Targa Resources, Inc. (NYSE:TRGP) Increases Dividend to $1.00 Per Share

Targa Resources, Inc. (NYSE:TRGP - Get Free Report) announced a quarterly dividend on Thursday, July 10th, RTT News reports. Investors of record on Thursday, July 31st will be given a dividend of 1.00 per share by the pipeline company on Friday, August 15th. This represents a $4.00 dividend on an annualized basis and a yield of 2.34%. This is a 733.3% increase from Targa Resources's previous quarterly dividend of $0.12.

Targa Resources has a dividend payout ratio of 43.0% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Targa Resources to earn $9.72 per share next year, which means the company should continue to be able to cover its $4.00 annual dividend with an expected future payout ratio of 41.2%.

Targa Resources Stock Up 0.0%

Shares of TRGP stock traded up $0.04 during mid-day trading on Thursday, hitting $170.73. 1,128,171 shares of the stock traded hands, compared to its average volume of 1,842,796. The stock has a market cap of $37.04 billion, a P/E ratio of 31.44, a P/E/G ratio of 0.61 and a beta of 1.07. The stock's fifty day moving average is $166.18 and its two-hundred day moving average is $182.14. Targa Resources has a 52-week low of $122.56 and a 52-week high of $218.51. The company has a debt-to-equity ratio of 6.04, a current ratio of 0.65 and a quick ratio of 0.57.

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

Hedge Funds Weigh In On Targa Resources

An institutional investor recently raised its position in Targa Resources stock. Focus Partners Wealth grew its holdings in shares of Targa Resources, Inc. (NYSE:TRGP - Free Report) by 157.4% in the first quarter, according to its most recent filing with the SEC. The firm owned 3,931 shares of the pipeline company's stock after acquiring an additional 2,404 shares during the quarter. Focus Partners Wealth's holdings in Targa Resources were worth $788,000 as of its most recent SEC filing. Hedge funds and other institutional investors own 92.13% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on TRGP shares. US Capital Advisors raised shares of Targa Resources from a "hold" rating to a "strong-buy" rating in a research note on Monday, April 7th. Royal Bank Of Canada reiterated an "outperform" rating and set a $205.00 price target (up from $191.00) on shares of Targa Resources in a research note on Thursday, June 26th. 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. TD Securities initiated coverage on Targa Resources in a report on Monday. They issued a "hold" rating for the company. Finally, Citigroup lowered their price target 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 analysts have rated the stock with a hold rating, thirteen have assigned a buy rating and two have given a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Buy" and a consensus price target of $209.57.

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.

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