TRGP Stock Analysis: Targa Resources | NYSE
Oil & Gas Midstream | NYSE, USA | Market Cap: 61.627m USD | 12M Return: 81.6% | US87612G1013 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 325M
EPS Trend: 98.6%
Qual. Beats: 1
Rev. Trend: 75.6%
Qual. Beats: -5
Warnings
No concerns identified
Tailwinds
Seasonality 11.7 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 and operates a portfolio of domestic infrastructure assets across North America. It is organized into two segments: Gathering and Processing, and Logistics and Transportation.
The companys operations span the natural gas and natural gas liquids (NGL) value chain, including gathering, compression, treating, processing, transportation, storage, fractionation, and marketing. It also handles crude oil gathering, terminaling, and sales, and provides NGL balancing services. Customers include liquefied petroleum gas exporters, multi-state and independent retailers, refineries, and petrochemical companies, primarily along the Gulf Coast. The company also leases and owns railcars, tractors, vacuum trucks, and pressurized NGL barges to support its logistics activities.
Within the broader energy sector, Targa operates in the midstream segment, which focuses on the transportation, storage, and processing of hydrocarbons rather than upstream exploration and production. Its NGL fractionation services separate mixed NGL streams into individual products such as ethane, propane, and butane, which are key feedstocks for petrochemical and heating markets. The company was incorporated in 2005 and trades as a large-cap stock in the Oil & Gas Storage & Transportation sub-industry.
- Permian and Eagle Ford gas processing volumes drive segment growth
- NGL fractionation margins expand with Gulf Coast export demand
- Major pipeline projects boost Logistics and Transportation capacity revenue
| Net Income: 2.26b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA 0.78 > 1.0 |
| NWC/Revenue: -4.66% < 20% (prev -5.65%; Δ 0.99% < -1%) |
| CFO/TA 0.15 > 3% & CFO 4.29b > Net Income 2.26b |
| Net Debt (20.8b) to EBITDA (4.80b): 4.33 < 3 |
| Current Ratio: 0.77 > 1.5 & < 3 |
| Outstanding Shares: last quarter (215.0m) vs 12m ago -1.06% < -2% |
| Gross Margin: 36.56% > 18% (prev 22.05%; Δ 14.51% > 0.5%) |
| Asset Turnover: 64.55% > 50% (prev 73.02%; Δ -8.47% > 0%) |
| Interest Coverage Ratio: 3.49 > 6 (EBIT TTM 3.15b / Interest Expense TTM 901.5m) |
| A: -0.03 (Total Current Assets 2.63b - Total Current Liabilities 3.41b) / Total Assets 28.5b |
| B: 0.11 (Retained Earnings 3.05b / Total Assets 28.5b) |
| C: 0.12 (EBIT TTM 3.15b / Avg Total Assets 26.0b) |
| D: 0.15 (Book Value of Equity 3.66b / Total Liabilities 24.7b) |
| Altman-Z'' = 1.14 = BB |
| DSRI: 1.42 (Receivables 1.95b/1.41b, Revenue 16.8b/17.2b) |
| GMI: 0.60 (GM 22.05% / 36.56%) |
| AQI: 1.02 (AQ_t 0.10 / AQ_t-1 0.10) |
| SGI: 0.98 (Revenue 16.8b / 17.2b) |
| TATA: -0.07 (NI 2.26b - CFO 4.29b) / TA 28.5b) |
| Beneish M = -3.05 (Cap -4..+1) = AA |
As of October 11, 2026, the stock is trading at USD 286.70 with a total of 791,601 shares traded. Over the past week, the price has changed by +1.76%, over one month by -1.61%, over three months by +5.50% and over the past year by +81.57%.
Current recommended Stop Loss: 272.60 (which is 4.9% or 1.9 ATR below the current price).
Targa Resources has received a consensus analysts rating of 4.64. Therefore, it is recommended to buy TRGP.
- StrongBuy: 15
- Buy: 6
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 325.1 | 13.4% |
P/E Trailing = 26.9353
P/E Forward = 23.2019
P/S = 3.6811
P/B = 16.5968
P/EG = 1.2282
Revenue TTM = 16.8b USD
EBIT TTM = 3.15b USD
EBITDA TTM = 4.80b USD
Long Term Debt = 18.3b USD (from longTermDebt, last quarter)
Short Term Debt = 558.0m USD (from shortTermDebt, last quarter)
Debt = 20.9b USD (from shortLongTermDebtTotal, last quarter) + Leases 794.1m
Net Debt = 20.8b USD (calculated: Debt 20.9b - CCE 132.3m)
Enterprise Value = 82.4b USD (61.6b + Debt 20.9b - CCE 132.3m)
Interest Coverage Ratio = 3.49 (Ebit TTM 3.15b / Interest Expense TTM 901.5m)
EV/FCF = 111.3x (Enterprise Value 82.4b / FCF TTM 740.9m)
FCF Yield = 0.90% (FCF TTM 740.9m / Enterprise Value 82.4b)
FCF Margin = 4.41% (FCF TTM 740.9m / Revenue TTM 16.8b)
Net Margin = 13.49% (Net Income TTM 2.26b / Revenue TTM 16.8b)
Gross Margin = 36.56% ((Revenue TTM 16.8b - Cost of Revenue TTM 10.7b) / Revenue TTM)
Gross Margin QoQ = 48.15% (prev 31.12%)
Tobins Q-Ratio = 2.89 (Enterprise Value 82.4b / Total Assets 28.5b)
Interest Expense / Debt = 4.31% (Interest Expense 901.5m / Debt 20.9b)
Taxrate = 6.87% (170.1m / 2.47b)
NOPAT = 2.93b (EBIT 3.15b * (1 - 6.87%))
Current Ratio = 0.77 (Total Current Assets 2.63b / Total Current Liabilities 3.41b)
Debt / Equity = 5.72 (Debt 20.9b / totalStockholderEquity, last quarter 3.66b)
Debt / EBITDA = 4.33 (Net Debt 20.8b / EBITDA 4.80b)
Debt / FCF = 28.07 (Net Debt 20.8b / FCF TTM 740.9m)
Total Stockholder Equity = 3.14b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.71% (Net Income 2.26b / Total Assets 28.5b)
RoE = 72.08% (Net Income TTM 2.26b / Total Stockholder Equity 3.14b)
RoCE = 14.66% (EBIT 3.15b / Capital Employed (Equity 3.14b + L.T.Debt 18.3b))
RoIC = 11.49% (NOPAT 2.93b / Invested Capital 25.5b)
WACC = 6.92% (E(61.6b)/V(82.6b) * Re(7.91%) + D(20.9b)/V(82.6b) * Rd(4.31%) * (1-Tc(0.07)))
Discount Rate = 7.91% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -96.39 | Cagr: -1.75%
[DCF] Terminal Value 77.97% ; FCFF base≈615.5m ; Y1≈705.6m ; Y5≈1.04b
[DCF] Fair Price = N/A (negative equity: EV 15.6b - Net Debt 20.8b = -5.17b; debt exceeds intrinsic value)
EPS Correlation: 98.63 | EPS CAGR: 52.43% | SUE: 2.06 | # QB: 1
Revenue Correlation: 75.57 | Revenue CAGR: 2.92% | SUE: -1.26 | # QB: -5
EPS current Quarter (2026-09-30): EPS=2.82 | Chg30d=+1.38% | Revisions=+17% | Analysts=3
EPS current Year (2026-12-31): EPS=11.50 | Chg30d=+2.59% | Revisions=+57% | GrowthEPS=+27.8% | GrowthRev=+11.3%
EPS next Year (2027-12-31): EPS=12.08 | Chg30d=+1.25% | Revisions=+38% | GrowthEPS=+5.1% | GrowthRev=+25.6%
[Analyst] Revisions Ratio: +53% (up=10, down=2)