Bristol Gate Capital Partners Inc. Takes Position in Targa Resources, Inc. $TRGP

Key Points

• Bristol Gate Capital Partners initiated a position in Targa Resources by purchasing 263,694 shares valued at approximately $70.7 million. The stake represents about 4.9% of the fund’s portfolio and 0.12% of Targa’s outstanding shares.
• Analysts remain broadly bullish, with a consensus “Buy” rating and an average price target of $297.18. JPMorgan, UBS, RBC, Wolfe Research and Raymond James issued targets ranging from $312 to $335.
• Targa reported quarterly EPS of $3.54, beating estimates of $2.83, while revenue of $4.44 billion fell short of expectations. The company also maintains a $1.25 quarterly dividend, equivalent to a $5.00 annualized payout and a 1.7% yield.

Bristol Gate Capital Partners Inc. purchased a new position in shares of Targa Resources, Inc. (NYSE:TRGP - Free Report) during the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 263,694 shares of the pipeline company's stock, valued at approximately $70,707,000. Targa Resources comprises approximately 4.9% of Bristol Gate Capital Partners Inc.'s investment portfolio, making the stock its 5th biggest holding. Bristol Gate Capital Partners Inc. owned approximately 0.12% of Targa Resources as of its most recent SEC filing.

Other hedge funds have also recently modified their holdings of the company. PNC Financial Services Group Inc. boosted its position in Targa Resources by 57.0% in the fourth quarter. PNC Financial Services Group Inc. now owns 34,805 shares of the pipeline company's stock worth $6,421,000 after purchasing an additional 12,640 shares during the last quarter. Hsbc Holdings PLC boosted its stake in Targa Resources by 7.0% in the fourth quarter. Hsbc Holdings PLC now owns 820,310 shares of the pipeline company's stock valued at $151,331,000 after acquiring an additional 53,413 shares during the last quarter. Miller Howard Investments Inc. NY increased its stake in shares of Targa Resources by 37.3% during the 1st quarter. Miller Howard Investments Inc. NY now owns 230,592 shares of the pipeline company's stock worth $57,816,000 after purchasing an additional 62,652 shares during the last quarter. Raiffeisen Bank International AG lifted its stake in Targa Resources by 164.1% in the fourth quarter. Raiffeisen Bank International AG now owns 33,641 shares of the pipeline company's stock valued at $6,245,000 after purchasing an additional 20,905 shares during the last quarter. Finally, Icon Wealth Advisors LLC increased its position in Targa Resources by 24.0% in the fourth quarter. Icon Wealth Advisors LLC now owns 19,649 shares of the pipeline company's stock worth $3,625,000 after buying an additional 3,797 shares during the last quarter. Institutional investors own 92.13% of the company's stock.

Analyst Upgrades and Downgrades

TRGP has been the subject of a number of research reports. JPMorgan Chase & Co. increased their target price on shares of Targa Resources from $291.00 to $315.00 and gave the stock an "overweight" rating in a research report on Thursday, July 9th. UBS Group reaffirmed a "buy" rating and set a $318.00 target price on shares of Targa Resources in a report on Thursday, July 9th. Royal Bank Of Canada boosted their price objective on shares of 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 shares of Targa Resources in a research report on Friday, August 7th. Finally, Raymond James Financial set a $335.00 price objective on Targa Resources in a research note on Friday, August 7th. One analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Buy" and an average target price of $297.18.

Targa Resources Trading Down 2.4%

NYSE TRGP opened at $287.10 on Wednesday. The company has a quick ratio of 0.68, a current ratio of 0.77 and a debt-to-equity ratio of 5.01. The stock's 50-day simple moving average is $273.17 and its two-hundred day simple moving average is $255.72. Targa Resources, Inc. has a twelve month low of $144.14 and a twelve month high of $307.94. The company has a market capitalization of $61.56 billion, a price-to-earnings ratio of 27.45, a PEG ratio of 1.41 and a beta of 0.72.

Targa Resources (NYSE:TRGP - Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The pipeline company reported $3.54 earnings per share for the quarter, beating analysts' consensus estimates of $2.83 by $0.71. The company had revenue of $4.44 billion for the quarter, compared to analysts' expectations of $4.90 billion. Targa Resources had a return on equity of 69.26% and a net margin of 13.55%. Research analysts forecast that Targa Resources, Inc. will post 11.13 EPS for the current fiscal year.

Targa Resources Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, August 14th. Investors of record on Friday, July 31st were issued a dividend of $1.25 per share. The ex-dividend date of this dividend was Friday, July 31st. This represents a $5.00 annualized dividend and a dividend yield of 1.7%. Targa Resources's dividend payout ratio (DPR) is currently 47.80%.

Key Targa Resources News

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

• Positive Sentiment: Targa appointed longtime midstream executive Brent Secrest as President of Logistics and Transportation and promoted Benjamin Branstetter to CFO, effective September 1. Secrest brings more than 20 years of industry experience, while Branstetter’s internal promotion supports operational and strategic continuity. Outgoing CFO William Byers will remain an adviser through year-end 2026 to facilitate the transition. Targa leadership announcement
• Positive Sentiment: Recent operating momentum remains supportive: Targa reported record second-quarter results, including adjusted EPS of $3.54 versus the $2.83 consensus estimate. The company also recently expanded 20-year ExxonMobil-linked Permian agreements and announced three gas-processing plants, a pipeline project and approximately $5.0 billion in 2026 net growth capital. Strong midstream earnings outlook
• Neutral Sentiment: Institutional positioning was mixed in the latest quarter: 546 investors added shares while 490 reduced holdings. Analysts’ median price target is $275, below the recent trading level, although several targets remain above $300, indicating divided valuation expectations.
• Negative Sentiment: Investors may be applying a discount for leadership uncertainty following Byers’ retirement and the relatively rapid reassignment of Branstetter after his recent move into the logistics role. The change is planned and includes an advisory handoff, but CFO transitions can still increase concerns about execution and capital allocation.
• Negative Sentiment: Sharp declines in crude prices on August 25 likely pressured energy shares broadly, including midstream companies, despite Targa’s largely fee-based business model. The stock also faces a cautionary insider-trading signal: reported open-market transactions over the past six months show sales and no purchases, including a director’s sale of 2,400 shares. Targa insider transaction

Insider Buying and Selling at Targa Resources

In related news, Director Waters S. Iv Davis sold 2,400 shares of the stock in a transaction dated Friday, August 21st. The stock was 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 in the company, valued at $458,195.43. This represents a 61.08% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Company insiders own 1.37% 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.

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