Key Points
- Director Charles Crisp sold 3,000 Targa Resources shares for approximately $870,690, reducing his position by 4.59% to 62,292 shares.
- Targa reported quarterly EPS of $3.54, beating analyst expectations of $2.83, while revenue reached $4.44 billion. The company also maintains a quarterly dividend of $1.25, equivalent to a 1.7% annual yield.
- Analysts remain broadly bullish, with a consensus “Buy” rating and an average price target of $297.18, although the stock’s elevated valuation, substantial debt, and recent insider selling may weigh on investor sentiment.
Targa Resources, Inc. (NYSE:TRGP - Get Free Report) Director Charles Crisp sold 3,000 shares of the company's stock in a transaction that occurred on Tuesday, August 25th. The stock was sold at an average price of $290.23, for a total value of $870,690.00. Following the completion of the sale, the director owned 62,292 shares in the company, valued at approximately $18,079,007.16. This represents a 4.59% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this link.
Targa Resources Price Performance
Shares of NYSE TRGP opened at $294.38 on Thursday. The stock has a market capitalization of $63.12 billion, a price-to-earnings ratio of 28.14, a PEG ratio of 1.37 and a beta of 0.72. Targa Resources, Inc. has a 12 month low of $144.14 and a 12 month high of $307.94. The firm's 50 day simple moving average is $273.84 and its 200-day simple moving average is $256.34. The company has a debt-to-equity ratio of 5.01, a current ratio of 0.77 and a quick ratio of 0.68.
Targa Resources (NYSE:TRGP - Get Free Report) last posted its earnings results on Thursday, August 6th. The pipeline company reported $3.54 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.83 by $0.71. Targa Resources had a net margin of 13.55% and a return on equity of 69.26%. The firm had revenue of $4.44 billion during the quarter, compared to analysts' expectations of $4.90 billion. Analysts expect that Targa Resources, Inc. will post 11.2 EPS for the current year.
Targa Resources Dividend Announcement
The company also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Shareholders of record on Friday, July 31st were issued 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 yield of 1.7%. Targa Resources's payout ratio is presently 47.80%.
Analysts Set New Price Targets
Several equities research analysts have recently issued reports on the stock. Mizuho increased their target price on shares of Targa Resources from $260.00 to $300.00 and gave the stock an "outperform" rating in a research note on Wednesday, May 27th. Royal Bank Of Canada lifted their price target on Targa Resources from $310.00 to $312.00 and gave the company an "outperform" rating in a research note on Tuesday, August 11th. Wolfe Research set a $335.00 price target on Targa Resources in a report on Friday, August 7th. TD Cowen upped their price target on Targa Resources from $270.00 to $275.00 and gave the stock a "hold" rating in a report on Friday, August 7th. Finally, Weiss Ratings reiterated a "buy (b)" rating on shares of Targa Resources in a research report on Thursday, July 2nd. One investment analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and one has assigned a Hold rating to the company's stock. According to data from MarketBeat, Targa Resources presently has a consensus rating of "Buy" and a consensus price target of $297.18.
Check Out Our Latest Analysis on Targa Resources
Hedge Funds Weigh In On Targa Resources
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Atlantic Union Bankshares Corp acquired a new stake in shares of Targa Resources in the fourth quarter valued at about $27,000. First Eagle Investment Management LLC raised its position in shares of Targa Resources by 381.0% during the 2nd quarter. First Eagle Investment Management LLC now owns 101 shares of the pipeline company's stock worth $27,000 after purchasing an additional 80 shares during the last quarter. Miller Capital Partners Inc. acquired a new position in shares of Targa Resources during the 4th quarter worth about $30,000. Leonteq Securities AG acquired a new position in shares of Targa Resources during the 4th quarter worth about $31,000. Finally, Jones Financial Companies Lllp purchased a new position in Targa Resources in the 2nd quarter valued at about $32,000. 92.13% of the stock is owned by hedge funds and other institutional investors.
Targa Resources News Summary
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.
About Targa Resources
(
Get Free Report)
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.
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