Price as of close on Nov 3, 2026 · Financials updated Sep 30, 2026
Basics
Sector
Energy
Industry
Oil & Gas Midstream
Country
United States
Market cap
64.0B USD
Enterprise value
82.7B USD
Full-time employees
3,570
Overall health
Drawback:its shares are priced higher than most peers relative to what it earnspriced higher than peers for its earnings
Drawback:higher risk than most peers: less short-term liquidity (current ratio 0.77 vs a peer median of 1.37) and more debt relative to equity (5.35× vs a peer median of 0.47×)higher risk: less liquidity (current ratio 0.77 vs peers 1.37) and more debt vs equity (5.35× vs peers 0.47×)
Profit isn't fully turning into cash. Free cash flow is only 33% of reported profit.
Free cash flow is only 33% of reported profit. That usually means heavy spending on facilities and equipment, or cash tied up in inventory and unpaid bills. Worth checking whether it's a phase of investment or a lasting pattern.
Much more borrowing than peers.Debt is 5.4× equity vs a peer median of 0.5×.Debt is 5.4× equity vs peers 0.5×.
Debt is 5.4× shareholders' equity, against a peer median of 0.5×, among the highest 10% of its peer group.Debt is 5.4× shareholders' equity, vs peers 0.5×, among the highest 10% of its peer group.
Operating margin at a 6-year high.20% in 2025, the best of the last 6 years.
Targa Resources kept 20% of revenue as operating profit in 2025, its highest in the 6 years of filings we have.
Investment surge. Capital spending 20% of revenue, up from 6.4% in 2022.
Targa Resources is spending 20% of revenue on facilities and equipment, up from 6.4% in 2022. That weighs on free cash flow today; whether it pays off depends on the returns those investments earn.
Why it changed since the Oct 27, 2026 close: Score 70 → 71
Peer companies moved+1
Each step re-scores the company against its peers as they were on Oct 28, 2026; the parts add up to the change. Price effects on EBITDA yield are approximate.
Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.
Questions investors ask about Targa Resources
Is Targa Resources getting weaker?
Its latest SEC filing (Aug 6, 2026) showed no major changes. Its overall score is unchanged at 37/100 since Oct 28, 2026.
How is Targa Resources valued vs its peers?
Priced higher than most peers relative to what it earns. Valuation scores 19/100 against 404 energy peers.EBITDA yield 6.6% vs a peer median of 12.1% (weaker than 81% of peers).EBITDA yield 6.6% vs peers 12.1% (weaker than 81% of peers).
Is Targa Resources growing?
At about the same pace as its peers. Growth scores 56/100 against 404 energy peers.Earnings per share growth 38.9% vs a peer median of 1.1% (stronger than 77% of peers).Earnings per share growth 38.9% vs peers 1.1% (stronger than 77% of peers).
How profitable is Targa Resources?
More profitable than most of its peers. Profitability scores 71/100 against 404 energy peers.Return on assets 8.0% vs a peer median of 4.4% (stronger than 78% of peers).Return on assets 8.0% vs peers 4.4% (stronger than 78% of peers).
How risky is Targa Resources?
Higher risk relative to 404 energy peers, judged on debt, liquidity and share-price swings.Debt / equity 5.35× vs a peer median of 0.47× (weaker than 100% of peers).Debt / equity 5.35× vs peers 0.47× (weaker than 100% of peers). A relative measure, not a bankruptcy probability.
Latest filing: what changed
Quarter ended Jun 30, 2026 · filed Aug 6, 2026 · compared with the quarter ended Mar 31, 2026
No major changes
Previous quarter
Latest quarter
Change
Revenue (12 months)
16.6B USD
16.7B USD
+1.1%
Net income (12 months)
2.1B USD
2.3B USD
+6.4%
Operating margin
21.9%
22.9%
+1.0 pts
Free cash flow (12 months)
261.9M USD
740.9M USD
+182.9%
Debt
19.1B USD
19.6B USD
+2.3%
Cash
100.1M USD
132.3M USD
+32.2%
Shares outstanding
214.6M
214.4M
−0.1%
From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.
Industry valuation context
Industry: Oil & Gas Midstream · 32 companies
Valuations in Oil & Gas Midstream are near the top of their range since Aug 2019.
86% of months since Aug 2019 were valued lower than now.
54% of companies are in the most expensive fifth of their own price-to-sales history.
Over 24 months, company values +44% and earnings +16% (medians): prices rose faster than earnings.
Median price-to-sales is +39% vs the whole market, against a usual +3%.
Aug 2019Shaded: most expensive fifth of its range2026
This is a cyclical group: after a downturn, trailing earnings and sales fall faster than prices, which can make valuations look high near a cycle's low.
Describes valuations since Aug 2019; it does not predict prices. US companies worth $1B+, from SEC filings and month-end prices, as of Aug 2026. Today's companies and industry labels are used throughout. Measured on earnings, EBITDA, sales and free cash flow yields. How this works
Financials
Fiscal years from SEC annual filings · change vs the prior year
Key ratios
FY 2021
FY 2022
FY 2023
FY 2024
FY 2025
Change
Operating margin
5.1%
8.3%
16.4%
16.5%
19.6%
▲ 3.1 pts
Net margin
0.4%
5.7%
8.4%
8.0%
11.3%
▲ 3.3 pts
Return on assets (ROA)
0.5%
6.1%
6.5%
5.8%
7.6%
▲ 1.9 pts
Return on equity (ROE)
3.5%
44.8%
49.1%
50.6%
62.7%
▲ 12 pts
Free cash flow margin
10.6%
5.0%
5.1%
4.2%
3.4%
▼ 0.7 pts
Current ratio
0.77×
0.77×
0.79×
0.72×
0.67×
▼ 8.0%
Quick ratio
0.70×
0.64×
0.66×
0.62×
0.55×
▼ 12%
Debt to equity
3.28×
4.33×
4.73×
5.47×
5.68×
▲ 3.9%
TRGP price history
Price history is added with the daily price update and will appear after the next one.