Freemont Management S.A. Buys 6,100 Shares of Targa Resources, Inc. $TRGP

Key Points

• Freemont Management S.A. increased its stake in Targa Resources by 196.8% in the fourth quarter, buying 6,100 additional shares and bringing its total holding to 9,200 shares worth about $1.7 million.
• Targa Resources reported mixed quarterly results, with EPS of $2.21 missing estimates and revenue of $4.09 billion also coming in below expectations.
• The company raised its quarterly dividend to $1.25 per share from $1.00, while analysts remain broadly positive with a consensus rating of Moderate Buy and an average price target of $265.86.

Freemont Management S.A. raised its stake in shares of Targa Resources, Inc. (NYSE:TRGP - Free Report) by 196.8% in the fourth quarter, according to the company in its most recent disclosure with the SEC. The firm owned 9,200 shares of the pipeline company's stock after acquiring an additional 6,100 shares during the quarter. Freemont Management S.A.'s holdings in Targa Resources were worth $1,697,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Atlantic Union Bankshares Corp bought a new position in shares of Targa Resources during the fourth quarter valued at $27,000. Olistico Wealth LLC bought a new position in shares of Targa Resources during the fourth quarter valued at $27,000. Peoples Financial Services CORP. acquired a new stake in shares of Targa Resources in the third quarter valued at $34,000. Eagle Bay Advisors LLC acquired a new stake in shares of Targa Resources in the fourth quarter valued at $42,000. Finally, Root Financial Partners LLC acquired a new stake in shares of Targa Resources in the third quarter valued at $39,000. 92.13% of the stock is owned by institutional investors.

Targa Resources Price Performance

Targa Resources stock opened at $263.12 on Thursday. The business's 50-day simple moving average is $243.75 and its 200 day simple moving average is $207.11. The stock has a market cap of $56.48 billion, a price-to-earnings ratio of 26.60, a P/E/G ratio of 1.65 and a beta of 0.75. Targa Resources, Inc. has a 12-month low of $144.14 and a 12-month high of $263.38. The company has a quick ratio of 0.62, a current ratio of 0.72 and a debt-to-equity ratio of 5.64.

Targa Resources (NYSE:TRGP - Get Free Report) last posted its quarterly earnings results on Thursday, May 7th. The pipeline company reported $2.21 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.48 by ($0.27). The firm had revenue of $4.09 billion during the quarter, compared to the consensus estimate of $4.68 billion. Targa Resources had a net margin of 12.87% and a return on equity of 71.00%. As a group, research analysts anticipate that Targa Resources, Inc. will post 10.3 earnings per share for the current year.

Targa Resources Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, May 15th. Investors of record on Thursday, April 30th will be issued a $1.25 dividend. This is a positive change from Targa Resources's previous quarterly dividend of $1.00. This represents a $5.00 annualized dividend and a yield of 1.9%. The ex-dividend date is Thursday, April 30th. Targa Resources's dividend payout ratio (DPR) is 50.56%.

Insider Activity

In other Targa Resources news, Director Charles R. Crisp sold 10,602 shares of the firm's stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $255.96, for a total transaction of $2,713,687.92. Following the transaction, the director owned 66,492 shares in the company, valued at approximately $17,019,292.32. This trade represents a 13.75% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, President Jennifer R. Kneale sold 29,509 shares of the firm's stock in a transaction dated Tuesday, February 24th. The stock was sold at an average price of $230.12, for a total value of $6,790,611.08. Following the transaction, the president owned 235,260 shares in the company, valued at approximately $54,138,031.20. This trade represents a 11.15% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 115,531 shares of company stock valued at $27,405,821. Insiders own 1.37% of the company's stock.

Wall Street Analyst Weigh In

TRGP has been the subject of a number of research reports. Mizuho raised their target price on Targa Resources from $207.00 to $260.00 and gave the company an "outperform" rating in a research note on Thursday, March 19th. Barclays raised their target price on Targa Resources from $226.00 to $255.00 and gave the company an "overweight" rating in a research note on Tuesday, April 7th. Wells Fargo & Company raised their target price on Targa Resources from $264.00 to $270.00 and gave the company an "overweight" rating in a research note on Friday, May 8th. Scotiabank raised their target price on Targa Resources from $249.00 to $257.00 and gave the company an "outperform" rating in a research note on Tuesday. Finally, Seaport Research Partners restated a "neutral" rating on shares of Targa Resources in a research note on Monday, May 4th. Fourteen analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $265.86.

Targa Resources Profile

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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