Critical Insights From Targa Resources Analyst Ratings: What You Need To Know

Analysts' ratings for Targa Resources TRGP over the last quarter vary from bullish to bearish, as provided by 4 analysts.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have recently evaluated Targa Resources and provided 12-month price targets. The average target is $106.75, accompanied by a high estimate of $109.00 and a low estimate of $105.00. Surpassing the previous average price target of $103.50, the current average has increased by 3.14%.

Exploring Analyst Ratings: An In-Depth Overview

In examining recent analyst actions, we gain insights into how financial experts perceive Targa Resources. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Targa Resources. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Targa Resources compared to the broader market.
• Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Targa Resources's stock. This comparison reveals trends in analysts' expectations over time.

Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Targa Resources's market standing. Stay informed and make well-considered decisions with our Ratings Table.

Stay up to date on Targa Resources analyst ratings.

Get to Know Targa Resources Better

Targa Resources is a midstream firm that primarily operates gathering and processing assets with substantial positions in the Permian, Stack, Scoop, and Bakken plays. It has 843,000 barrels a day of gross fractionation capacity at Mont Belvieu and operates a liquefied petroleum gas export terminal. The Grand Prix natural gas liquids pipeline recently entered full service.

Financial Milestones: Targa Resources's Journey

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Growth: Targa Resources's revenue growth over a period of 3 months has faced challenges. As of 30 September, 2023, the company experienced a revenue decline of approximately -27.3%. This indicates a decrease in the company's top-line earnings. When compared to others in the Energy sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Targa Resources's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 5.65%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Targa Resources's ROE stands out, surpassing industry averages. With an impressive ROE of 8.49%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Targa Resources's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 1.11%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: With a high debt-to-equity ratio of 5.17, Targa Resources faces challenges in effectively managing its debt levels, indicating potential financial strain.

Analyst Ratings: What Are They?

Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.

Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.

This article was generated by Benzinga's automated content engine and reviewed by an editor.