SIR Capital Management L.P. Makes New Investment in Targa Resources, Inc. $TRGP

SIR Capital Management L.P. purchased a new stake in shares of Targa Resources, Inc. (NYSE:TRGP) during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund purchased 54,424 shares of the pipeline company’s stock, valued at approximately $14,593,000. Targa Resources makes up about 1.7% of SIR Capital Management L.P.’s investment portfolio, making the stock its 15th biggest position.

A number of other hedge funds and other institutional investors have also recently modified their holdings of TRGP. Jones Financial Companies Lllp bought a new stake in shares of Targa Resources during the 2nd quarter valued at $32,000. Compass Financial Management LLC bought a new position in Targa Resources in the 2nd quarter worth $33,000. CoreCap Advisors LLC boosted its holdings in Targa Resources by 245.9% in the 2nd quarter. CoreCap Advisors LLC now owns 128 shares of the pipeline company’s stock worth $34,000 after buying an additional 91 shares during the period. Virtus Advisers LLC bought a new position in Targa Resources in the 2nd quarter worth $35,000. Finally, Atlantic Union Bankshares Corp purchased a new stake in Targa Resources in the 4th quarter worth $27,000. 92.13% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

A number of research firms have commented on TRGP. Scotiabank raised their price target on Targa Resources from $249.00 to $257.00 and gave the company an “outperform” rating in a report on Tuesday, May 12th. Erste Group Bank began coverage on Targa Resources in a research note on Thursday, June 25th. They issued a “buy” rating for the company. Wolfe Research set a $335.00 target price on Targa Resources in a research report on Friday, August 7th. Mizuho lifted their target price on Targa Resources from $260.00 to $300.00 and gave the company an “outperform” rating in a research note on Wednesday, May 27th. Finally, Stifel Nicolaus set a $268.00 price target on Targa Resources in a report on Friday, May 8th. One 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 data from MarketBeat.com, Targa Resources has a consensus rating of “Buy” and a consensus price target of $297.18.

Targa Resources Stock Performance

TRGP opened at $294.10 on Tuesday. The stock has a market capitalization of $63.06 billion, a price-to-earnings ratio of 28.12, a PEG ratio of 1.43 and a beta of 0.72. The company has a fifty day moving average of $272.62 and a 200 day moving average of $255.13. Targa Resources, Inc. has a fifty-two week low of $144.14 and a fifty-two week high of $307.94. The company has a debt-to-equity ratio of 5.01, a quick ratio of 0.68 and a current ratio of 0.77.

Targa Resources (NYSE:TRGP) last announced its quarterly earnings results on Thursday, August 6th. The pipeline company reported $3.54 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.83 by $0.71. The company had revenue of $4.44 billion for the quarter, compared to the consensus estimate of $4.90 billion. Targa Resources had a net margin of 13.55% and a return on equity of 69.26%. As a group, sell-side analysts forecast that Targa Resources, Inc. will post 11.13 earnings per share for the current fiscal year.

Targa Resources Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, August 14th. Stockholders of record on Friday, July 31st were issued a $1.25 dividend. This represents a $5.00 annualized dividend and a dividend yield of 1.7%. The ex-dividend date of this dividend was Friday, July 31st. Targa Resources’s payout ratio is 47.80%.

Targa Resources Profile

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.