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Teekay Corporation (TK)
NYSE:TK
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Teekay (TK) AI Stock Analysis

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TK

Teekay

(NYSE:TK)

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Outperform 75 (OpenAI - 5.2)
Rating:75Outperform
Price Target:
$13.00
▲(16.18% Upside)
Action:Reiterated
Date:07/31/26
The score is driven primarily by solid financial strength (notably the strengthened balance sheet) and an exceptionally positive earnings call pointing to strong near-term earnings/cash generation. Offsetting these positives are mixed recent financial trends (margin compression and weaker free cash flow versus prior peaks) and a technically uneven setup with price below key intermediate moving averages.
Positive Factors
Balance Sheet Strength
Teekay's very low debt-to-equity and materially delevered balance sheet provide durable financial flexibility. That structural strength reduces refinancing risk, supports dividends and fleet investment, and allows the company to withstand tanker-cycle troughs without forcing asset sales.
Negative Factors
Revenue Decline Trend
Consecutive annual revenue declines suggest the company remains exposed to adverse tanker demand or mix shifts. Over a 2-6 month horizon this trend can pressure scale-dependent margins and reduce the durability of current earnings absent sustained rate improvements or higher contract coverage.
Read all positive and negative factors
Positive Factors
Negative Factors
Balance Sheet Strength
Teekay's very low debt-to-equity and materially delevered balance sheet provide durable financial flexibility. That structural strength reduces refinancing risk, supports dividends and fleet investment, and allows the company to withstand tanker-cycle troughs without forcing asset sales.
Read all positive factors

Teekay (TK) vs. SPDR S&P 500 ETF (SPY)

Teekay Business Overview & Revenue Model

Company Description
Teekay Corporation specializes in global marine transportation, primarily handling crude oil and various other maritime cargo. The company offers a wide range of services, including ship-to-ship transfers for the oil, gas, and dry bulk industries,...
How the Company Makes Money
Teekay Corporation’s earnings are primarily tied to the economic performance of its ownership stake in Teekay Tankers Ltd. As a holding company, Teekay’s cash generation typically comes from distributions/dividends and changes in the value of its ...

Teekay Earnings Call Summary

Earnings Call Date:Jul 29, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 29, 2026
Earnings Call Sentiment Positive
The call emphasized exceptionally strong near-term financial and operational performance — record adjusted net income, record spot rates, substantial free cash flow, a debt-free balance sheet and active fleet renewal — which materially strengthen Teekay Tankers' financial flexibility and shareholder optionality. However, material risks were highlighted: significant geopolitical disruptions that are creating routing inefficiencies and volatility, inventory and demand timing uncertainty, short-term off-hire impacts from dry-docking, and potential longer-term fleet supply risks from a swollen order book. On balance, the company's strong earnings, cash generation and balance sheet position outweigh the operational and market risks discussed.
Positive Updates
Record Quarterly Earnings
GAAP net income of $226 million ($6.49/share) and adjusted net income of $194 million ($5.56/share) in Q2 2026 — adjusted net income was 50% higher than the prior quarter and marks the company's highest ever quarterly adjusted net income.
Negative Updates
Aframax Mid-Quarter Softening and Volatility
Aframax rates softened mid-quarter due to a buildup of tonnage in the Atlantic and lack of arbitrage opportunities, causing a divergence versus Suezmax and VLCC segments before rates strengthened again in July.
Read all updates
Q2-2026 Updates
Negative
Record Quarterly Earnings
GAAP net income of $226 million ($6.49/share) and adjusted net income of $194 million ($5.56/share) in Q2 2026 — adjusted net income was 50% higher than the prior quarter and marks the company's highest ever quarterly adjusted net income.
Read all positive updates
Company Guidance
Guidance highlights: for Q3 Teekay Tankers has ~44% of spot days booked at secured rates of $104,800/day (Suezmax) and $59,900/day (Aframax LR2); management expects ~260 off‑hire drydock days in Q3, OpEx and G&A to be ~$3m lower versus Q2 with slightly lower tax expense, and the July VLCC sale of $84.5m is expected to produce a ~$23m gain in Q3; the company declared its regular quarterly dividend of $0.25/share and closed Q2 with GAAP net income of $226m ($6.49/share), adjusted net income of $194m ($5.56/share), ~ $200m free cash flow from operations in Q2, an annualized H1 free cash flow run‑rate of $684m (nearly $20/share), cash > $1.2bn and no debt, and a free cash flow breakeven of ≈$9,700/day—while continuing fleet renewal (two Suezmax newbuilds for $190m delivering 2027; one 2009 Suezmax sold for $53.5m with a $32.3m gain in Q2; nine older vessels sold for $369.5m with $125m combined gains over the past 12 months; seven modern vessels acquired/committed for ≈$427m).

Teekay Financial Statement Overview

Summary
Fundamentals are supported by a very strong balance sheet (material deleveraging to very low debt-to-equity) and continued profitability, but the quality of the recent trajectory is mixed: revenues have declined over the last two years, margins have compressed from prior highs, and free cash flow fell sharply in the latest year, indicating a more cyclical/normalized run-rate despite solid earnings quality.
Income Statement
74
Positive
Balance Sheet
88
Very Positive
Cash Flow
66
Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue1.00B949.52M1.22B1.46B1.19B682.51M
Gross Profit436.42M261.40M393.86M580.63M293.03M-49.73M
EBITDA382.38M436.93M503.15M655.14M348.67M-107.93M
Net Income175.63M98.11M133.77M150.64M78.41M7.81M
Balance Sheet
Total Assets0.002.40B2.15B2.20B2.16B6.53B
Cash, Cash Equivalents and Short-Term Investments972.74M973.43M717.77M652.68M519.86M120.99M
Total Debt0.0046.38M65.55M227.20M610.16M1.02B
Total Liabilities-2.16B234.22M217.95M396.29M795.24M4.10B
Stockholders Equity2.16B724.53M709.76M732.28M623.46M515.05M
Cash Flow
Free Cash Flow113.31M108.51M391.84M619.62M183.72M54.54M
Operating Cash Flow243.56M301.77M467.19M629.82M199.15M75.99M
Investing Cash Flow-42.49M80.43M157.50M54.66M308.98M7.17M
Financing Cash Flow-136.86M-129.77M-416.45M-520.41M-456.95M-223.53M

Teekay Technical Analysis

Technical Analysis Sentiment
Positive
Last Price11.19
Price Trends
50DMA
11.46
Positive
100DMA
12.04
Negative
200DMA
11.03
Positive
Market Momentum
MACD
0.01
Negative
RSI
57.79
Neutral
STOCH
79.28
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TK, the sentiment is Positive. The current price of 11.19 is above the 20-day moving average (MA) of 11.03, below the 50-day MA of 11.46, and above the 200-day MA of 11.03, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 57.79 is Neutral, neither overbought nor oversold. The STOCH value of 79.28 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TK.

Teekay Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
84
Outperform
$2.75B4.6627.73%2.64%19.33%110.30%
75
Outperform
$1.01B5.5726.95%15.98%130.80%
75
Outperform
$1.38B13.638.94%1.20%-1.33%28.23%
74
Outperform
$1.18B2.9711.48%5.08%6.89%36.71%
71
Outperform
$1.66B22.2910.36%9.72%-4.20%-26.95%
65
Neutral
$15.17B7.614.09%5.20%3.87%-62.32%
* Energy Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TK
Teekay
11.79
4.25
56.37%
TNK
Teekay Tankers
80.48
35.92
80.61%
TEN
Tsakos Energy Navigation
39.61
20.83
110.94%
NVGS
Navigator Holdings
21.80
6.32
40.78%
MARPS
Marine Petroleum
4.75
0.58
13.85%
FLNG
FLEX LNG
30.83
8.10
35.63%

Teekay Corporate Events

Teekay Posts Record Tanker Earnings and Boosts Fleet in Strong Q2 2026 Market
Jul 29, 2026
For the three months ended June 30, 2026, Teekay reported U.S. GAAP net income attributable to shareholders of $69.5 million, or $0.79 per share, as consolidated revenues rose to $379.1 million and income from operations reached $220.8 million. Th...
Teekay Boosts Special Dividends as Tanker Fleet Renewal Lifts Q1 2026 Results
May 13, 2026
For the first quarter of 2026, Teekay Corporation reported U.S. GAAP net income attributable to shareholders of $47.7 million, or $0.55 per share, reflecting higher revenues and income from operations compared with both the previous quarter and th...
Teekay Sets June 16, 2026 AGM and Files 2026 Proxy with SEC
May 6, 2026
Teekay Corporation Ltd. has filed a Form 6-K with the U.S. Securities and Exchange Commission dated May 6, 2026, furnishing its 2026 proxy statement and linking it to a previously filed Form S-8 registration statement. The filing underscores Teeka...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 31, 2026