Brokerages Set Targa Resources, Inc. (NYSE:TRGP) Target Price at $297.18

Targa Resources, Inc. (NYSE:TRGP) has been given a consensus recommendation of “Buy” by the nineteen analysts that are covering the stock, Marketbeat.com reports. One research analyst has rated the stock with a hold recommendation, seventeen have issued a buy recommendation and one has given a strong buy recommendation to the company. The average 12 month price objective among brokerages that have issued a report on the stock in the last year is $297.1765.

A number of research firms recently weighed in on TRGP. Morgan Stanley boosted their price target on shares of Targa Resources from $333.00 to $343.00 and gave the stock an “overweight” rating in a research note on Tuesday, August 18th. Jefferies Financial Group upped their target price on shares of Targa Resources from $324.00 to $345.00 and gave the company a “buy” rating in a research report on Tuesday, August 18th. Wolfe Research set a $335.00 price target on Targa Resources in a research report on Friday, August 7th. UBS Group reaffirmed a “buy” rating and set a $318.00 price objective on shares of Targa Resources in a research note on Thursday, July 9th. Finally, Seaport Research Partners reiterated a “neutral” rating on shares of Targa Resources in a report on Monday, May 4th.

Targa Resources Trading Up 2.6%

Shares of TRGP opened at $294.38 on Monday. The stock’s fifty day simple moving average is $273.84 and its 200-day simple moving average is $256.34. The firm has a market capitalization of $63.12 billion, a PE ratio of 28.14, a price-to-earnings-growth ratio of 1.37 and a beta of 0.72. Targa Resources has a 12-month low of $144.14 and a 12-month high of $307.94. The company has a quick ratio of 0.68, a current ratio of 0.77 and a debt-to-equity ratio of 5.01.

Targa Resources (NYSE:TRGP) last announced its quarterly earnings data on Thursday, August 6th. The pipeline company reported $3.54 EPS for the quarter, topping analysts’ consensus estimates of $2.83 by $0.71. The firm had revenue of $4.44 billion during the quarter, compared to analyst estimates of $4.90 billion. Targa Resources had a return on equity of 69.26% and a net margin of 13.55%. As a group, research analysts predict that Targa Resources will post 11.2 earnings per share for the current year.

Targa Resources Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, August 14th. Stockholders of record on Friday, July 31st were paid a $1.25 dividend. The ex-dividend date of this dividend was Friday, July 31st. This represents a $5.00 dividend on an annualized basis and a dividend yield of 1.7%. Targa Resources’s dividend payout ratio is 47.80%.

Trending Headlines about Targa Resources

Here are the key news stories impacting Targa Resources this week:

• Positive Sentiment: J.P. Morgan reaffirmed its Buy rating on Targa Resources, maintaining a constructive view of the company’s growth outlook. Its recent price target of $315 remains above the stock’s recent trading level. J.P. Morgan Buy-rating article
• Positive Sentiment: Recent fundamentals remain supportive. Targa’s second-quarter adjusted EPS of $3.54 exceeded the $2.83 consensus estimate, while midstream industry results benefited from strong throughput, margins and demand for natural gas and NGL exports. Targa has also expanded long-term ExxonMobil-linked Permian agreements and announced new processing and pipeline projects. Midstream earnings outlook article
• Positive Sentiment: The company’s leadership plan adds experienced midstream executive Brent Secrest as President of Logistics and Transportation and promotes Benjamin Branstetter to CFO. Targa said the changes are intended to support long-term growth, while retiring CFO William Byers will remain an adviser through year-end to aid continuity. Targa leadership announcement
• Neutral Sentiment: Institutional positioning was mixed, with 546 investors adding shares and 490 reducing holdings in the latest quarter. Analyst opinion remains favorable overall, but the median price target of $275 is below recent trading levels, suggesting valuation is a consideration.
• Negative Sentiment: Several directors have recently sold shares, including Charles R. Crisp’s $870,690 sale and Waters S. Iv Davis’s $719,208 sale. The transactions do not necessarily indicate a change in business outlook, but the absence of reported insider purchases may weigh on sentiment. Targa insider trading report
• Negative Sentiment: A sharp decline in crude prices recently pressured energy stocks broadly. Investors may also remain cautious about the CFO transition and Targa’s substantial debt-to-equity ratio of approximately 5.0.

Insider Buying and Selling

In related news, Director Charles R. Crisp sold 3,000 shares of the business’s stock in a transaction that occurred on Tuesday, August 25th. The shares were sold at an average price of $290.23, for a total transaction of $870,690.00. Following the completion of the transaction, the director owned 62,292 shares in the company, valued at approximately $18,079,007.16. The trade was a 4.59% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Waters S. Iv Davis sold 2,400 shares of the company’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $299.67, for a total transaction of $719,208.00. Following the completion of the sale, the director directly owned 1,529 shares of the company’s stock, valued at $458,195.43. The trade was a 61.08% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 1.37% of the company’s stock.

Hedge Funds Weigh In On Targa Resources

Several institutional investors and hedge funds have recently made changes to their positions in TRGP. Hardy Reed LLC grew its position in shares of Targa Resources by 1.0% during the 1st quarter. Hardy Reed LLC now owns 4,321 shares of the pipeline company’s stock valued at $1,083,000 after acquiring an additional 41 shares during the period. Versant Capital Management Inc raised its holdings in shares of Targa Resources by 4.1% in the 2nd quarter. Versant Capital Management Inc now owns 1,146 shares of the pipeline company’s stock worth $307,000 after purchasing an additional 45 shares during the period. Premier Path Wealth Partners LLC lifted its stake in Targa Resources by 2.3% in the second quarter. Premier Path Wealth Partners LLC now owns 2,003 shares of the pipeline company’s stock valued at $537,000 after purchasing an additional 45 shares during the last quarter. Hantz Financial Services Inc. lifted its stake in Targa Resources by 10.5% in the fourth quarter. Hantz Financial Services Inc. now owns 526 shares of the pipeline company’s stock valued at $97,000 after purchasing an additional 50 shares during the last quarter. Finally, River Wealth Advisors LLC grew its holdings in Targa Resources by 0.3% during the second quarter. River Wealth Advisors LLC now owns 19,457 shares of the pipeline company’s stock valued at $5,217,000 after purchasing an additional 50 shares during the period. Institutional investors and hedge funds own 92.13% of the company’s stock.

About Targa Resources

Targa Resources Corporation (NYSE: TRGP) is a U.S.-focused midstream energy company that provides gathering, processing, transportation, storage and marketing services for natural gas, natural gas liquids (NGLs), and condensate. Its operations span the midstream value chain, including gas gathering systems that collect production from wells, processing plants that separate and recover NGLs and other hydrocarbons, fractionation and purification facilities that prepare NGLs for market, and pipeline and terminal assets that move and store products for producers, refiners and other customers.

The company operates a network of pipelines, processing plants, fractionators and storage facilities that serve producers and consumers across major U.S.