Latest news with #Transcontinental
Yahoo
26-05-2025
- Business
- Yahoo
Transcontinental Inc.'s (TSE:TCL.A) Has Been On A Rise But Financial Prospects Look Weak: Is The Stock Overpriced?
Transcontinental's (TSE:TCL.A) stock is up by a considerable 18% over the past three months. We, however wanted to have a closer look at its key financial indicators as the markets usually pay for long-term fundamentals, and in this case, they don't look very promising. Specifically, we decided to study Transcontinental's ROE in this article. Return on equity or ROE is an important factor to be considered by a shareholder because it tells them how effectively their capital is being reinvested. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders. Our free stock report includes 1 warning sign investors should be aware of before investing in Transcontinental. Read for free now. The formula for return on equity is: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Transcontinental is: 8.3% = CA$164m ÷ CA$2.0b (Based on the trailing twelve months to January 2025). The 'return' is the profit over the last twelve months. One way to conceptualize this is that for each CA$1 of shareholders' capital it has, the company made CA$0.08 in profit. View our latest analysis for Transcontinental Thus far, we have learned that ROE measures how efficiently a company is generating its profits. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics. On the face of it, Transcontinental's ROE is not much to talk about. We then compared the company's ROE to the broader industry and were disappointed to see that the ROE is lower than the industry average of 12%. Therefore, it might not be wrong to say that the five year net income decline of 7.3% seen by Transcontinental was probably the result of it having a lower ROE. However, there could also be other factors causing the earnings to decline. Such as - low earnings retention or poor allocation of capital. So, as a next step, we compared Transcontinental's performance against the industry and were disappointed to discover that while the company has been shrinking its earnings, the industry has been growing its earnings at a rate of 1.2% over the last few years. Earnings growth is a huge factor in stock valuation. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. This then helps them determine if the stock is placed for a bright or bleak future. If you're wondering about Transcontinental's's valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry. Transcontinental has a high three-year median payout ratio of 66% (that is, it is retaining 34% of its profits). This suggests that the company is paying most of its profits as dividends to its shareholders. This goes some way in explaining why its earnings have been shrinking. With only a little being reinvested into the business, earnings growth would obviously be low or non-existent. Moreover, Transcontinental has been paying dividends for at least ten years or more suggesting that management must have perceived that the shareholders prefer dividends over earnings growth. Existing analyst estimates suggest that the company's future payout ratio is expected to drop to 36% over the next three years. Despite the lower expected payout ratio, the company's ROE is not expected to change by much. In total, we would have a hard think before deciding on any investment action concerning Transcontinental. Because the company is not reinvesting much into the business, and given the low ROE, it's not surprising to see the lack or absence of growth in its earnings. Having said that, we studied the latest analyst forecasts, and found that analysts are expecting the company's earnings growth to improve slightly. This could offer some relief to the company's existing shareholders. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
05-05-2025
- Business
- Yahoo
Williams CEO Alan Armstrong to step down after 14 years at the helm
(Reuters) -Williams Companies said on Monday CEO Alan Armstrong will step down after more than 14 years at the helm of the U.S. pipeline operator. Armstrong, who joined Williams nearly 40 years ago, would be succeeded by insider Chad Zamarin, effective July 1. Zamarin, who joined the company in 2017, is currently the executive vice president of corporate strategic development. Williams on Monday also beat quarterly earnings estimates and raised its annual profit forecast, as it banked on rising demand for natural gas, driven by a surge in electricity consumption by homes, businesses, crypto-mining, and an artificial intelligence-led boom in data centers. "Williams is well positioned to benefit from the coming wave of natural gas demand from the power generation market and LNG exports, while continuing to deliver on traditional market needs," Armstrong said. The firm raised its 2025 adjusted core profit to be between $7.5 billion and $7.9 billion compared to its prior outlook range of $7.45 billion to $7.85 billion. Its first-quarter results were boosted by higher service revenues from expansion projects and acquisitions. In January, the U.S. energy regulator reinstated the certificate for Williams' Transcontinental gas pipeline, allowing it to go ahead with expansion of the project, after a U.S. court voided the initial approval in 2023. Total revenue rose nearly 10% to $3.05 billion during the quarter ended March 31, while service revenues climbed to $2 billion from $1.91 billion a year ago. At Transco, average daily transportation volumes rose to 15.9 million dekatherms (MMdth) of natural gas per day in the first quarter from 14.6 MMdth per day of natural gas a year ago. The company posted an adjusted profit of 60 cents per share for the quarter ended March 31, compared with average analysts' estimate of 56 cents per share, according to data compiled by LSEG. Sign in to access your portfolio
Reuters
05-05-2025
- Business
- Reuters
Williams CEO Alan Armstrong to step down after 14 years at the helm
May 5 (Reuters) - Williams Companies (WMB.N), opens new tab said on Monday CEO Alan Armstrong will step down after more than 14 years at the helm of the U.S. pipeline operator. Armstrong, who joined Williams nearly 40 years ago, would be succeeded by insider Chad Zamarin, effective July 1. Zamarin, who joined the company in 2017, is currently the executive vice president of corporate strategic development. Make sense of the latest ESG trends affecting companies and governments with the Reuters Sustainable Switch newsletter. Sign up here. Williams on Monday also beat quarterly earnings estimates and raised its annual profit forecast, as it banked on rising demand for natural gas, driven by a surge in electricity consumption by homes, businesses, crypto-mining, and an artificial intelligence-led boom in data centers. "Williams is well positioned to benefit from the coming wave of natural gas demand from the power generation market and LNG exports, while continuing to deliver on traditional market needs," Armstrong said. The firm raised its 2025 adjusted core profit to be between $7.5 billion and $7.9 billion compared to its prior outlook range of $7.45 billion to $7.85 billion. Its first-quarter results were boosted by higher service revenues from expansion projects and acquisitions. In January, the U.S. energy regulator reinstated the certificate for Williams' Transcontinental gas pipeline, allowing it to go ahead with expansion of the project, after a U.S. court voided the initial approval in 2023. Total revenue rose nearly 10% to $3.05 billion during the quarter ended March 31, while service revenues climbed to $2 billion from $1.91 billion a year ago. At Transco, average daily transportation volumes rose to 15.9 million dekatherms (MMdth) of natural gas per day in the first quarter from 14.6 MMdth per day of natural gas a year ago. The company posted an adjusted profit of 60 cents per share for the quarter ended March 31, compared with average analysts' estimate of 56 cents per share, according to data compiled by LSEG.
Yahoo
30-03-2025
- Business
- Yahoo
Those who invested in Transcontinental (TSE:TCL.A) five years ago are up 102%
When you buy and hold a stock for the long term, you definitely want it to provide a positive return. Better yet, you'd like to see the share price move up more than the market average. Unfortunately for shareholders, while the Transcontinental Inc. (TSE:TCL.A) share price is up 55% in the last five years, that's less than the market return. Some buyers are laughing, though, with an increase of 25% in the last year. With that in mind, it's worth seeing if the company's underlying fundamentals have been the driver of long term performance, or if there are some discrepancies. The end of cancer? These 15 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's. While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. During five years of share price growth, Transcontinental achieved compound earnings per share (EPS) growth of 3.3% per year. This EPS growth is lower than the 9% average annual increase in the share price. So it's fair to assume the market has a higher opinion of the business than it did five years ago. And that's hardly shocking given the track record of growth. You can see how EPS has changed over time in the image below (click on the chart to see the exact values). We like that insiders have been buying shares in the last twelve months. Having said that, most people consider earnings and revenue growth trends to be a more meaningful guide to the business. It might be well worthwhile taking a look at our free report on Transcontinental's earnings, revenue and cash flow. When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. We note that for Transcontinental the TSR over the last 5 years was 102%, which is better than the share price return mentioned above. This is largely a result of its dividend payments! It's nice to see that Transcontinental shareholders have received a total shareholder return of 32% over the last year. Of course, that includes the dividend. Since the one-year TSR is better than the five-year TSR (the latter coming in at 15% per year), it would seem that the stock's performance has improved in recent times. In the best case scenario, this may hint at some real business momentum, implying that now could be a great time to delve deeper. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Take risks, for example - Transcontinental has 1 warning sign we think you should be aware of. Transcontinental is not the only stock that insiders are buying. For those who like to find lesser know companies this free list of growing companies with recent insider purchasing, could be just the ticket. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Canadian exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
30-01-2025
- General
- Yahoo
Vintage Chicago Tribune: Plane crashes that stunned our city
As investigators recover victims in the wreckage of an American Airlines regional jet and a U.S. Army helicopter, which collided near Ronald Reagan Washington National Airport last night, we turn to the Tribune's archives. Here's a look back at commercial passenger plane crashes that stunned Chicago. A Transcontinental and Western airliner carrying 15 people — 12 passengers and three crew members — hit a tree and house at 6045 S. Kilbourn Ave. but managed to land in an empty lot near Chicago Municipal Airport (now Midway). All 15 survived. 'Why, the plane is almost an exact fit for that lot,' an observer told the Tribune. 'A lot of terrible things could have happened and didn't.' A United Airlines DC-3 laden with ice on its windshield and wings stalled and crashed into a house at 6350 S. Keating Ave. on its second landing attempt at now Midway, killing 10. It's believed to be the first commercial airplane crash in the city. The crash caused the Civil Aeronautics Board to recommend that stall-warning devices be installed on airplanes to let pilots know when they are going too slow to stay aloft and to urge research into ways to reduce icing. A Delta Air Lines DC-4 crashed and burned on takeoff from Midway airport. A gust lock, intended to prevent wind damage to the tail's control surfaces when the plane is on the ground, was suspected. Twelve of 13 people on board died. 'Witnesses at the airport said the huge plane took off into a north wind and had a clear field ahead,' the Tribune reported. 'The first hint of trouble was the flare-up and explosion when the plane hit the earth.' A Braniff Airways twin-engine Convair 340 trying to land at Midway Airport in fog struck a 15-foot-tall gas station sign at the northwest corner of the airport and crashed, killing 22 and injuring 21. The crash was one of several accidents that prompted the city and federal governments to restrict obstructions and the height of buildings near airports. Capt. George A. Stone, the pilot of a Stratocruiser, was credited when all 68 people survived a crash landing in the same area as the Braniff accident. 'Stone told officials of Northwest Orient Airlines that the propellers of the plane failed to reverse as he made a normal landing after a flight from Minneapolis,' the Tribune reported. A loose bolt caused one-third of the tail section of a TWA Constellation plane to fall away minutes after takeoff from Midway airport and crash into a farm field near west suburban Clarendon Hills. All 78 people aboard died. An improperly installed device to boost power to the wing ailerons that control flight caused a Northwest Orient Airlines Electra to crash after takeoff from O'Hare International Airport. The plane, bound for Florida, rolled to the right then descended, first striking a 34,000-volt power line, then a railroad embankment. 'Turning in … no control,' were the last distinguishable words from the cockpit, the Tribune reported. All 37 people aboard died. A United Airlines 727 descending at night to land at O'Hare flew into Lake Michigan about 20 miles east of Lake Forest. Because of an instrument error, the plane apparently descended through its assigned altitude of 6,000 feet with the crew thinking it was at 16,000 feet. All 30 people aboard died. Buffeted by wingtip turbulence from a jet that had just taken off, a North Central Airlines Convair 580 lost control while taking off and hit a hangar at O'Hare. Twenty-eight died and 27 others were injured, including several people on the ground. This crash and others prompted the Federal Aviation Administration to require a greater interval between jet aircraft on takeoff and landing. Forty-five people died when a United jet crashed into bungalows on West 70th Place while approaching Midway airport for landing. Eighteen aboard the plane survive. 50 years ago, a plane crashed into homes outside Midway, killing 45 people. The neighborhood hasn't forgotten. The crash resulted in some bizarre theories about sabotage after it was discovered that the wife of Watergate conspirator Howard Hunt was one of the victims and she was carrying $10,000 in cash in a briefcase. The National Transportation Safety Board (NTSB) found no evidence of foul play and blamed the crash on errors by the pilot, who failed to retract the plane's spoilers, or air brakes, at the critical stage of the descent, causing the plane to stall and crash 1.5 miles short of the runway. Two planes collided on a fog-shrouded runway at O'Hare, killing 10 of the 138 aboard. All the victims initially survived the collision, but some were overcome by fumes from the burning North Central Airlines DC-9 jet. Poor communications between controllers and the crew of the Delta Air Lines Convair 880, which caused the Delta plane to taxi across a runway being used by the North Central plane for a takeoff, were cited. The ensuing fire caused federal officials to recommend the use of less toxic materials and better lights in airline cabins. At the start of Memorial Day weekend, an American Airlines DC-10 bound for Los Angeles crashed just 31 seconds after takeoff from O'Hare airport. It's still the deadliest passenger airline accident on U.S. soil — 271 people aboard the plane and two more on the ground died. A passenger manifest has never been released by the airline, but Bill and Corrinne Borchers were two of the victims. Today, their children Kim Borchers Jockl and her siblings Melody and Jim have worked to connect friends and family of the victims. They started a Facebook group and published a book about their experiences called 'Safe Landing: A family's journey following the crash of American Airlines Flight 191.' A memorial to the victims was dedicated in 2011 at Lake Park in Des Plaines, less than 2 miles east of the crash site. An American Eagle ATR 72 crashed in an Indiana field 60 miles southeast of Chicago after dealing with freezing rain while in a holding pattern for O'Hare. All 68 people aboard were killed. The preliminary investigation indicated the crew lost control after ice built up on the wing behind the de-icing devices. The accident caused the temporary withdrawal of that type of aircraft from service in northern climates until the wing icing problem could be solved. A Southwest Airlines plane landing in a snowstorm skidded off the runway at Midway airport, smashed into cars on Central Avenue and killed a 6-year-old boy in a car. Become a Tribune subscriber: It's just $12 for a 1-year digital subscription Thanks for reading! Subscribe to the free Vintage Chicago Tribune newsletter, join our Chicagoland history Facebook group, stay current with Today in Chicago History and follow us on Instagram for more from Chicago's past. Have an idea for Vintage Chicago Tribune? Share it with Kori Rumore and Marianne Mather at krumore@ and mmather@
