Manhattan West Asset Management LLC Acquires New Holdings in Targa Resources, Inc. (NYSE:TRGP)

Key Points

• Manhattan West Asset Management LLC invested approximately $1.54 million in Targa Resources, acquiring 7,701 shares in the first quarter.
• Targa Resources reported earnings of $2.87 per share for the last quarter, significantly surpassing the expected $1.95, while revenues reached $4.26 billion, below the estimated $4.82 billion.
• The company is increasing its quarterly dividend to $1.00 per share, up from $0.12, reflecting a strong commitment to returning value to shareholders.

Manhattan West Asset Management LLC purchased a new position in shares of Targa Resources, Inc. (NYSE:TRGP - Free Report) during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor purchased 7,701 shares of the pipeline company's stock, valued at approximately $1,544,000.

Other hedge funds also recently bought and sold shares of the company. Cornerstone Planning Group LLC raised its stake in Targa Resources by 578.9% in the first quarter. Cornerstone Planning Group LLC now owns 129 shares of the pipeline company's stock valued at $26,000 after buying an additional 110 shares in the last quarter. Ameriflex Group Inc. acquired a new stake in shares of Targa Resources during the 4th quarter worth about $31,000. Colonial Trust Co SC lifted its stake in Targa Resources by 5,400.0% during the fourth quarter. Colonial Trust Co SC now owns 165 shares of the pipeline company's stock worth $29,000 after purchasing an additional 162 shares during the last quarter. Cary Street Partners Financial LLC acquired a new position in Targa Resources in the fourth quarter valued at approximately $31,000. Finally, Mascagni Wealth Management Inc. acquired a new position in Targa Resources in the fourth quarter valued at approximately $32,000. Institutional investors and hedge funds own 92.13% of the company's stock.

Targa Resources Price Performance

NYSE:TRGP traded up $1.88 during trading hours on Tuesday, hitting $167.99. The company's stock had a trading volume of 1,597,732 shares, compared to its average volume of 1,885,551. The company has a market capitalization of $36.15 billion, a PE ratio of 23.76, a PEG ratio of 1.07 and a beta of 1.12. Targa Resources, Inc. has a 52-week low of $135.50 and a 52-week high of $218.51. The business's 50-day moving average is $168.43 and its two-hundred day moving average is $177.60. The company has a debt-to-equity ratio of 5.93, a quick ratio of 0.56 and a current ratio of 0.69.

Targa Resources (NYSE:TRGP - Get Free Report) last issued its earnings results on Thursday, August 7th. The pipeline company reported $2.87 earnings per share for the quarter, topping the consensus estimate of $1.95 by $0.92. Targa Resources had a net margin of 8.99% and a return on equity of 43.35%. The company had revenue of $4.26 billion for the quarter, compared to analyst estimates of $4.82 billion. As a group, research analysts anticipate that Targa Resources, Inc. will post 8.15 EPS for the current fiscal year.

Targa Resources Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, August 15th. Investors of record on Thursday, July 31st will be issued a dividend of $1.00 per share. This is a boost from Targa Resources's previous quarterly dividend of $0.12. This represents a $4.00 annualized dividend and a yield of 2.4%. The ex-dividend date of this dividend is Thursday, July 31st. Targa Resources's payout ratio is presently 56.58%.

Analysts Set New Price Targets

A number of analysts have weighed in on TRGP shares. UBS Group cut their price objective on shares of Targa Resources from $259.00 to $228.00 and set a "buy" rating on the stock in a report on Thursday, May 15th. The Goldman Sachs Group cut their price target on shares of Targa Resources from $218.00 to $194.00 and set a "buy" rating on the stock in a research note on Monday, May 5th. Scotiabank restated an "outperform" rating on shares of Targa Resources in a research note on Tuesday, July 15th. TD Cowen initiated coverage on Targa Resources in a research report on Monday, July 7th. They set a "hold" rating and a $192.00 target price on the stock. Finally, Citigroup reduced their target price on Targa Resources from $227.00 to $197.00 and set a "buy" rating for the company in a report on Friday, May 9th. Two research analysts have rated the stock with a hold rating, thirteen have given a buy rating and two have given a strong buy rating to the company. According to data from MarketBeat, Targa Resources has a consensus rating of "Buy" and a consensus price target of $209.00.

Targa Resources Company Profile

Targa Resources Corp., together with its subsidiary, Targa Resources Partners LP, owns, operates, acquires, and develops a portfolio of complementary domestic midstream infrastructure assets in North America. It operates in two segments, Gathering and Processing, and Logistics and Transportation. The company is involved in gathering, compressing, treating, processing, transporting, and selling natural gas; storing, fractionating, treating, transporting, and selling natural gas liquids (NGL) and NGL products, including services to liquefied petroleum gas exporters; and gathering, storing, terminaling, purchasing, and selling crude oil.