Targa Resources Corp.TRGP
NYSE•Energy•Oil & Gas Midstream
Targa Resources Corp., together with its subsidiaries, owns, operates, acquires, and develops a portfolio of complementary domestic 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. It is involved in the purchase and resale of NGL products; and sale of propane, as well as provision of related logistics services to multi-state retailers, independent retailers, and other end-users. In addition, the company offers NGL balancing services; and transportation services to refineries and petrochemical companies in the Gulf Coast area, as well as purchases, markets, and resells natural gas. The company also leased and owned railcars, tractors, vacuum trucks and pressurized NGL barges. Targa Resources Corp. was incorporated in 2005 and is headquartered in Houston, Texas.
Targa Resources, Inc. (TRGP) reported trailing twelve months revenue of $16.56B as of March 2026, a 1.1% increase year-over-year. Quarterly revenue reached $4.09B, reflecting continued top-line momentum.
Targa Resources, Inc. generated $2.13B in TTM net income, with quarterly EBITDA of $1.27B. The operating margin expanded from 11.9% to 20.7%, suggesting improving cost efficiency and pricing discipline.
The spread between operating margin (20.7%) and net margin (11.7%) indicates moderate non-operating costs. Net margin has improved from 5.9% a year ago, signaling stronger bottom-line efficiency.
TRGP trades at a P/E of 25.0x (in line with broad market averages) and a P/S of 3.2x. The price-to-book ratio of 17.0x indicates a significant premium over book value.
The company reported negative free cash flow of $-160.00M, indicating cash consumption over the period. The balance sheet shows $27.11B in total assets with $19.13B in long-term debt against $3.14B in stockholders equity for a debt-to-equity ratio of 6.1, a relatively leveraged position. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~19.0%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 56.9% suggests a durable competitive advantage and efficient capital allocation.
Only 4 of the last 8 quarters had positive FCF — the business may require external capital to sustain operations.
Revenue has grown modestly overall (~1.9%) but trajectory is uneven, suggesting a competitive or cyclical business.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~21.9% — no sign of cost or pricing stress.
Free cash flow has been negative in 4 of the last 8 quarters — earnings are not translating to cash.
D/E ratio is 6.1 — dangerously high. The company is heavily leveraged and vulnerable to rising rates or cash flow dips.
Revenue is stable or growing over recent quarters — demand appears durable.
4 of the last 8 quarters had negative FCF — inconsistent cash generation raises sustainability concerns.
Shares decreased 2.8% — net buybacks are reducing shares outstanding and boosting per-share value.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation