Targa Resources Valuation
| TRGP Stock | USD 198.69 3.77 1.93% |
At this time, the company appears to be fairly valued. Targa Resources has a current Real Value of $197.49 per share. The regular price of the company is $198.69. Our model measures the value of Targa Resources from inspecting the company fundamentals such as Shares Outstanding of 218.11 M, operating margin of 0.16 %, and Return On Equity of 0.34 as well as reviewing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Targa Resources' valuation include:
Price Book 16.6979 | Enterprise Value | Enterprise Value Ebitda 13.9032 | Price Sales 2.5952 | Forward PE 25.641 |
Fairly Valued
Today
Please note that Targa Resources' price fluctuation is very steady at this time. Calculation of the real value of Targa Resources is based on 3 months time horizon. Increasing Targa Resources' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Targa Resources' intrinsic value may or may not be the same as its current market price of 198.69, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 198.69 | Real 197.49 | Target 198.65 | Hype 198.86 | Naive 207.12 |
The intrinsic value of Targa Resources' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Targa Resources' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Targa Resources helps investors to forecast how Targa stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Targa Resources more accurately as focusing exclusively on Targa Resources' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Targa Resources' intrinsic value based on its ongoing forecasts of Targa Resources' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Targa Resources' closest peers.
Targa Resources Cash |
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Targa Valuation Trend
Targa Resources' real value is important for investors to make better decisions and a more accurate overall view of Targa Resources' financial worth over time. Using both Targa Resources' enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Targa Revenue by Product
Targa Resources Total Value Analysis
Targa Resources is at this time forecasted to have valuation of 57.4 B with market capitalization of 42.51 B, debt of 14.17 B, and cash on hands of 154 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Targa Resources fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
57.4 B | 42.51 B | 14.17 B | 154 M |
Targa Resources Investor Information
About 93.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.18. Targa Resources recorded earning per share (EPS) of 5.73. The entity last dividend was issued on the 31st of January 2025. Based on the key indicators related to Targa Resources' liquidity, profitability, solvency, and operating efficiency, Targa Resources is performing exceptionally good at this time. It has a great risk to report excellent financial results in March.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 3.8 B | 3.6 B |
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Targa Resources Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Targa Resources has an asset utilization ratio of 72.06 percent. This connotes that the Company is making $0.72 for each dollar of assets. An increasing asset utilization means that Targa Resources is more efficient with each dollar of assets it utilizes for everyday operations.Targa Resources Ownership Allocation
Targa Resources shows a total of 218.11 Million outstanding shares. The majority of Targa Resources outstanding shares are owned by institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Targa Resources to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Targa Resources. Please pay attention to any change in the institutional holdings of Targa Resources as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.Targa Resources Profitability Analysis
The company reported the previous year's revenue of 16.38 B. Net Income was 1.55 B with profit before overhead, payroll, taxes, and interest of 5.68 B.Targa Resources Past Distributions to stockholders
About Targa Resources Valuation
The stock valuation mechanism determines Targa Resources' current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Targa Resources based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Targa Resources. We calculate exposure to Targa Resources's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Targa Resources's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 4.3 B | 4.5 B | |
| Pretax Profit Margin | 0.12 | 0.12 | |
| Operating Profit Margin | 0.16 | 0.17 | |
| Net Profit Margin | 0.08 | 0.08 | |
| Gross Profit Margin | 0.26 | 0.27 |
A single share of Targa Resources represents a small ownership stake in the entity. As a stockholder of Targa, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Targa Resources Dividends Analysis For Valuation
As of 02/26/2025, Dividend Paid And Capex Coverage Ratio is likely to grow to 1.32, while Dividends Paid is likely to drop slightly above 497.3 M. . At this time, Targa Resources' Retained Earnings are relatively stable compared to the past year. As of 02/26/2025, Earnings Yield is likely to grow to 0.03, while Retained Earnings Total Equity is likely to drop (592.3 M).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 615.5 M | 497.3 M | |
| Dividend Yield | 0.02 | 0.01 | |
| Dividend Payout Ratio | 0.48 | 0.46 | |
| Dividend Paid And Capex Coverage Ratio | 1.02 | 1.32 |
There are various types of dividends Targa Resources can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Targa shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Targa Resources directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Targa pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Targa Resources by the value of the dividends paid out.
Targa Resources Growth Indicators
Investing in growth stocks can be very risky. If the company such as Targa Resources does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 221.3 M | |
| Quarterly Earnings Growth Y O Y | 0.168 | |
| Forward Price Earnings | 25.641 |
Targa Resources Current Valuation Indicators
Targa Resources' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Targa Resources' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Targa Resources, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Targa Resources' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Targa Resources' worth.Additional Tools for Targa Stock Analysis
When running Targa Resources' price analysis, check to measure Targa Resources' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Targa Resources is operating at the current time. Most of Targa Resources' value examination focuses on studying past and present price action to predict the probability of Targa Resources' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Targa Resources' price. Additionally, you may evaluate how the addition of Targa Resources to your portfolios can decrease your overall portfolio volatility.