Just Energy, TransAlta, TC Energy among bottom-performing Canadian stocks in Q3

Most Canadian power companies trading on Toronto stock exchanges covered by S&P Global Market Intelligence saw share price declines in the third quarter of 2022, with six out of the selected 20 companies recorded double-digit decreases.

Among the bottom-performing Canadian power stocks, Toronto-headquartered natural gas and electricity retailer Just Energy Group Inc. experienced the largest decline, with its share price falling 40.5% to 22 Canadian cents as of Sept. 30. Just Energy closed the third quarter with a market value of C$10.6 million.

In August, Just Energy received approval from the Ontario Superior Court of Justice to conduct a previously announced sale and investment solicitation process as part of the company's insolvency proceedings in Canada.

Shares of TransAlta Corp. declined 16.9%, and the company ended the quarter with a market capitalization of C$3.31 billion.

The Calgary, Alberta-headquartered independent power producer hinted at possible project acquisitions in the U.S. amid an increase in demand for zero-carbon electricity and flagging performance in the company's natural gas segment.

TC Energy Corp. finished the quarter with a 16.6% negative return at C$55.64. Despite the decline, the company remained by far the largest company on the list with a market capitalization of C$56.30 billion.

The Calgary-headquartered energy infrastructure company said July 28 that it expects the 670-kilometer Coastal GasLink pipeline to cost C$11.2 billion, and to require an additional C$1.9 billion in capital.

Fortis Inc., the second largest Canadian energy company by market value, logged a share price decrease of 13.8%, ending the period with a market capitalization of C$25.12 billion.

Fortis subsidiary ITC Holdings Corp. suspended development activities for the C$1.7 billion Lake Erie Connector, between Ontario's Independent Electricity System Operator and PJM Interconnection LLC at a point in Pennsylvania, "due to recent macroeconomic conditions."

Algonquin Power & Utilities Corp. and TransAlta Renewables Inc. also saw double-digit declines in their stock prices during the quarter.

Among the top-performing Canadian power stocks in the third quarter, Solar Alliance Energy Inc. led with a gain in stock price of 58.3% to 10 Canadian cents, with a market capitalization of C$26.1 million.

Solar Alliance Energy President and CEO Myke Clark said the company was on track for a record year in commercial solar. The company expects that its C$4.3 million contracted backlog of projects will be completed and recognized as revenue by the end of 2022.

Northland Power Inc. logged an increase of 5.6% to C$40.45 and a market capitalization of C$9.72 billion as of Sept. 30.

The company raised its financial guidance for 2022 due largely to higher market prices in Europe and solid operational performance in the second quarter.

Capital Power Corp. saw a share price increase of 4.2%, finishing the quarter at C$46.90, with a market capitalization of C$5.48 billion.

Company executives anticipate Capital Power's natural gas strategy to receive a boost from "notable developments" including Canada's proposed framework for a clean energy standard.

Maxim Power Corp., Caribbean Utilities Co. Ltd. and Boralex Inc. also recorded positive returns in the three-month period ended Sept. 30.

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