Targa Resources Corp. (NYSE:TRGP) Declares Dividend Increase – $0.75 Per Share

Targa Resources Corp. (NYSE:TRGP) declared a quarterly dividend on Thursday, April 11th, Zacks reports. Shareholders of record on Tuesday, April 30th will be paid a dividend of 0.75 per share by the pipeline company on Wednesday, May 15th. This represents a $3.00 annualized dividend and a yield of 2.62%. The ex-dividend date of this dividend is Monday, April 29th. This is an increase from Targa Resources’s previous quarterly dividend of $0.50.

Targa Resources has increased its dividend payment by an average of 15.2% annually over the last three years and has increased its dividend every year for the last 2 years. Targa Resources has a payout ratio of 29.3% meaning its dividend is sufficiently covered by earnings. Analysts expect Targa Resources to earn $6.81 per share next year, which means the company should continue to be able to cover its $2.00 annual dividend with an expected future payout ratio of 29.4%.

Targa Resources Stock Down 0.6 %

Shares of TRGP opened at $114.67 on Friday. The firm has a 50 day simple moving average of $103.22 and a two-hundred day simple moving average of $91.74. The company has a market cap of $25.52 billion, a P/E ratio of 31.25 and a beta of 2.21. The company has a debt-to-equity ratio of 2.68, a current ratio of 0.79 and a quick ratio of 0.66. Targa Resources has a one year low of $67.36 and a one year high of $117.61.

Targa Resources (NYSE:TRGP) last announced its quarterly earnings results on Thursday, February 15th. The pipeline company reported $1.23 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.49 by ($0.26). The company had revenue of $4.24 billion for the quarter, compared to analyst estimates of $4.50 billion. Targa Resources had a return on equity of 18.64% and a net margin of 5.20%. Research analysts forecast that Targa Resources will post 5.75 EPS for the current fiscal year.

Insider Buying and Selling

In other Targa Resources news, insider D. Scott Pryor sold 10,000 shares of the stock in a transaction dated Monday, February 26th. The shares were sold at an average price of $97.00, for a total value of $970,000.00. Following the completion of the sale, the insider now owns 156,098 shares in the company, valued at approximately $15,141,506. The transaction was disclosed in a document filed with the SEC, which is available at this link. In other Targa Resources news, insider D. Scott Pryor sold 10,000 shares of the firm’s stock in a transaction on Monday, February 26th. The shares were sold at an average price of $97.00, for a total value of $970,000.00. Following the completion of the transaction, the insider now directly owns 156,098 shares of the company’s stock, valued at approximately $15,141,506. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Director Joe Bob Perkins sold 33,405 shares of the firm’s stock in a transaction on Thursday, February 22nd. The shares were sold at an average price of $97.67, for a total transaction of $3,262,666.35. Following the completion of the transaction, the director now directly owns 38,440 shares of the company’s stock, valued at $3,754,434.80. The disclosure for this sale can be found here. Insiders have sold 81,966 shares of company stock worth $7,987,215 in the last quarter. Insiders own 1.39% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Harbour Investments Inc. raised its position in shares of Targa Resources by 51.3% during the 3rd quarter. Harbour Investments Inc. now owns 357 shares of the pipeline company’s stock valued at $31,000 after buying an additional 121 shares in the last quarter. Quarry LP purchased a new stake in shares of Targa Resources during the 1st quarter valued at $33,000. Sunbelt Securities Inc. purchased a new stake in shares of Targa Resources during the 2nd quarter valued at $47,000. Fred Alger Management LLC purchased a new stake in shares of Targa Resources during the 3rd quarter valued at $56,000. Finally, Resurgent Financial Advisors LLC purchased a new stake in shares of Targa Resources during the 4th quarter valued at $73,000. 92.13% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

TRGP has been the topic of several analyst reports. Citigroup upped their price target on shares of Targa Resources from $104.00 to $112.00 and gave the company a “buy” rating in a research report on Wednesday, February 21st. Truist Financial upped their price target on shares of Targa Resources from $105.00 to $120.00 and gave the company a “buy” rating in a research report on Wednesday, March 20th. Royal Bank of Canada upped their price target on shares of Targa Resources from $106.00 to $109.00 and gave the company an “outperform” rating in a research report on Monday, February 26th. UBS Group cut their price target on shares of Targa Resources from $109.00 to $108.00 and set a “buy” rating on the stock in a research report on Thursday, January 18th. Finally, JPMorgan Chase & Co. upped their price target on shares of Targa Resources from $122.00 to $125.00 and gave the company an “overweight” rating in a research report on Wednesday, March 6th. One analyst has rated the stock with a hold rating, ten have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the company has a consensus rating of “Buy” and an average price target of $115.70.

About Targa Resources

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.