Targa Resources (TRGP) Stock Price, News & Analysis

Company Overview

Targa Resources Corp., together with its subsidiary, Targa Resources Partners LP, owns, operates, acquires, and develops a portfolio of complementary domestic midstream infrastructure assets in North America. It operates in two segments, Gathering and Processing, and Logistics and Transportation. The company is involved in gathering, compressing, treating, processing, transporting, and selling natural gas; storing, fractionating, treating, transporting, and selling natural gas liquids (NGL) and NGL products, including services to liquefied petroleum gas exporters; and gathering, storing, terminaling, purchasing, and selling crude oil. It is also involved in the purchase and resale of NGL products; and sale of propane, as well as provision of related logistics services to multi-state retailers, independent retailers, and other end-users. In addition, the company offers NGL balancing services; and transportation services to refineries and petrochemical companies in the Gulf Coast area, as well as purchases, markets, and resells natural gas. As of December 31, 2023, it leased and managed approximately 605 railcars; 137 tractors; and 6 vacuum trucks and 2 pressurized NGL barges. Targa Resources Corp. was incorporated in 2005 and is headquartered in Houston, Texas.

Key Stats

• Today's Range: $201.22 to $205.20
• 50-Day Range: $144.72 to $203.62
• 52-Week Range: $81.03 to $205.20
• Volume: 1.37 million shs
• Average Volume: 1.65 million shs
• Market Capitalization: $44.22 billion
• P/E Ratio: 36.67
• Dividend Yield: 1.48%
• Price Target: $176.50
• Consensus Rating: Buy

Targa Resources Stock Analysis - MarketRank™

Targa Resources scored higher than 94% of companies evaluated by MarketBeat, and ranked 19th out of 264 stocks in the oils/energy sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 2.5 / 5
• Analyst Rating: Buy

Consensus Rating

Targa Resources has received a consensus rating of Buy. The company's average rating score is 3.07, and is based on 13 buy ratings, no hold ratings, and no sell ratings.

Amount of Analyst Coverage

Targa Resources has been the subject of 10 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 3.8 / 5
• Proj. Earnings Growth: 30.50%

Earnings Growth

Earnings for Targa Resources are expected to grow by 30.50% in the coming year, from $6.23 to $8.13 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Targa Resources is 36.67, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 134.38.

Price to Earnings Ratio vs. Sector

The P/E ratio of Targa Resources is 36.67, which means that it is trading at a more expensive P/E ratio than the Oils/Energy sector average P/E ratio of about 17.29.

Price to Earnings Growth Ratio

Targa Resources has a PEG Ratio of 0.78. PEG Ratios below 1 indicate that a company could be undervalued.

Price to Book Value per Share Ratio

Targa Resources has a P/B Ratio of 9.81. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 3.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.63% of the float of Targa Resources has been sold short.

Short Interest Ratio / Days to Cover

Targa Resources has a short interest ratio ("days to cover") of 2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Targa Resources has recently increased by 3.24%, indicating that investor sentiment is decreasing.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

Targa Resources pays a meaningful dividend of 1.51%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Targa Resources does not have a long track record of dividend growth.

Dividend Coverage

The dividend payout ratio of Targa Resources is 54.25%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Targa Resources will have a dividend payout ratio of 36.90% next year. This indicates that Targa Resources will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 0.0 / 5
• Environmental Score: -7.39

Percentage of Shares Shorted

1.63% of the float of Targa Resources has been sold short.

Short Interest Ratio / Days to Cover

Targa Resources has a short interest ratio ("days to cover") of 2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Targa Resources has recently increased by 3.24%, indicating that investor sentiment is decreasing.

News and Social Media

• Score: 3.9 / 5
• News Sentiment: 1.06

News Sentiment

Targa Resources has a news sentiment score of 1.06. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.65 average news sentiment score of Oils/Energy companies.

News Coverage This Week

MarketBeat has tracked 28 news articles for Targa Resources this week, compared to 9 articles on an average week.

Search Interest

34 people have searched for TRGP on MarketBeat in the last 30 days. This is an increase of 89% compared to the previous 30 days.

MarketBeat Follows

26 people have added Targa Resources to their MarketBeat watchlist in the last 30 days. This is an increase of 225% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Targa Resources insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $30,026,712.00 in company stock.

Percentage Held by Insiders

Only 1.39% of the stock of Targa Resources is held by insiders.

Percentage Held by Institutions

92.13% of the stock of Targa Resources is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

TRGP Stock Analysis - Frequently Asked Questions

How have TRGP shares performed this year?

Targa Resources' stock was trading at $86.87 at the start of the year. Since then, TRGP stock has increased by 133.4% and is now trading at $202.79.
View the best growth stocks for 2024 here.

How were Targa Resources' earnings last quarter?

Targa Resources Corp. (NYSE:TRGP) released its quarterly earnings data on Tuesday, November, 5th. The pipeline company reported $1.75 earnings per share for the quarter, topping the consensus estimate of $1.58 by $0.17. The pipeline company earned $3.85 billion during the quarter, compared to the consensus estimate of $4.24 billion. Targa Resources had a trailing twelve-month return on equity of 27.59% and a net margin of 7.65%.

Who are Targa Resources' major shareholders?

Top institutional investors of Targa Resources include Wellington Management Group LLP (6.93%), State Street Corp (6.58%), Geode Capital Management LLC (2.62%) and FMR LLC (1.35%). Insiders that own company stock include Paul W Chung, Jennifer R Kneale, Robert Muraro, G Clark White, Joe Bob Perkins, Charles R Crisp, D Scott Pryor, Regina Gregory, Julie H Boushka, Gerald R Shrader, Ershel C Redd Jr and Rene R Joyce.
View institutional ownership trends.

How do I buy shares of Targa Resources?

Shares of TRGP stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Targa Resources own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Targa Resources investors own include NVIDIA (NVDA), Meta Platforms (META), Broadcom (AVGO), Advanced Micro Devices (AMD), Adobe (ADBE), Arista Networks (ANET) and ServiceNow (NOW).

Company Calendar

• Ex-Dividend for 11/15 Dividend: 10/31/2024
• Last Earnings: 11/05/2024
• Dividend Payable: 11/15/2024
• Today: 11/20/2024
• Fiscal Year End: 12/31/2024
• Next Earnings (Estimated): 2/20/2025

Industry, Sector and Symbol

• Stock Exchange: NYSE
• Sector: Oils/Energy
• Industry: Natural gas transmission
• Sub-Industry: Oil & Gas Storage & Transportation
• Current Symbol: NYSE:TRGP
• CUSIP: 87612G10
• CIK: 1389170
• Web: www.targaresources.com
• Phone: (713) 584-1000
• Fax: 713-584-1100
• Employees: 3,182
• Year Founded: N/A

Price Target and Rating

• Average Stock Price Target: $176.50
• High Stock Price Target: $246.00
• Low Stock Price Target: $112.00
• Potential Upside/Downside: -13.0%
• Consensus Rating: Buy
• Rating Score (0-4): 3.07
• Research Coverage: 14 Analysts

Profitability

• EPS (Most Recent Fiscal Year): $5.53
• Trailing P/E Ratio: 36.67
• Forward P/E Ratio: 32.55
• P/E Growth: 0.78
• Net Income: $828.20 million
• Net Margins: 7.65%
• Pretax Margin: 11.56%
• Return on Equity: 27.59%
• Return on Assets: 5.86%

Debt

• Debt-to-Equity Ratio: 3.05
• Current Ratio: 0.77
• Quick Ratio: 0.61

Sales & Book Value

• Annual Sales: $16.06 billion
• Price / Sales: 2.75
• Cash Flow: $10.11 per share
• Price / Cash Flow: 20.06
• Book Value: $20.67 per share
• Price / Book: 9.81

Miscellaneous

• Outstanding Shares: 218,060,000
• Free Float: 214,923,000
• Market Cap: $44.22 billion
• Optionable: Optionable
• Beta: 2.24