WallStSmart

Public Service Enterprise Group Inc (PEG)vsTransAlta Corp (TAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Public Service Enterprise Group Inc generates 454% more annual revenue ($12.54B vs $2.27B). PEG leads profitability with a 16.0% profit margin vs -1.0%. PEG appears more attractively valued with a PEG of 3.64. PEG earns a higher WallStSmart Score of 50/100 (C-).

PEG

Buy

50

out of 100

Grade: C-

Growth: 3.3Profit: 7.0Value: 3.3Quality: 3.5
Piotroski: 5/9Altman Z: 0.96

TAC

Hold

43

out of 100

Grade: D

Growth: 3.3Profit: 4.5Value: 4.0Quality: 2.5
Piotroski: 2/9Altman Z: -0.05
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PEGSignificantly Overvalued (-70.1%)

Margin of Safety

-70.1%

Fair Value

$49.46

Current Price

$72.39

$22.93 premium

UndervaluedFair: $49.46Overvalued

Intrinsic value data unavailable for TAC.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PEG1 strengths · Avg: 8.0/10
Price/BookValuation
2.1x8/10

Reasonable price relative to book value

TAC1 strengths · Avg: 10.0/10
Operating MarginProfitability
33.3%10/10

Strong operational efficiency at 33.3%

Areas to Watch

PEG4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.423/10

Elevated debt levels

PEG RatioValuation
3.642/10

Expensive relative to growth rate

Revenue GrowthGrowth
-8.9%2/10

Revenue declined 8.9%

EPS GrowthGrowth
-42.7%2/10

Earnings declined 42.7%

TAC4 concerns · Avg: 2.3/10
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

EPS GrowthGrowth
-71.6%2/10

Earnings declined 71.6%

Comparative Analysis Report

WallStSmart Research

Bull Case : PEG

The strongest argument for PEG centers on Price/Book. Profitability is solid with margins at 16.0% and operating margin at 18.9%.

Bull Case : TAC

The strongest argument for TAC centers on Operating Margin. Revenue growth of 12.5% demonstrates continued momentum.

Bear Case : PEG

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

Bear Case : TAC

The primary concerns for TAC are Piotroski F-Score, PEG Ratio, Return on Equity. Debt-to-equity of 2.38 is elevated, increasing financial risk.

Key Dynamics to Monitor

PEG profiles as a declining stock while TAC is a turnaround play — different risk/reward profiles.

PEG carries more volatility with a beta of 0.53 — expect wider price swings.

TAC is growing revenue faster at 12.5% — sustainability is the question.

PEG generates stronger free cash flow (498M), providing more financial flexibility.

Bottom Line

PEG scores higher overall (50/100 vs 43/100), backed by strong 16.0% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Public Service Enterprise Group Inc

UTILITIES · UTILITIES - REGULATED ELECTRIC · USA

The Public Service Enterprise Group (PSEG) is a publicly traded diversified energy company headquartered in Newark, 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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