FY2026 EPS Estimates for Targa Resources Boosted by Analyst

Key Points

• US Capital Advisors raised Targa Resources’ FY2026 EPS estimate to $10.98 from $10.24, while maintaining a “Moderate Buy” rating. The revised forecast remains slightly below the $11.13 consensus estimate.
• Analyst sentiment is broadly positive, with a consensus “Buy” rating and an average price target of $297.18; Morgan Stanley recently increased its target to $343.
• Targa shares opened at $300.01, near their 52-week high, after the company reported quarterly EPS of $3.54—beating estimates—and paid a $1.25 quarterly dividend, equivalent to a 1.7% yield.

Targa Resources, Inc. (NYSE:TRGP - Free Report) - Analysts at US Capital Advisors lifted their FY2026 earnings per share estimates for Targa Resources in a research report issued to clients and investors on Thursday, August 20th. US Capital Advisors analyst J. Carreker now forecasts that the pipeline company will post earnings of $10.98 per share for the year, up from their prior estimate of $10.24. US Capital Advisors currently has a "Moderate Buy" rating on the stock. The consensus estimate for Targa Resources' current full-year earnings is $11.13 per share.

A number of other equities analysts have also recently issued reports on the stock. UBS Group restated a "buy" rating and issued a $318.00 price objective on shares of Targa Resources in a research note on Thursday, July 9th. JPMorgan Chase & Co. lifted their target price on shares of Targa Resources from $291.00 to $315.00 and gave the company an "overweight" rating in a research report on Thursday, July 9th. Scotiabank upped their target price on shares of Targa Resources from $249.00 to $257.00 and gave the company an "outperform" rating in a research note on Tuesday, May 12th. Seaport Research Partners reissued a "neutral" rating on shares of Targa Resources in a research report on Monday, May 4th. Finally, Morgan Stanley raised their price target on shares of Targa Resources from $333.00 to $343.00 and gave the stock an "overweight" rating in a research note on Tuesday, August 18th. One research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, Targa Resources presently has a consensus rating of "Buy" and an average target price of $297.18.

Targa Resources Stock Up 0.3%

TRGP opened at $300.01 on Monday. The company has a market capitalization of $64.33 billion, a P/E ratio of 28.68, a P/E/G ratio of 1.43 and a beta of 0.72. The company has a debt-to-equity ratio of 5.01, a current ratio of 0.77 and a quick ratio of 0.68. The firm's fifty day moving average price is $271.98 and its two-hundred day moving average price is $254.49. Targa Resources has a fifty-two week low of $144.14 and a fifty-two week high of $307.94.

Targa Resources (NYSE:TRGP - Get Free Report) last issued its earnings results on Thursday, August 6th. The pipeline company reported $3.54 EPS for the quarter, beating analysts' consensus estimates of $2.83 by $0.71. The business had revenue of $4.44 billion during the quarter, compared to analyst estimates of $4.90 billion. Targa Resources had a return on equity of 69.26% and a net margin of 13.55%.

Targa Resources Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, August 14th. Shareholders 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 dividend on an annualized basis and a dividend yield of 1.7%. Targa Resources's dividend payout ratio (DPR) is presently 47.80%.

Institutional Investors Weigh In On Targa Resources

Institutional investors and hedge funds have recently made changes to their positions in the company. BlackRock Inc. increased its position in shares of Targa Resources by 1.4% during the 2nd quarter. BlackRock Inc. now owns 20,832,687 shares of the pipeline company's stock worth $5,586,077,000 after purchasing an additional 291,114 shares in the last quarter. State Street Corp boosted its position in Targa Resources by 1.3% in the fourth quarter. State Street Corp now owns 12,668,233 shares of the pipeline company's stock valued at $2,337,289,000 after buying an additional 162,878 shares in the last quarter. Geode Capital Management LLC grew its stake in Targa Resources by 0.8% during the fourth quarter. Geode Capital Management LLC now owns 5,867,345 shares of the pipeline company's stock worth $1,078,497,000 after buying an additional 45,495 shares during the last quarter. Norges Bank bought a new stake in Targa Resources during the fourth quarter worth about $735,758,000. Finally, Tortoise Capital Advisors L.L.C. increased its holdings in shares of Targa Resources by 20.3% during the fourth quarter. Tortoise Capital Advisors L.L.C. now owns 3,389,006 shares of the pipeline company's stock worth $625,272,000 after buying an additional 572,562 shares in the last quarter. Institutional investors and hedge funds own 92.13% of the company's stock.

Targa Resources News Summary

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

• Positive Sentiment: Long-term ExxonMobil contracts strengthen growth visibility. Targa secured 20-year, fee-based agreements with ExxonMobil covering the Permian Delaware and Midland basins. The arrangements support new processing and takeaway infrastructure through 2046, potentially improving cash-flow visibility and extending Targa’s Permian growth runway. Targa Resources Secures 20-Year Deal With ExxonMobil
• Positive Sentiment: Jefferies initiated or reiterated a Buy rating. The endorsement provides additional analyst support for TRGP’s long-term growth and infrastructure outlook. Targa Resources Gets a Buy from Jefferies
• Neutral Sentiment: Higher capital spending raises execution risk. The ExxonMobil-related infrastructure buildout could create meaningful future growth, but increased 2026 spending may pressure near-term free cash flow and heighten construction and execution demands. How Targa's ExxonMobil Deal Could Extend Its Permian Growth Runway
• Negative Sentiment: US Capital Advisors reduced multiple EPS forecasts. The firm cut estimates for late 2026, all quarters of 2027, FY2027 EPS from $11.75 to $11.05, and FY2028 EPS from $13.42 to $12.73. Although it maintained a “Moderate Buy” rating, the revisions suggest expectations for slower earnings growth.
• Negative Sentiment: Premium valuation may limit upside. TRGP is trading close to its 52-week high following an approximately 85% rally, while heavy spending and potentially moderating marketing gains have raised questions about whether the current valuation fully reflects future growth. Targa Resources' Stock Near 52-Week High

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source