TransCanada stock: buy or sell?

TRP stock price: $50.34 -0.30% At close on July 16th, 2019

Updated on:
July 16th, 2019

4

TransCanada stayed stable -0.30% to $50.34 after reaching all time highs on Friday. With Tuesday it's been 3 red days in a row.

TransCanada Corporation operates as an energy infrastructure company in North America. It operates through Canadian Natural Gas Pipelines, U.

Should I buy TransCanada stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best moment to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

These 2 buy setups work for TransCanada stock right now:

Buy setupElegible
New all-time highYes
New 52 week highYes
Price crossing up 200d MANo
100d MA crossing up 200d MANo

Is TransCanada stock a buy?

Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness. At Stocks2.com, we detected 5 ratings published for TRP stock in the last 30 days.

The general sentiment of these ratings is bearish for TRP stock, with 1 negative ratings.
Is TRP a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-5-29Credit Suisse GroupOutperformNeutral
2019-2-5Evercore ISIn/an/a
2019-1-7Wolfe ResearchOutperformMarket Perform
2019-1-3Goldman Sachs GroupNeutralSell
2019-1-24MacquarieNeutralNeutral

TransCanada stock analysis

Daily outlook

TransCanada stayed steady -0.30% today to $50.34 after marking all time highs on Friday.

TransCanada stayed constant -0.30% today to $50.34 after marking all time highs on Friday. Since SMA100d and SMA200d crossed up on March, TRP price climbed $6.14 per share (13.89%). TRP shows a short term strength with several rising tops and rising bottoms. In the very short term, it marked a new bottom at $49.21 on July/5. Now, it's testing previous top price range ($50.33) but it need to confirm a possible new breakout. On Friday, TRP hit a new all time high, pushing higher than on Thursday tops. Check different trading setups that use ATHs as triggers.

TRP stock chart (daily)

Weekly outlook

After climbing for 4 weeks, this week TransCanada depreciated a lame -0.63%, closing at $50.34.

In a weekly time frame, TransCanada stock is drawing an uptrend with rising tops and bottoms. Now trading in between its last bottom and last top, TRP might consolidate in a flat-base, waiting to break out over or down under . Not so far away is the last price record TransCanada marked last week. Since late March when SMA20w and SMA40w crossed up, TRP price gained $6.00 per share (13.53%). Since price and SMA40w lines crossed up early January, TRP climbed $12.76 (33.95%).

TRP stock chart (weekly)

TransCanada stock price history

TransCanada stock went public on September 20th, 1982 with a price of $1.041. Since then, TRP stock surged a 4,740.40%, with a yearly average of 131.70%. If you had invested $1,000 in TransCanada stock in 1982, it would worth $47,404.00 today.

1: Adjusted price after possible price splits or reverse-splits.

TransCanada stock historical price chart

TRP stock reached all-time highs on Friday with a price of $51.36.

TransCanada stock price target is $60.00

Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' TRP stock price predictions in the hope that they will be met as they may be wrong and not met. Currently, only 1 price forecast for TransCanada stock was published in the last 30 days:
TRP stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-2-5Evercore ISIInitiatesn/a$60.00-
(in average)$0.00$60.000.0%

Financials and fundamental analysis

Earnings date and Earnings per Share

TransCanada reported fine results for 2018-Q4 on February. TransCanada rose Earnings per Share (EPS) by 11.40%, beating experts of $0.70. TransCanada posted $0.78.
TRP earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.62n/a
2017-Q3-n/a0.74n/a
2017-Q4-n/a0.89n/a
2018-Q12018-04-270.640.7821.9%
2018-Q22018-08-020.580.6613.8%
2018-Q32018-11-010.590.7628.8%
2018-Q42019-02-140.70.7811.4%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, TransCanada annual turnover stepped up a slightly fine 1.71% to $13,679.00 million USD from $13,449.00 marked in 2017. In line, its income margin (compared to revenues) raised to 27.06%, that is $3,702.00 million.

TRP annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$8,800 M-$1,790 M20.3%-
2014$8,764 M-0.41%$1,583 M18.1%-11.54%
2015$11,300 M28.93%$-1,146.00 M-10.1%-172.38%
2016$12,505 M10.66%$233 M1.9%-120.33%
2017$13,449 M7.55%$3,157 M23.5%1,254.94%
2018$13,679 M1.71%$3,702 M27.1%17.26%

Quarterly financial results

TransCanada reported $3,904.00 M in revenues for 2018-Q4, a 23.70% up compared to previous quarter. Reported quarter income marked $1,133.00 million with a profit margin of 29.02%. Profit margin depreciated a -1.68% compared to previous quarter when profit margin was 30.70%. When comparing turnover to same quarter last year, TransCanada sales marked an amazing gain and skyrocketed a 35.74%.
TRP quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$3,350 M-$920 M27.5%-
2017-Q3$2,614 M-21.98%$526 M20.1%-42.87%
2017-Q4$2,876 M10.05%$716 M24.9%36.31%
2018-Q1$3,424 M19.05%$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 M23.70%$1,133 M29.0%16.92%
2019-Q1$3,487 M-10.68%$1,045 M30.0%-7.77%

TransCanada ownership

When you are planning to invest in a company, it's always worth to review 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.

The following table compares ownership indicators for other stocks related to TransCanada:

TRP
Market cap$46.5 B
Total shares923.2 M
Float shares926.1 M
  - Institutional holdings (%)68.9%
  - Insider holdings (%)0.1%
Shares in short selling0.0%

TransCanada summary

Tuesday, July 16th, 2019
Open$50.39
Close$50.34
Day range$50.16 - $50.65
Previous close$50.49
Session gain-0.30%
Average true range$0.71
50d mov avg$48.60
100d mov avg$46.84
200d mov avg$42.85
Daily patternlb03b
Weekly pattern lt06a

TransCanada performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. We compared TransCanada against in the following table:
Stock3m6m12m
TRPTransCanada8.89%23.81%21.45%

TransCanada competitors

Unfortunately, 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