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TransAlta (TAC) to Report Q2 Earnings: Here's What to Expect

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TransAlta Corporation (TAC - Free Report) is scheduled to release second-quarter 2023 earnings on Aug 4, before market open. In the last reported quarter, the utility delivered an earnings surprise of 179.3%.

Let’s see how things might have shaped up prior to the quarterly announcements.

Factors to Note

During the second quarter, TransAlta started providing 100% of power generated from its 130 MW Garden Plain wind project, under Virtual Power Purchase Agreements. This is expected to have boosted earnings in the to-be-reported quarter.

Higher operations, maintenance and administration expenses due to higher spending on strategic and growth initiatives increased costs due to inflationary pressures and higher performance-related incentive accruals for the Energy Marketing segment. This might have offset some positives in the to-be-reported quarter. 

Expectations

The Zacks Consensus Estimate for earnings is pegged at 3 cents per share, indicating an increase of 112.5% from the year-ago quarter’s reported figure.

Quantitative Model Predicts

Our proven model conclusively predicts an earnings beat for TransAlta this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here, as you will see below.
 

TransAlta Corporation Price and EPS Surprise

TransAlta Corporation Price and EPS Surprise

TransAlta Corporation price-eps-surprise | TransAlta Corporation Quote

Earnings ESP: The company’s Earnings ESP is +440.01%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The company currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

 

Another Stock to Consider

Investors may also consider the following player from the same industry as this too has the right combination of elements to post an earnings beat this reporting cycle.

ALLETE (ALE - Free Report) is likely to report an earnings beat when it announces second-quarter results on Aug 8, before market open. It has an Earnings ESP of +2.56% and a Zacks Rank #3 at present.

ALE’s long-term (three to five years) earnings growth rate is 8.1%. The Zacks Consensus Estimate for earnings is pegged at 78 cents per share, indicating a year-over-year increase of 16.4%.

Other Releases

NextEra Energy, Inc. (NEE - Free Report) released second-quarter 2023 adjusted earnings of 88 cents per share, which beat the Zacks Consensus Estimate of 83 cents by 6%.

The Zacks Consensus Estimate for NEE’s 2023 earnings is pinned at $3.11 per share, indicating year-over-year growth of 7.3%.

WEC Energy Group (WEC - Free Report) reported second-quarter 2023 earnings of 92 cents per share, which beat the Zacks Consensus Estimate of 85 cents by 8.24%.

WEC’s long-term earnings growth rate is 5.76%. It delivered an average earnings surprise of 7% in the last four quarters.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.

 

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