WallStSmart

FirstEnergy Corporation (FE)vsTransAlta Corp (TAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

FirstEnergy Corporation generates 593% more annual revenue ($15.34B vs $2.21B). FE leads profitability with a 6.9% profit margin vs -7.7%. FE appears more attractively valued with a PEG of 1.67. FE earns a higher WallStSmart Score of 65/100 (C+).

FE

Buy

65

out of 100

Grade: C+

Growth: 6.0Profit: 6.0Value: 4.0Quality: 2.5
Piotroski: 3/9Altman Z: 0.59

TAC

Avoid

33

out of 100

Grade: F

Growth: 2.0Profit: 4.0Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: -0.19
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FESignificantly Overvalued (-63.5%)

Margin of Safety

-63.5%

Fair Value

$29.31

Current Price

$46.42

$17.11 premium

UndervaluedFair: $29.31Overvalued

Intrinsic value data unavailable for TAC.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FE2 strengths · Avg: 8.0/10
Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Operating MarginProfitability
20.5%8/10

Strong operational efficiency at 20.5%

TAC0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

FE4 concerns · Avg: 3.5/10
PEG RatioValuation
1.674/10

Expensive relative to growth rate

P/E RatioValuation
25.6x4/10

Moderate valuation

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

TAC4 concerns · Avg: 2.8/10
Price/BookValuation
11.3x4/10

Trading at 11.3x 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
-12.1%2/10

ROE of -12.1% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull Case : FE

The strongest argument for FE centers on Price/Book, Operating Margin. Revenue growth of 11.6% demonstrates continued momentum.

Bull Case : TAC

TAC has a balanced fundamental profile.

Bear Case : FE

The primary concerns for FE are PEG Ratio, P/E Ratio, Profit Margin. Debt-to-equity of 2.22 is elevated, increasing financial risk.

Bear Case : TAC

The primary concerns for TAC are Price/Book, Piotroski F-Score, PEG Ratio. Debt-to-equity of 3.17 is elevated, increasing financial risk.

Key Dynamics to Monitor

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

TAC carries more volatility with a beta of 0.49 — expect wider price swings.

FE is growing revenue faster at 11.6% — sustainability is the question.

TAC generates stronger free cash flow (93M), providing more financial flexibility.

Bottom Line

FE scores higher overall (65/100 vs 33/100) and 11.6% revenue growth. 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.

FirstEnergy Corporation

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

FirstEnergy Corp is an electric utility headquartered in Akron, Ohio. Its subsidiaries and affiliates are involved in the distribution, transmission, and generation of electricity, as well as energy management and other energy-related services.

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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