25,311 Shares in Targa Resources, Inc. (NYSE:TRGP) Bought by University of Texas Texas AM Investment Management Co.

Key Points

• The University of Texas Texas AM Investment Management Co. has acquired a new position in Targa Resources, purchasing 25,311 shares valued at approximately $5.07 million, making it the firm's 22nd largest investment.
• Targa Resources has reported earnings per share of $0.91 for the last quarter, missing the consensus estimate of $2.04, with revenues of $4.56 billion versus an expected $5.01 billion.
• The company has recently increased its dividend to $1.00 per share, marking a significant rise from the previous quarterly dividend of $0.12, representing an annualized yield of 2.41%.

University of Texas Texas AM Investment Management Co. bought a new stake in shares of Targa Resources, Inc. (NYSE:TRGP - Free Report) in the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor bought 25,311 shares of the pipeline company's stock, valued at approximately $5,074,000. Targa Resources comprises 0.9% of University of Texas Texas AM Investment Management Co.'s investment portfolio, making the stock its 22nd largest holding.

Several other hedge funds have also modified their holdings of the stock. Cornerstone Planning Group LLC raised its stake in shares of Targa Resources by 578.9% during the 1st quarter. Cornerstone Planning Group LLC now owns 129 shares of the pipeline company's stock worth $26,000 after purchasing an additional 110 shares in the last quarter. Colonial Trust Co SC increased its holdings in shares of Targa Resources by 5,400.0% during the 4th quarter. Colonial Trust Co SC now owns 165 shares of the pipeline company's stock valued at $29,000 after acquiring an additional 162 shares during the last quarter. Cary Street Partners Financial LLC acquired a new position in shares of Targa Resources during the 4th quarter valued at about $31,000. Ameriflex Group Inc. acquired a new position in shares of Targa Resources during the 4th quarter valued at about $31,000. Finally, Mascagni Wealth Management Inc. acquired a new stake in Targa Resources in the 4th quarter valued at approximately $32,000. 92.13% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of research firms have issued reports on TRGP. UBS Group lowered their target price on Targa Resources from $259.00 to $228.00 and set a "buy" rating on the stock in a report on Thursday, May 15th. TD Securities began coverage on Targa Resources in a report on Monday, July 7th. They issued a "hold" rating on the stock. Scotiabank reaffirmed an "outperform" rating on shares of Targa Resources in a report on Tuesday, July 15th. Barclays raised their target price on Targa Resources from $178.00 to $195.00 and gave the company an "overweight" rating in a report on Thursday, July 10th. Finally, Mizuho set a $212.00 price objective on Targa Resources and gave the stock an "outperform" rating in a research report on Tuesday, May 20th. Two equities research analysts have rated the stock with a hold rating, thirteen have given a buy rating and two have issued a strong buy rating to the company. According to data from MarketBeat, Targa Resources presently has an average rating of "Buy" and a consensus price target of $209.86.

Targa Resources Price Performance

Shares of Targa Resources stock traded up $0.89 during midday trading on Thursday, hitting $167.26. 337,226 shares of the company were exchanged, compared to its average volume of 1,882,459. The company has a debt-to-equity ratio of 6.04, a current ratio of 0.65 and a quick ratio of 0.57. The firm has a market cap of $36.28 billion, a P/E ratio of 30.81, a PEG ratio of 1.10 and a beta of 1.07. Targa Resources, Inc. has a 52 week low of $122.56 and a 52 week high of $218.51. The firm has a 50 day simple moving average of $167.64 and a 200-day simple moving average of $180.52.

Targa Resources (NYSE:TRGP - Get Free Report) last released its earnings results on Thursday, May 1st. The pipeline company reported $0.91 EPS for the quarter, missing the consensus estimate of $2.04 by ($1.13). The firm had revenue of $4.56 billion during the quarter, compared to analyst estimates of $5.01 billion. Targa Resources had a net margin of 7.35% and a return on equity of 30.48%. Research analysts forecast that Targa Resources, Inc. will post 8.15 earnings per share for the current year.

Targa Resources Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, August 15th. Stockholders of record on Thursday, July 31st will be paid a $1.00 dividend. This is a boost from Targa Resources's previous quarterly dividend of $0.12. This represents a $4.00 annualized dividend and a dividend yield of 2.39%. The ex-dividend date of this dividend is Thursday, July 31st. Targa Resources's dividend payout ratio (DPR) is 73.66%.

Targa Resources 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.