Demystifying Targa Resources: Insights From 11 Analyst Reviews

Throughout the last three months, 11 analysts have evaluated Targa Resources TRGP, offering a diverse set of opinions from bullish to bearish.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $219.73, with a high estimate of $244.00 and a low estimate of $199.00. Observing a 3.65% increase, the current average has risen from the previous average price target of $212.00.

Breaking Down Analyst Ratings: A Detailed Examination

An in-depth analysis of recent analyst actions unveils how financial experts perceive Targa Resources. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Targa Resources. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Targa Resources compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Capture valuable insights into Targa Resources's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Targa Resources analyst ratings.

All You Need to Know About Targa Resources

Targa Resources is a midstream firm that primarily operates gathering and processing assets with substantial positions in the Permian, Stack, Scoop, and Bakken plays. It has fractionation capacity at Mont Belvieu and operates a liquefied petroleum gas export terminal. The Grand Prix natural gas liquids pipeline is another important asset.

A Deep Dive into Targa Resources's Financials

Market Capitalization Analysis: Above industry benchmarks, the company's market capitalization emphasizes a noteworthy size, indicative of a strong market presence.

Revenue Growth: Targa Resources displayed positive results in 3M. As of 31 December, 2024, the company achieved a solid revenue growth rate of approximately 3.91%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Energy sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Targa Resources's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of 7.39%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Targa Resources's ROE stands out, surpassing industry averages. With an impressive ROE of 12.6%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Targa Resources's ROA excels beyond industry benchmarks, reaching 1.46%. This signifies efficient management of assets and strong financial health.

Debt Management: Targa Resources's debt-to-equity ratio is notably higher than the industry average. With a ratio of 5.5, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Analyst Ratings: Simplified

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.