TRGP vs. KMI, WMB, WES, TRP, AM, DTM, ET, EPD, CQP, and PBA
Should you be buying Targa Resources stock or one of its competitors? The main competitors of Targa Resources include Kinder Morgan (KMI), Williams Companies (WMB), Western Midstream Partners (WES), TC Energy (TRP), Antero Midstream (AM), DT Midstream (DTM), Energy Transfer (ET), Enterprise Products Partners (EPD), Cheniere Energy Partners (CQP), and Pembina Pipeline (PBA). These companies are all part of the "oils/energy" sector.
Kinder Morgan (NYSE:KMI) and Targa Resources (NYSE:TRGP) are both large-cap oils/energy companies, but which is the better business? We will compare the two companies based on the strength of their valuation, institutional ownership, analyst recommendations, risk, community ranking, profitability, dividends, earnings and media sentiment.
Kinder Morgan pays an annual dividend of $1.15 per share and has a dividend yield of 5.8%. Targa Resources pays an annual dividend of $3.00 per share and has a dividend yield of 2.5%. Kinder Morgan pays out 104.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Targa Resources pays out 61.7% of its earnings in the form of a dividend. Kinder Morgan has increased its dividend for 7 consecutive years and Targa Resources has increased its dividend for 3 consecutive years. Kinder Morgan is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
62.5% of Kinder Morgan shares are held by institutional investors. Comparatively, 92.1% of Targa Resources shares are held by institutional investors. 12.6% of Kinder Morgan shares are held by company insiders. Comparatively, 1.4% of Targa Resources shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Kinder Morgan has a net margin of 16.08% compared to Kinder Morgan's net margin of 6.86%. Kinder Morgan's return on equity of 24.41% beat Targa Resources' return on equity.
Kinder Morgan currently has a consensus target price of $20.20, suggesting a potential upside of 2.54%. Targa Resources has a consensus target price of $121.50, suggesting a potential upside of 3.25%. Given Kinder Morgan's stronger consensus rating and higher possible upside, analysts clearly believe Targa Resources is more favorable than Kinder Morgan.
Kinder Morgan has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500. Comparatively, Targa Resources has a beta of 2.19, indicating that its stock price is 119% more volatile than the S&P 500.
Kinder Morgan received 77 more outperform votes than Targa Resources when rated by MarketBeat users. However, 68.97% of users gave Targa Resources an outperform vote while only 66.97% of users gave Kinder Morgan an outperform vote.
Kinder Morgan has higher earnings, but lower revenue than Targa Resources. Kinder Morgan is trading at a lower price-to-earnings ratio than Targa Resources, indicating that it is currently the more affordable of the two stocks.
In the previous week, Kinder Morgan had 2 more articles in the media than Targa Resources. MarketBeat recorded 18 mentions for Kinder Morgan and 16 mentions for Targa Resources. Targa Resources' average media sentiment score of 0.94 beat Kinder Morgan's score of 0.79 indicating that Kinder Morgan is being referred to more favorably in the media.
Summary
Targa Resources beats Kinder Morgan on 12 of the 21 factors compared between the two stocks.
Get Targa Resources News Delivered to You Automatically
Sign up to receive the latest news and ratings for TRGP and its competitors with MarketBeat's FREE daily newsletter.
This chart shows the number of new MarketBeat users adding TRGP and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Targa Resources Competitors List
Related Companies and Tools
