TransAlta Stock Up 29% as Fund Trims 794,400 Shares in $12 Million Move
Key Points
Potrero Capital Research sold 794,400 shares of TransAlta in the fourth quarter.
The quarter-end position value decreased by $12.64 million, reflecting both trading activity and price movements.
TransAlta represents 7.34% of fund AUM.
- 10 stocks we like better than TransAlta ›
On February 17, 2026, Potrero Capital Research disclosed in an SEC filing that it sold 794,400 shares of TransAlta (NYSE:TAC) in the fourth quarter, an estimated $11.86 million trade based on quarterly average pricing.
What happened
According to a SEC filing published February 17, 2026, Potrero Capital Research sold 794,400 shares of TransAlta during the fourth quarter. The estimated transaction value was $11.86 million, calculated using the average closing price for the period. After the trade, the fund’s position in TransAlta stood at 1,724,544 shares, worth $21.80 million at quarter-end. The net position change, including any price effect, was a decrease of $12.64 million.
What else to know
- This sale reduced TransAlta to 7.34% of Potrero Capital’s reportable equity AUM.
- Top holdings after the filing:
- NASDAQ: TLN: $29.05 million (9.8% of AUM)
- NYSE: TAC: $21.80 million (7.3% of AUM)
- NASDAQ: BL: $20.49 million (6.9% of AUM)
- NASDAQ: MSFT: $18.71 million (6.3% of AUM)
- NASDAQ: STX: $16.96 million (5.7% of AUM)
- As of February 17, 2026, TAC shares were priced at $13.43, up 28.8% over the prior year and outperforming the S&P 500 by 17.72 percentage points.
Company overview
| Metric | Value |
|---|---|
| Market capitalization | $3.98 billion |
| Revenue (TTM) | $1.82 billion |
| Net income (TTM) | ($103.25 million) |
| Price (as of market close February 17, 2026) | $13.43 |
Company snapshot
- TransAlta produces and sells electricity through hydro, wind, solar, gas, and energy transition assets, with additional revenue from energy trading and related mining and pipeline operations
- The company operates an independent power producer model, generating income by selling electricity and energy-related commodities to wholesale and utility markets
- It serves municipalities, industrial businesses, utilities, and large commercial customers across Canada, the United States, and Australia
TransAlta is a leading independent power producer with a diversified generation portfolio across North America and Australia. The company leverages a broad mix of hydro, wind, solar, and gas assets to provide reliable energy solutions and capitalize on energy transition trends. Its scale and operational diversity position it to serve a wide range of customers and adapt to evolving market demands.
What this transaction means for investors
TransAlta shares have climbed nearly 29% over the past year, decisively beating the S&P 500 even as the company navigates softer Alberta power prices. In the third quarter, it generated $238 million in adjusted EBITDA, down from $315 million one year prior, and $105 million in free cash flow, with availability at 92.7%. Cash flow from operations, however, ticked up to $251 million, underscoring that this remains a functioning power platform, not just a commodity trade.
So, trimming the position after that run looks like it could be less like a bearish call and more like risk management. The stake still represents 7.34% of assets, making it a top holding alongside BlackLine and Microsoft. In other words, this is not an abandonment of the thesis, but a recalibration after outperformance.
For long-term investors, the bigger question is execution. Management is advancing a 230 MW data center transmission contract and progressing energy transition initiatives. If those projects scale and power markets stabilize, TransAlta’s diversified hydro, wind, gas, and transition portfolio could justify patience.
Should you buy stock in TransAlta right now?
Before you buy stock in TransAlta, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TransAlta wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $415,256!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,151,865!*
Now, it’s worth noting Stock Advisor’s total average return is 892% — a market-crushing outperformance compared to 194% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of February 20, 2026.
Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Microsoft. The Motley Fool recommends BlackLine. The Motley Fool has a disclosure policy.
Recommended Articles
