Targa Resources Corp. is a leading provider of midstream natural gas and natural gas liquids services. The company operates through two primary business segments, Gathering and Processing, and Logistics and Transportation.
In recent news, it was reported that Lindbrook Capital LLC has cut its position in shares of Targa Resources Corp. by 12% during the fourth quarter of 2022. According to the most recent 13F filing with the Securities and Exchange Commission, the hedge fund owned 15,292 shares in the pipeline company’s stock after selling 2,086 shares during the quarter. As of its most recent SEC filing, Lindbrook Capital LLC’s holdings in Targa Resources were valued at $1,124,000.
This news comes as a surprise to many investors who have remained optimistic about Targa Resource’s growth prospects considering their latest financial results showcased strong operational performance for Q4-2022.
Apart from this cutting down of shares by one major shareholder,Lindbrook Capital LLC,Targa Resources recently disclosed a quarterly dividend which was paid on Wednesday, February 15th. Investors who were recorded on Tuesday, January 31st were given a dividend of $0.35 per share representing an annualized basis yield of roughly 1.86%. The ex-dividend date was Monday, January 30th. With a dividend payout ratio (DPR) currently at 35.99%, the company aims to retain profitability while keeping shareholders satisfied with healthy payouts.
The future prospects for Targa Resources remain positive as it continues to expand its natural gas gathering capabilities while also diversifying into crude oil storage and refining petroleum products all under both business segments mentioned above.In addition,Targa plans on optimizing growth opportunities available within each segment through formation of strategic partnerships such as that which has been formed with NextEra Energy Partners whom they partnered with late last year among others.Additionally,the firm is focusing on making their operations greener by initiating adoption of carbon capture,utilization and storage initiatives as well as improving on emission efficiencies through the use of technology.It is very likely that these measures will improve Targa Resources’ green profile and make it an even more attractive proposition to investors who are ESG conscious.
In conclusion, despite the reduction in shares held by Lindbrook Capital LLC,Targa Resources still remains poised for growth as it progresses with its diversification efforts and optimization strategies both within its business segments and through strategic partnerships. Investors are likely to remain satisfied with the company’s dividend payment rate due to its strong payout ratio. Targa Resource’s focus on greening operations makes it potentially more attractive to ESG investors resulting in further growth opportunities for the firm.
Targa Resources Corp. Attracts Institutional Investors and Positive Attention from Analysts
Targa Resources Corp. recently gained a slew of institutional investors who have all purchased new stakes in the company. MinichMacGregor Wealth Management LLC bought a $31,000 stake in Targa Resources during the 4th quarter while EdgeRock Capital LLC purchased a $28,000 stake during the 3rd quarter. The 2nd quarter saw Chilton Capital Management LLC invest $31,000 and Ronald Blue Trust Inc. put down $47,000 for their new stake. In the 3rd quarter, Fred Alger Management LLC added to the assets under Targa’s purview with a buy-in valued at $56,000. At present, 88.29% of Targa’s stocks are owned by institutional investors.
Targa Resources Corp., tickered as TRGP on NYSE Composite Index, opened at $75.41 on Tuesday and boasts of a high and low range of $81.50 and $55.56 respectively over a twelve-month period. With an impressive market cap of $17.06 billion, Targa has attracted positive attention from several equities research analysts recently.
Seaport Res Ptn reiterated its “buy” rating on Targa shares in February while UBS Group dropped its price objective from $107 to $106 but maintained its “buy” rating on Thursday December 15th last year.
Raymond James gave TRGP stock a “strong-buy” rating while increasing its price objective from $92 to an optimistic figure of $95 in February this year, showing widespread confidence that is continuing even now through other firms like Mizuho increasing their price objective to an assured projection of hitting between $92 – $94 per share; hence declaring it buy-worthy.
With such confidence and backing by large investors within different periods over one year span is proof that Targa is not only making waves but also gaining momentum for better things yet to come, and analysts indicate that Targa Resources remains a safe bet for investors looking for strong returns on their investments.
