TRGP - Targa Resources Corp.

Stock Details

Targa Resources Corp. (TRGP), a prominent company in the energy & transportation sector within the natural gas transmission industry, is based in USA and primarily trades on the NYSE.Currently, the stock is trading at $165.67. Over the past 52 weeks, it has ranged between $120.88 and $216.49. This places the current price at 76.5% of its 52-week high and 37.1% above its 52-week low. Recent trading volume was recorded at 1,280,949. The International Securities Identification Number (ISIN) for this stock is US87612G1013.

Fundamentals

Valuation Metrics

P/E Ratio (TTM)

32.17

Above market average

Forward P/E

21.41

Earnings expected to grow

PEG Ratio

1.44

Reasonably valued

Price to Book

15.43

EV/EBITDA

13.28

EPS (TTM)

$5.42

Price to Sales

2.31

Beta

1.07

Similar volatility to market

How is TRGP valued relative to its earnings and growth?

Targa Resources Corp. trades at a P/E ratio of 32.17, which is above the market average of approximately 20. This premium valuation suggests investors expect above-average growth or the company has competitive advantages justifying the higher multiple. Looking ahead, the forward P/E of 21.41 is lower than the current P/E, indicating analysts expect earnings to grow over the next year. The PEG ratio of 1.44 indicates reasonable value when growth is considered.

What is TRGP's risk profile compared to the market?

With a beta of 1.07, Targa Resources Corp. is roughly as volatile as the market, moving in line with broad market trends. This moderate beta suggests the stock offers market-level returns without excessive volatility. The price-to-book ratio of 15.43 shows investors value the company above its book value, which often reflects intangible assets or growth prospects.

Performance & Growth

Profit Margin

7.98%

Operating Margin

11.90%

Return on Equity

42.00%

Return on Assets

7.44%

Revenue Growth (YoY)

0.00%

Earnings Growth (YoY)

-25.40%

How profitable and efficient is TRGP's business model?

Targa Resources Corp. achieves a profit margin of 7.98%, meaning it retains $7.98 from every $100 in revenue after all expenses. This relatively low margin suggests the company operates in a competitive environment or high-cost industry where profitability is challenging. The operating margin of 11.90% reveals how efficiently the company runs its core business operations before interest and taxes. With ROE at 42.00% and ROA at 7.44%, the company generates strong returns on invested capital.

What are TRGP's recent growth trends?

0 Earnings decreased by 25.40% year-over-year, reflecting the bottom-line impact of business performance. These growth metrics should be evaluated against NATURAL GAS TRANSMISSION industry averages for proper context.

Dividend Information

Dividend Per Share

$3.25

Dividend Yield

2.29%

Ex-Dividend Date

4/30/2025

Dividend Date

5/15/2025

What dividend income can investors expect from TRGP?

Targa Resources Corp. offers a dividend yield of 2.29%, paying $3.25 per share annually. This above-average yield of 2-4% provides meaningful income while still allowing the company to reinvest for growth. It compares favorably to the S&P 500 average and offers competitive returns versus bonds in the current rate environment. To receive the next dividend, shares must be purchased before the ex-dividend date of 4/30/2025.

How reliable is TRGP's dividend for long-term investors?

The dividend sustainability can be assessed through the payout ratio - Targa Resources Corp. pays $3.25 per share in dividends against earnings of $5.42 per share, resulting in a payout ratio of 59.96%. This balanced payout between 30-60% suggests a sustainable dividend policy that allows both shareholder returns and business reinvestment. The dividend appears well-covered by earnings. The next dividend payment is scheduled for 5/15/2025.

Company Size & Market

Shares Outstanding

216.93M

Book Value/Share

$11.27

Asset Type

Common Stock

What is TRGP's market capitalization and position?

Targa Resources Corp. has a market capitalization of $37.83B, classifying it as a large-cap stock ($10B-$200B). Large-caps are typically industry leaders with established business models, offering a balance of stability and growth potential. They often provide dividend income and are core holdings in institutional portfolios. With 216.93M shares outstanding, the company's ownership is relatively concentrated. As a participant in the NATURAL GAS TRANSMISSION industry, it competes with other firms in this sector.

How does TRGP's price compare to its book value?

Targa Resources Corp.'s book value per share is $11.27, while the current stock price is $165.67, resulting in a price-to-book (P/B) ratio of 14.70. This high P/B ratio indicates significant intangible assets, strong brand value, or high growth expectations. Technology and consumer brand companies often trade at elevated P/B ratios due to intellectual property and competitive advantages not reflected on the balance sheet. As a common stock, this represents equity ownership with voting rights.

Analyst Ratings

Analyst Target Price

$202.13

22.01% upside potential

Analyst Recommendations

Strong Buy

Buy

Hold

Sell

Strong Sell

How reliable are analyst predictions for TRGP?

22 analysts cover TRGP with 95% recommending buy/strong buy ratings. Analyst predictions have mixed reliability - studies show consensus rarely beats market returns consistently. The strong bullish consensus may already be priced in. The consensus target of $202.13 implies 22.0% upside, but targets are often adjusted to follow price moves rather than predict them.

What is the Wall Street consensus on TRGP?

Current analyst recommendations:7 Strong Buy, 14 Buy, 1 Hold, 00The bullish tilt suggests optimism about future prospects, though investors should conduct independent research.Remember that analyst opinions often lag price movements and can be influenced by investment banking relationships.

Fundamentals last updated: Jul 1, 2025, 02:00 AM

Targa Resources Corp. (TRGP) Stock