Here is Why Teekay Corporation (TK) Gained This Week

The share price of Teekay Corporation Ltd. (NYSE:TK) surged by 3.58% between May 14 and May 21, 2025, putting it among the Energy Stocks that Gained the Most This Week. Let’s shed some light on the development.

Based in Bermuda, Teekay Corporation Ltd. (NYSE:TK) is one of the largest marine energy transportation, storage, and production companies in the world.

The share price of Teekay Corporation Ltd. (NYSE:TK) surged after the company reported results for its Q1 2025 this month. Investors reacted positively after TK announced a one-time special cash dividend of $1 per common share, in addition to its regular quarterly fixed dividend of $0.25 per share. Moreover, the company revealed that it repurchased $4.2 million worth of its shares during the first quarter, with approximately $28.1 million still remaining in its stock buyback program.

However, Teekay Corporation Ltd. (NYSE:TK)’s revenue fell by 36.7% YoY to $231.15 million in Q1, with its EPS also plunging by over 71% compared to the same period last year. The company revealed that it is working on a fleet renewal program, which includes selling older vessels and acquiring modern ones. Since the beginning of 2025, TK has sold six vessels for total gross proceeds of approximately $183 million, or a total expected accounting gain on sale of approximately $53 million.

While we acknowledge the potential of TK to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than TK but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.

READ NEXT: 10 Cheap Energy Stocks to Buy Now and 10 Most Undervalued Energy Stocks to Buy According to Hedge Funds

Disclosure: None.