Targa Resources Corp. (0LD9) fair value: what the stock is really worth
As of Oct 2, 2026: fair value of Targa Resources Corp. $108, price $279, upside -61.4%, quality 56 out of 100. Calculated from audited financials with 26 valuation models and 37 quality factors, updated daily.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 24, 2026.
How to read this chart
60‑month range $5.62 – $301.31 · fair‑value band $54.94 – $179.93 · the $279.00 price screens above the $107.83 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 24, 2026.
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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.
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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.
Stock analysis
Targa Resources Corp. (0LD9) currently trades at $279.00, while our model-based Fair Value estimate is $107.83, 61.4% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth Earnings group reads highest at a median of $155.68 per share, and 0 of the 24 models we run sit above the $279.00 price.
Bear case: the Economic Profit group reads lowest at $53.39, and 24 of the 24 models stay below the price. Evidence for this calculation is medium.
Scenario range: $54.94 (bear) to $179.93 (bull), the price of $279.00 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 56/100 (solid quality), in the Industrials sector.
Weak Growth: Revenue growth is inconsistent: the periods point in different directions, so there is no trend to rely on.
Targa Resources Corp. reported revenue of $17.0B in FY2025 versus $17.4B in FY2021, a compound −0.6%/yr. Reported net income was $1.9B in FY2025, compounding +125.8%/yr from FY2021. FY2021 was a trough year, so the rate overstates the trend.
Key figures
Market cap $59.9B · EPS (TTM) $−0.6490 · Dividend yield 1.5% · Net margin 10.9% · Return on equity 74.1% · Return on assets (EBIT) 11.2% · Operating margin 20.9% · Revenue (TTM) $16.6B.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 48 out of 100 (low confidence).
What moves the price
The share trades about 7% below its 52-week high and 93% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Industrials peers we cover trades at −40% fair-value upside, at −61%, 0LD9 screens richer than that median.
Fair Value models
Bear $54.94Fair Value $107.83Bull $179.93
Model ⓘEach model values the company its own way (discounted cash flow, earnings, assets, dividends). The fair value above is their evidence-weighted blend, not the output of a single model.Bear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. If a model's bull case is above four times its base value, the table shows that limit with a > sign (like the overall Bull above): beyond it no assumption holds.Evidence ⓘEvidence = how well-backed THIS model's estimate is for this stock (0–100): how complete and reliable its input data are, and how well the model fits the company. The final Fair Value is an evidence-weighted blend, so better-evidenced models count more. Green ≥70, amber 50–69, grey below 50.
Growth Quality ⓘGrowth is valuable only when reinvestment earns attractive returns (Aswath Damodaran): sustainable growth depends on return on capital, reinvestment and efficiency. Basis: total company revenue over the periods shown on the cards (3Y/5Y/all years), not per share, so a merger can show up as a growth jump; per-share earnings growth is in the value-creation card.40/100
Revenue growth is inconsistent: the periods point in different directions, so there is no trend to rely on.
Revenue growth 1 year
+2.4%
Revenue growth 3 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
−6.7%
Revenue growth 5 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+15.5%
Start year 2020 (pandemic). Over 10 years: +10.0% a year
Revenue growth 17 years ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump. Per-share growth (which does include buybacks) is in the value-creation card.
+4.5%
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What shareholders gained per year (last 5 years) ⓘWhat the business itself delivers per year: earnings growth per share plus the dividend yield. This is what you get IF the market keeps valuing the stock the same way: it contains no assumption about the market changing its mind. Computed per share, so buybacks count and a merger does not pass as growth. For a company that pays no dividend it is pure earnings growth per share. Period: earnings growth per share as CAGR over the last 5 reported fiscal years (annual statements), plus the current dividend yield. The start value is the median of the three years around the start, so a single crisis year (a pandemic or a write-down) does not distort the rate. Basis: EBIT basis.
≈ +24.8%
Earnings growth per share plus dividend.
Earnings per share, growth per year+23.3%
Dividend (yield on the price)1.5%
Pace: 5 vs 10 years ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.94.3% vs 17.2%, picking up
Profit margin 2020 to 2025 ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.15% → 20%
Start year 2020 (pandemic)
⚠ Revenue per share shrinking 6.7%/yr over ~10Y (margins intact) ⓘStructural-decline marker: revenue PER SHARE has fallen over the last decade (robust median trend, not a single year). Backtested across 2005 to 2017, such businesses trailed the market by about 2.5 percentage points per year. Display only: it does not change the fair value or the quality score.
⚠ Rate on operating basis: 2025 sits 75% above its own trend.
Growth Forecast
A lot of optimism in the price
The price assumes more growth than the company has delivered so far and more than analysts expect.
What the price assumes ⓘThis turns our valuation around: instead of asking what the share is worth, it asks what growth the current price requires. It uses the cash the company keeps after all spending (free cash flow), the same discount rate as our models, five years of growth, then slowing evenly to 2 % a year by year ten. Compared with the analysts' sales forecasts extended to the same five years (at least three analysts, for context only, it does not enter the Fair Value): within 3 percentage points counts as "in line" (amber), below that little optimism (green), above that a lot of optimism (red).
+48.7%
Yearly growth needed for the next five years to justify today's price.
What forecasts expect ⓘAnalysts publish sales forecasts for the next two fiscal years. For the years after that, growth slows evenly to 2 % a year by year ten (2 % is the long-run rate our models use). Projected years are marked as such.
+13.1%
Yearly sales growth analysts expect, extended to five years.
After inflation (figures in USD, USA: IMF forecast 2.4% a year to 2030, 3.1% from 2016 to 2025) that is about +45.2% a year for the price and +10.5% for the forecasts.
Price, fair value, quality and upside side by side.
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Peer GroupⓘHow this stock ranks against its sector: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median. (Industry “Transportation Infrastructure” was too small, so the broader sector is used.)Industrials · 5298 stocks
Beats the sector median on 5/13 measures
Overall it trails its sector peers.
Valuation
Quality Score56 · Above median
Fair Value upside−61.4% · Bottom 25%
Profitability
Return on equity (TTM)74.1% · Top 25%
Return on assets9.1% · Top 25%
Net margin (TTM)12.9% · Top 25%
Operating margin (TTM)20.9% · Top 25%
Growth and dividend
Revenue growth−10.2% · Bottom 25%
Dividend yield (TTM)1.5% · Below median
Balance sheet
Debt / equity2.40× · Highest 25%
Valuation Multiplesvs Industrials median · lower = cheaper
P/B19.52× · Priciest 25%
P/S (TTM)3.62× · Priciest 25%
P/FCF102.5× · Priciest 25%
EV/EBITDA12.9× · Pricier than median
Strength profile in five axes (Snowflake)
This stockSector peers
VALUE (fair-value potential)0· sector 17
FUTURE (revenue growth)0· sector 36
PAST (return on equity)100· sector 29
HEALTH (low debt)0· sector 94
DIVIDEND (yield)30· sector 37
VALUE 0: the price sits above our fair-value range.
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Is Targa Resources Corp. (0LD9) overvalued or undervalued?
As of Sep 24, 2026, our model estimates a fair value of $107.83 versus a price of $279.00, about −61% upside (overvalued).
What is the fair value of 0LD9?
Our model-based fair value for Targa Resources Corp. is $107.83 (as of Sep 24, 2026), built from audited fundamentals. The current price: $279.00.
What is the quality score of 0LD9?
Targa Resources Corp. has a Quality Score of 56/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the price target for Targa Resources Corp. (0LD9)?
Our model-based price target is the fair value of $107.83 (as of Sep 24, 2026) from 24 valuation models. Cautious scenario $54.94, optimistic scenario $179.93. It is a calculation from audited fundamentals, not an analyst target.
What is the Targa Resources Corp. stock forecast for 2026?
Our models put fair value at $107.83, about −61% upside versus a price of $279.00 (overvalued). Cautious scenario $54.94, optimistic scenario $179.93. The calculation is refreshed regularly with new filings.
What is the revenue of Targa Resources Corp. (0LD9)?
Targa Resources Corp. reported trailing-twelve-month revenue of about $16.6B (latest available figure, as of Sep 24, 2026).
Does Targa Resources Corp. pay a dividend?
Targa Resources Corp. currently shows a dividend yield of about 1.52% relative to its recent price (as of Sep 24, 2026).
What growth is priced into Targa Resources Corp. (0LD9)?
For today's price to be fair in a discounted-cash-flow model, Targa Resources Corp. would have to grow free cash flow by +48.7 % per year for five years (discount rate 9.5 %, then slowing evenly to 2 % perpetual growth by year ten). Over the last 5 years revenue grew +15.5 % per year. As of Sep 24, 2026.
What discount rate (WACC) does the fair value of 0LD9 use?
Our models discount Targa Resources Corp. at 9.5 %: a base by market capitalisation (unknown), damped by beta 0.70, country premium for United Kingdom. The same rate applies in all 26 models.
What is a reverse DCF?
A reverse DCF turns the usual calculation around. Instead of deriving a value from assumptions, it takes today's price as given and asks: what free-cash-flow growth would a company have to deliver for exactly this price to be fair? The result is not a forecast but the expectation already priced in. For Targa Resources Corp. that is +48.7 % per year a year over ten years, using the same discount rate (9.5 %) and the same formula as our fair value.
How much growth has Targa Resources Corp. (0LD9) delivered so far?
Over the past 5 years revenue at Targa Resources Corp. grew +15.5 % a year. The price currently implies +48.7 % per year free-cash-flow growth a year. Comparing the two shows how much confidence is in the price: if it demands more than has been delivered, the business has to accelerate for the maths to work.
How fast is the sector of Targa Resources Corp. (0LD9) growing?
The median revenue growth in the sector is +7.2 % a year. That is the yardstick for the growth priced into Targa Resources Corp. (+48.7 % per year a year): it shows whether the expectation is within the usual range or beyond it.
What is the free cash flow yield of Targa Resources Corp. (0LD9)?
The free-cash-flow yield on the price is 0.74 %: that much free cash flow Targa Resources Corp. produces per unit of market value. When it exceeds the discount rate of our models (9.5 %), the business already earns more than its cost of capital demands, and the price needs little additional growth.
What is the intrinsic value of Targa Resources Corp. (0LD9)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Targa Resources Corp. it is $107.83 per share (as of Sep 24, 2026), against a price of $279.00. It is the blended result of 24 valuation models (cash flow, earnings, asset, dividend).
Is Targa Resources Corp. stock overvalued or undervalued in 2026?
As of Sep 24, 2026, 0LD9 trades above its calculated fair value: price $279.00, fair value $107.83, a gap of about −61% (overvalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of 0LD9?
No. The price is what the market pays today ($279.00); the fair value is what the company's own numbers justify ($107.83). For Targa Resources Corp. the two are $171.17 per share apart. That gap is exactly why we show both numbers side by side.
How much is Targa Resources Corp. worth?
The market values Targa Resources Corp. at about $59.9B (market capitalisation, as of Sep 24, 2026). Per share that is $279.00; our models calculate a fair value of $107.83 per share.
What do the bullish and bearish scenarios say about 0LD9?
Our models span a range for Targa Resources Corp.: cautious scenario $54.94, base $107.83, optimistic $179.93 per share (as of Sep 24, 2026, price $279.00). The range comes from different growth and margin assumptions, not from analyst opinions.
How solid is the balance sheet of Targa Resources Corp. (0LD9)?
Balance-sheet figures for Targa Resources Corp. (as of Sep 24, 2026): return on equity 74.1%, debt of 2.40 per unit of equity. They feed the Quality Score of 56/100, which measures business quality independently of the share price.
How far is 0LD9 from its 52-week high?
Targa Resources Corp. trades at $279.00, about 7% below its 52-week high of $301.31 and 93% above the low of $144.82 (as of Oct 2, 2026). Distance from the high says nothing about value: that is what the fair value of $107.83 is for.
Which stocks are comparable to Targa Resources Corp.?
From the same area (Industrials) we also value Contemporary Amperex Technology Co, Delta Electronics (Thailand) Public Company, Larsen & Toubro Limited, Samsung C&T Corporation, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Targa Resources Corp. stock attractive at the current price?
The data as of Sep 24, 2026: price $279.00, calculated fair value $107.83 (−61%), Quality Score 56/100, from 24 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of 0LD9 calculated?
We run Targa Resources Corp. through 24 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of $107.83, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 14.5 % above its aggregate fair value. Targa Resources Corp. itself currently trades above fair value. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on is it worth investing now.
What is the share price of Targa Resources Corp. (0LD9)?
The closing price on Oct 2, 2026 was $279.00. Our model-based fair value is $107.83, about −61% upside (overvalued). We carry closing prices from our data provider, not a live tick.
What should I pay attention to with Targa Resources Corp. right now?
The price sits above even our optimistic bull case ($179.93). The favourable scenario is already priced in. The model range is unusually wide ($54.94 to $179.93). The outcome hinges heavily on assumptions, so read the point estimate with caution. Solid but not exceptional quality (56/100) and above fair value, neither a clear bargain nor a standout compounder.
Where does the earnings growth of Targa Resources Corp. (0LD9) come from?
Earnings per share at Targa Resources Corp. grew +14.3 % a year from 2014 to 2025. Broken into its drivers: revenue per share −7.6 %, EBIT margin +11.1 %, tax rate +2.5 %, residual (interest, one-offs) +8.6 %. The four rates multiply to the earnings growth rate, they do not add up. Start and end are three-year averages so a single exceptional year does not distort the result.
Key figures of Targa Resources Corp.
How large is the market capitalisation of Targa Resources Corp. (0LD9)?
The market capitalisation of Targa Resources Corp. is $59.9B. The stock-market value of the whole company: share price times number of shares. It is what the market asks for the entire business today.
What are the earnings per share of Targa Resources Corp. (0LD9)?
Earnings per share at Targa Resources Corp. are $−0.6490. Earnings per share over the last twelve months: total profit spread across every single share.
What is the dividend yield of Targa Resources Corp. (0LD9)?
The dividend yield of Targa Resources Corp. is 1.5%. Yearly dividend relative to the share price. 3% pays 3 per 100 invested. Below: how much of profit is used for it.
What is the net margin of Targa Resources Corp. (0LD9)?
The net margin of Targa Resources Corp. is 10.9% (fiscal year 2025). How much of every unit of revenue ends up as profit. 10% means 10 cents of profit per dollar of sales.
What is the return on equity of Targa Resources Corp. (0LD9)?
The return on equity (ROE) of Targa Resources Corp. is 74.1% (last twelve months). Profit relative to shareholders' equity, how efficiently the company works with its owners' money.
What is the EBIT return on assets of Targa Resources Corp. (0LD9)?
On an EBIT basis the return on assets of Targa Resources Corp. is 11.2% (avg 5y). Operating profit (EBIT) relative to everything the company owns, as a multi-year average. It describes the business model rather than one good or bad year.
What is the operating margin of Targa Resources Corp. (0LD9)?
The operating margin of Targa Resources Corp. is 20.9% (last twelve months). Profit from the core business (before interest and taxes) relative to revenue.
How fast is revenue growing at Targa Resources Corp. (0LD9)?
Revenue at Targa Resources Corp. is growing −10.2% versus a year earlier (3y avg −6.7%). How much revenue grew versus a year earlier (YoY). The 3-year average next to it puts the single year in context.
How fast are earnings growing at Targa Resources Corp. (0LD9)?
Earnings per share at Targa Resources Corp. are growing +143% versus a year earlier. How much earnings per share grew versus a year earlier.
How much net debt does Targa Resources Corp. (0LD9) carry?
The net debt of Targa Resources Corp. is $17.4B (fiscal year 2025, ≈ 29.7 yrs of FCF). Debt minus cash on hand. The note shows how many years of free cash flow could in theory pay it off.
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