio, Return on Equity, Piotroski F-Score.

Bear Case : TAC

The primary concerns for TAC are Price/Book, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

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

CWT carries more volatility with a beta of 0.61 — expect wider price swings.

CWT is growing revenue faster at 5.2% — sustainability is the question.

TAC generates stronger free cash flow (147M), providing more financial flexibility.

Bottom Line

CWT scores higher overall (53/100 vs 31/100). TAC offers better value entry with a 38.3% margin of safety. Both earn "Buy" 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.

California Water Service Group

UTILITIES · UTILITIES - REGULATED WATER · USA

California Water Service Group provides public water and related services in California, Washington, New Mexico and Hawaii. The company is headquartered in San Jose, California.

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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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