WallStSmart

NewJersey Resources Corporation (NJR)vsTransAlta Corp (TAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TransAlta Corp generates 2% more annual revenue ($2.21B vs $2.18B). NJR leads profitability with a 15.7% profit margin vs -7.7%. NJR appears more attractively valued with a PEG of 2.10. NJR earns a higher WallStSmart Score of 61/100 (C+).

NJR

Buy

61

out of 100

Grade: C+

Growth: 4.0Profit: 7.5Value: 4.7Quality: 4.0
Piotroski: 4/9Altman Z: 1.02

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

NJRSignificantly Overvalued (-68.6%)

Margin of Safety

-68.6%

Fair Value

$31.35

Current Price

$55.41

$24.06 premium

UndervaluedFair: $31.35Overvalued

Intrinsic value data unavailable for TAC.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NJR3 strengths · Avg: 8.7/10
Operating MarginProfitability
32.0%10/10

Strong operational efficiency at 32.0%

P/E RatioValuation
16.4x8/10

Attractively priced relative to earnings

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

TAC0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

NJR4 concerns · Avg: 3.3/10
PEG RatioValuation
2.104/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

Debt/EquityHealth
1.423/10

Elevated debt levels

Altman Z-ScoreHealth
1.022/10

Distress zone — elevated risk

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 : NJR

The strongest argument for NJR centers on Operating Margin, P/E Ratio, Price/Book. Profitability is solid with margins at 15.7% and operating margin at 32.0%.

Bull Case : TAC

TAC has a balanced fundamental profile.

Bear Case : NJR

The primary concerns for NJR are PEG Ratio, Revenue Growth, Debt/Equity.

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

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

NJR carries more volatility with a beta of 0.52 — expect wider price swings.

NJR is growing revenue faster at 2.9% — sustainability is the question.

NJR generates stronger free cash flow (366M), providing more financial flexibility.

Bottom Line

NJR scores higher overall (61/100 vs 33/100), backed by strong 15.7% margins. 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.

NewJersey Resources Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

New Jersey Resources Corporation, an energy services portfolio company, provides regulated gas distribution and retail and wholesale energy services. The company is headquartered in Wall, New Jersey.

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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