Targa Resources (NYSE:TRGP) Now Covered by Analysts at BMO Capital Markets

Key Points

• BMO Capital Markets has initiated coverage on Targa Resources (NYSE:TRGP) with an "outperform" rating and a price target of $185.00, indicating a potential upside of 8.68% from the last close.
• Various analysts have issued price targets for Targa Resources, with the consensus target price standing at $207.27, supported by strong ratings from several institutions.
• In its latest earnings report, Targa Resources reported an EPS of $2.87, exceeding expectations, though revenue of $4.26 billion fell short of analyst predictions.

BMO Capital Markets began coverage on shares of Targa Resources (NYSE:TRGP - Free Report) in a research report report published on Friday, Marketbeat reports. The firm issued an outperform rating and a $185.00 price target on the pipeline company's stock.

A number of other equities research analysts have also issued reports on TRGP. Mizuho reduced their target price on Targa Resources from $212.00 to $207.00 and set an "outperform" rating on the stock in a research note on Friday, August 29th. Wells Fargo & Company reissued an "overweight" rating and issued a $205.00 target price (up previously from $198.00) on shares of Targa Resources in a research note on Friday, August 8th. TD Cowen began coverage on shares of Targa Resources in a research note on Monday, July 7th. They set a "hold" rating and a $192.00 price target on the stock. Royal Bank Of Canada upped their price objective on shares of Targa Resources from $205.00 to $208.00 and gave the company an "outperform" rating in a research note on Tuesday, August 12th. Finally, Cfra Research raised shares of Targa Resources to a "hold" rating in a research note on Friday, August 8th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $207.27.

Targa Resources Price Performance

Shares of NYSE:TRGP traded up $0.98 during midday trading on Friday, hitting $165.41. 1,586,489 shares of the stock were exchanged, compared to its average volume of 1,819,053. Targa Resources has a twelve month low of $144.30 and a twelve month high of $218.51. The company has a current ratio of 0.69, a quick ratio of 0.56 and a debt-to-equity ratio of 5.93. The company has a 50 day moving average price of $165.18 and a 200-day moving average price of $170.35. The stock has a market cap of $35.59 billion, a P/E ratio of 23.40, a PEG ratio of 0.97 and a beta of 1.21.

Targa Resources (NYSE:TRGP - Get Free Report) last posted its earnings results on Thursday, August 7th. The pipeline company reported $2.87 earnings per share for the quarter, beating 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 firm had revenue of $4.26 billion during the quarter, compared to the consensus estimate of $4.82 billion. On average, research analysts forecast that Targa Resources will post 8.15 earnings per share for the current year.

Targa Resources Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, August 15th. Investors of record on Thursday, July 31st were issued a dividend of $1.00 per share. This represents a $4.00 dividend on an annualized basis and a yield of 2.4%. The ex-dividend date of this dividend was Thursday, July 31st. This is a positive change from Targa Resources's previous quarterly dividend of $0.12. Targa Resources's dividend payout ratio (DPR) is 56.58%.

Institutional Trading of Targa Resources

Large investors have recently modified their holdings of the business. Bessemer Group Inc. lifted its stake in shares of Targa Resources by 25.1% in the first quarter. Bessemer Group Inc. now owns 2,466 shares of the pipeline company's stock worth $494,000 after acquiring an additional 495 shares in the last quarter. Oppenheimer & Co. Inc. increased its position in shares of Targa Resources by 48.1% in the 1st quarter. Oppenheimer & Co. Inc. now owns 2,535 shares of the pipeline company's stock worth $508,000 after purchasing an additional 823 shares during the last quarter. Dynamic Advisor Solutions LLC bought a new stake in Targa Resources in the first quarter valued at about $544,000. Vontobel Holding Ltd. raised its stake in Targa Resources by 29.9% during the first quarter. Vontobel Holding Ltd. now owns 3,758 shares of the pipeline company's stock valued at $753,000 after buying an additional 864 shares in the last quarter. Finally, Peak Financial Advisors LLC acquired a new stake in Targa Resources during the second quarter valued at approximately $414,000. 92.13% of the stock is currently owned by institutional investors and hedge funds.

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.