TransCanada stock: buy or sell?
October 18th, 2019
TransCanada Corporation operates as an energy infrastructure company in North America. It operates through Canadian Natural Gas Pipelines, U.
Should I buy TransCanada stock?Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Having a trading strategy helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.
Currently, TransCanada stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is TransCanada stock a buy?
Financial institutions and banks post stock ratings everyday.At Stocks2.com, we detected 6 ratings published for TRP stock in the last month.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-7-30||Bank of America||n/a||Buy|
|2019-5-29||Credit Suisse Group||Outperform||Neutral|
|2019-1-7||Wolfe Research||Outperform||Market Perform|
|2019-1-3||Goldman Sachs Group||Neutral||Sell|
TransCanada stock analysis
TransCanada shares stayed constant -0.02% to $51.46 on Oct 18th.
TransCanada shares stayed steady -0.02% to $51.46 on Oct 18th. On Sep 30th, TRP hit new all time highs, pushing higher previous ATH of $52.12 recorded on September. New ATHs are usual entry points for many trading setups as there aren't higher resistences. On August TRP price bounced up over the SMA of 100 days demonstrating to be a significant support for this stock.
TransCanada shares grew 0.57% this week, ending at $51.46. Late August TRP skyrocketed a wonderful 5.52% in just one week.
TransCanada stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last all-time high TransCanada marked late September. Since late March when SMA20w and SMA40w crossed up, TRP price gained $7.60 per share (17.33%). Since early January when TRP stock price broke up the SMA40w line, it gained $14.29 (38.44%).
TransCanada stock price history
TransCanada IPO was on September 20th, 1982 at $0.00 per share1. Since then, TRP stock grew a inf%, with an average of inf% per year. If you had invested right after TRP's IPO a $1,000 in TransCanada stock in 1982, it would worth $inf today.
1: Adjusted price after possible price splits or reverse-splits.
TransCanada stock historical price chart
TRP stock reached all-time highs on Sep/30 with a price of $52.33.
TransCanada stock price target is $63.00How much a stock will be priced tomorrow or next week is quite unpredictable However, many stock price predictions are published every day by banks, financial institutions and independent analysts. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We have 2 price forecasts for TRP stock released in the last 30 days:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-7-30||Bank of America||Raises Target||$64.00||$66.00||3.1%|
Financials and fundamental analysis
Earnings date and Earnings per ShareTransCanada reported beatiful results for 2018-Q4 on February. TransCanada soared Earnings per Share (EPS) by 11.40%, beating experts consensus of $0.70. TransCanada posted $0.78.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual sales report draw a slightly good increase of 1.71% to $13,679.00 million dollars. When comparing 2018 vs 2017, in the same way, profit margin (that is, the net income divided by revenues) gained a 3.59% to 27.06%.
|2013||$8,800 M||-||$1,790 M20.3%||-|
|2014||$8,764 M||-0.41%||$1,583 M18.1%||-11.54%|
|2015||$11,300 M||28.93%||$-1,146.00 M-10.1%||-172.38%|
|2016||$12,505 M||10.66%||$233 M1.9%||-120.33%|
|2017||$13,449 M||7.55%||$3,157 M23.5%||1,254.94%|
|2018||$13,679 M||1.71%||$3,702 M27.1%||17.26%|
Quarterly financial resultsTransCanada posted $3,904.00 M in revenues for 2018-Q4, a 23.70% improvement compared to previous quarter. Reported quarter earnings marked $1,133.00 million with a profit margin of 29.02%. Profit margin decreased a -1.68% compared to previous quarter when profit margin was 30.70%. When comparing sales to same quarter last year, TransCanada sales marked an amazing gain and boosted a 35.74%.
|2017-Q2||$3,350 M||-||$920 M27.5%||-|
|2017-Q3||$2,614 M||-21.98%||$526 M20.1%||-42.87%|
|2017-Q4||$2,876 M||10.05%||$716 M24.9%||36.31%|
|2018-Q1||$3,424 M||19.05%||$774 M22.6%||8.03%|
|2018-Q2||$3,195 M||-6.69%||$826 M25.9%||6.72%|
|2018-Q3||$3,156 M||-1.22%||$969 M30.7%||17.31%|
|2018-Q4||$3,904 M||23.70%||$1,133 M29.0%||16.92%|
|2019-Q1||$3,487 M||-10.68%||$1,045 M30.0%||-7.77%|
TransCanada ownershipWhen you are planning to invest in a stock, it's always worth to have a look its ownership structure.
TransCanada shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.05% of all shares.
In case of TransCanada stock, 68.90% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for TRP stock account 0.00%, no big difference from last month.
For a better context understanding, the next table shows ownership data compared to other related stocks:
|Market cap||$47.8 B|
|Total shares||929.0 M|
|Float shares||928.1 M|
|- Institutional holdings (%)||68.9%|
|- Insider holdings (%)||0.1%|
|Shares in short selling||0.0%|
|Friday, October 18th, 2019|
|Day range||$51.29 - $51.69|
|Average true range||$0.67|
|50d mov avg||$50.09|
|100d mov avg||$49.41|
|200d mov avg||$46.47|
TransCanada performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. In the following table, we compare TransCanada to :
TransCanada competitorsUnfortunately, we could not find any public company that could be defined as TransCanada competitor. This doesn't mean TransCanada does not have any competitor in the market, it's just we could not detected it.
Latest TransCanada stock news
- Seeking AlphaTransCanada: Well-Positioned To Deliver Consistent ReturnsJanuary 16, 2019
- Seeking AlphaTransCanada: A 15%+ Total Return Annually From This Midstream GiantOctober 16, 2018
- Seeking AlphaGas Pipeline Growth For TransCanadaJune 5, 2018
- Seeking AlphaTransCanada Helps Mexico Turn To GasMay 29, 2018