TRGP Stock Analysis: Targa Resources | NYSE
Oil & Gas Midstream | NYSE, USA | Market Cap: 58.514m USD | 12M Return: 52.6% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 323M
EPS Trend: 97.8%
Qual. Beats: 0
Rev. Trend: 42.0%
Qual. Beats: -4
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Targa Resources Corp. (NYSE: TRGP) is a Houston-based midstream energy company that owns, operates, and develops natural gas, natural gas liquids (NGL), and crude oil infrastructure across the United States. It is organized into two reporting segments: Gathering and Processing, and Logistics and Transportation.
The Gathering and Processing segment handles the gathering, compression, treating, and processing of natural gas produced by upstream operators. The Logistics and Transportation segment focuses on the storage, fractionation, treatment, transportation, and marketing of NGLs and crude oil, along with natural gas marketing and resale activities. The company also trades propane and other NGL products and provides transportation services to refineries and petrochemical customers along the Gulf Coast.
Targa supports these activities with a range of owned and leased logistics assets, including railcars, tractors, vacuum trucks, and pressurized NGL barges, and it was incorporated in 2005 before going public in 2010. As a midstream operator, Targa sits between upstream hydrocarbon producers and downstream end-users such as petrochemical plants, refineries, LPG exporters, and retail fuel distributors, with NGLs broadly comprising ethane, propane, butane, and natural gasoline.
- Permian production growth drives gathering and processing volumes
- NGL export demand lifts Gulf Coast transportation margins
- Capital spending expands processing and pipeline capacity
| Net Income: 2.13b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA -1.84 > 1.0 |
| NWC/Revenue: -5.85% < 20% (prev -6.69%; Δ 0.85% < -1%) |
| CFO/TA 0.14 > 3% & CFO 3.70b > Net Income 2.13b |
| Net Debt (19.4b) to EBITDA (4.98b): 3.90 < 3 |
| Current Ratio: 0.72 > 1.5 & < 3 |
| Outstanding Shares: last quarter (215.0m) vs 12m ago -1.69% < -2% |
| Gross Margin: 29.88% > 18% (prev 21.92%; Δ 7.96% > 0.5%) |
| Asset Turnover: 65.63% > 50% (prev 73.52%; Δ -7.89% > 0%) |
| Interest Coverage Ratio: 3.85 > 6 (EBIT TTM 3.40b / Interest Expense TTM 883.3m) |
| A: -0.04 (Total Current Assets 2.44b - Total Current Liabilities 3.40b) / Total Assets 27.1b |
| B: 0.09 (Retained Earnings 2.56b / Total Assets 27.1b) |
| C: 0.14 (EBIT TTM 3.40b / Avg Total Assets 25.0b) |
| D: 0.13 (Book Value of Equity 3.14b / Total Liabilities 23.8b) |
| Altman-Z'' = 1.13 = BB |
| DSRI: 1.23 (Receivables 1.69b/1.40b, Revenue 16.4b/16.8b) |
| GMI: 0.73 (GM 21.92% / 29.88%) |
| AQI: 1.05 (AQ_t 0.11 / AQ_t-1 0.10) |
| SGI: 0.98 (Revenue 16.4b / 16.8b) |
| TATA: -0.06 (NI 2.13b - CFO 3.70b) / TA 27.1b) |
| Beneish M = -3.07 (Cap -4..+1) = AA |
As of July 04, 2026, the stock is trading at USD 258.88 with a total of 1,791,800 shares traded. Over the past week, the price has changed by -5.33%, over one month by -1.45%, over three months by +5.92% and over the past year by +52.60%.
Current recommended Stop Loss: 246.50 (which is 4.8% or 1.7 ATR below the current price).
Targa Resources has received a consensus analysts rating of 4.45. Therefore, it is recommended to buy TRGP.
- StrongBuy: 13
- Buy: 6
- Hold: 3
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 285.7 | 10.4% |
P/E Trailing = 27.8458
P/E Forward = 25.0627
P/S = 3.5331
P/B = 18.6559
P/EG = 1.0957
Revenue TTM = 16.4b USD
EBIT TTM = 3.40b USD
EBITDA TTM = 4.98b USD
Long Term Debt = 18.2b USD (from longTermDebt, last quarter)
Short Term Debt = 696.9m USD (from shortTermDebt, last quarter)
Debt = 19.5b USD (from shortLongTermDebtTotal, last quarter) + Leases 346.5m
Net Debt = 19.4b USD (calculated: Debt 19.5b - CCE 100.1m)
Enterprise Value = 77.9b USD (58.5b + Debt 19.5b - CCE 100.1m)
Interest Coverage Ratio = 3.85 (Ebit TTM 3.40b / Interest Expense TTM 883.3m)
EV/FCF = 297.4x (Enterprise Value 77.9b / FCF TTM 261.9m)
FCF Yield = 0.34% (FCF TTM 261.9m / Enterprise Value 77.9b)
FCF Margin = 1.60% (FCF TTM 261.9m / Revenue TTM 16.4b)
Net Margin = 12.98% (Net Income TTM 2.13b / Revenue TTM 16.4b)
Gross Margin = 29.88% ((Revenue TTM 16.4b - Cost of Revenue TTM 11.5b) / Revenue TTM)
Gross Margin QoQ = 31.12% (prev 43.10%)
Tobins Q-Ratio = 2.87 (Enterprise Value 77.9b / Total Assets 27.1b)
Interest Expense / Debt = 4.53% (Interest Expense 883.3m / Debt 19.5b)
Taxrate = 21.17% (581.4m / 2.75b)
NOPAT = 2.68b (EBIT 3.40b * (1 - 21.17%))
Current Ratio = 0.72 (Total Current Assets 2.44b / Total Current Liabilities 3.40b)
Debt / Equity = 6.21 (Debt 19.5b / totalStockholderEquity, last quarter 3.14b)
Debt / EBITDA = 3.90 (Net Debt 19.4b / EBITDA 4.98b)
Debt / FCF = 73.99 (Net Debt 19.4b / FCF TTM 261.9m)
Total Stockholder Equity = 2.87b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.52% (Net Income 2.13b / Total Assets 27.1b)
RoE = 73.92% (Net Income TTM 2.13b / Total Stockholder Equity 2.87b)
RoCE = 16.15% (EBIT 3.40b / Capital Employed (Equity 2.87b + L.T.Debt 18.2b))
RoIC = 11.03% (NOPAT 2.68b / Invested Capital 24.3b)
WACC = 6.98% (E(58.5b)/V(78.0b) * Re(8.11%) + D(19.5b)/V(78.0b) * Rd(4.53%) * (1-Tc(0.21)))
Discount Rate = 8.11% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -85.40 | Cagr: -1.60%
[DCF] Terminal Value 73.10% ; FCFF base≈412.9m ; Y1≈362.1m ; Y5≈292.6m
[DCF] Fair Price = N/A (negative equity: EV 4.70b - Net Debt 19.4b = -14.7b; debt exceeds intrinsic value)
EPS Correlation: 97.79 | EPS CAGR: 49.29% | SUE: -0.75 | # QB: 0
Revenue Correlation: 41.96 | Revenue CAGR: 1.76% | SUE: -1.35 | # QB: -4
EPS current Quarter (2026-06-30): EPS=2.76 | Chg30d=-0.37% | Revisions=+57% | Analysts=5
EPS next Quarter (2026-09-30): EPS=2.87 | Chg30d=-0.49% | Revisions=+57% | Analysts=5
EPS current Year (2026-12-31): EPS=11.35 | Chg30d=+0.21% | Revisions=+62% | GrowthEPS=+26.1% | GrowthRev=+17.8%
EPS next Year (2027-12-31): EPS=12.33 | Chg30d=+3.22% | Revisions=+44% | GrowthEPS=+8.7% | GrowthRev=+13.6%
[Analyst] Revisions Ratio: +77% (up=18, down=1)