NYSE: TRGP · Oil & Gas Midstream
Targa Resources (TRGP) fair value: undervalued or overvalued?
As of 26 Sep 2026, Faircurve's model values Targa Resources (TRGP) at $245.13 a share. The stock last closed at $281.74, which puts the model's fair value 13.0% below the price. On the model's bands that reads as Fairly valued.
Revalued . Price is the close of 2 Oct 2026. Targa Resources Corp.
Faircurve Insights · 26 Sep 2026
Targa Resources Corp., along with its subsidiary Targa Resources Partners LP, is a significant entity in the North American midstream energy sector, focusing on the ownership, operation, acquisition, and development of crucial energy infrastructure assets.
On 26 Sep 2026, Faircurve's model gave a fair value of $245.13 a share, which is the midpoint of 2,000 simulations. The previous run on 19 Sep 2026 gave $262.79, and the fair value moved -6.7%. The calibrated range over 63 trading days is $205.66 to $298.89, built from the fair value since there is no live options data for the stock, and it is calibrated weekly against realised prices, with 4,327 past valuations refreshed on 26 Sep 2026. Ranges built this way held the price 60% of the time at this horizon, and the evidence grade is Medium.
The overall quality score is 56 out of 100 against comparable companies, with profitability at 97 (ROIC 15.2%, peer median 8.7%) and earnings quality at 40 (FCF / net income 0.33x, peer median 0.85x). The model compares it with ONEOK, Inc. (OKE), Kinder Morgan, Inc. (KMI), The Williams Companies, Inc. (WMB), Viper Energy, Inc. (VNOM), DT Midstream, Inc. (DTM), Antero Midstream Corporation (AM), and Dorian LPG Ltd. (LPG). Around the last 8 earnings reports, measured from the close before each report to the close after it, the median move, ignoring direction, was 3.2%.
Written from the figures on this page for the 26 Sep 2026 valuation and checked by rule before publishing: every number is one printed here, no forecast, no instruction. The price, the gap and the verdict are the page's own and change daily. Not a recommendation.
What price range does the model give TRGP?
The calibrated range for TRGP over 63 trading days is $205.66 to $298.89. There is no live options data for this stock, so the range is built from the fair value and calibrated weekly against realised prices (n = 4,327 past valuations, refreshed 26 Sep 2026). Ranges built this way held the price 60% of the time at this horizon.
The model's own simulated range, from the 20th to the 80th percentile of its runs, is $165.62 to $348.96. In 39% of the simulations the fair value came out above the price the model ran on.
How does TRGP score on business quality?
Targa Resources's overall quality score is 56 out of 100. Each factor below is a score against comparable companies, not a percentile of the metric beside it.
| Factor | Score (0 to 100) | Headline measure | Peer median |
|---|---|---|---|
| ProfitabilityReturn on invested capital against the peer group, with a bonus for an improving trend. | 97 | 15.2%ROIC | 8.7% |
| Earnings qualityHow much of reported profit is cash: free cash flow to net income, and the accrual ratio (the share of earnings that is not cash). | 40 | 0.33xFCF / net income | 0.85x |
| Growth qualityTrailing revenue growth, forward growth from consensus, and the direction of analyst estimate revisions. | 47 | 3.1%Revenue growth, trailing | 10.4% |
| Capital disciplineReinvestment efficiency (capital spending per unit of revenue) and net buybacks. | 42 | 0.5%Net buybacks / market value | 0.1% |
| Balance sheetNet debt to EBITDA and interest coverage. | 33 | 4.17xNet debt / EBITDA | 3.44x |
| StabilityDownside volatility of the EBITDA margin over the last five years. | 25 | 5.5 ptsEBITDA margin downside volatility, 5y | 3.4 pts |
How does TRGP compare with similar companies?
The companies in oil & gas midstream closest to Targa Resources in market value, each on the same model and the same date.
| Company | Last close | Model fair value | Gap | Model verdict |
|---|---|---|---|---|
| OKE ONEOK, Inc. | $87.88 | $87.01 | -1.0% | Fairly valued |
| KMI Kinder Morgan, Inc. | $31.07 | $26.95 | -13.3% | Fairly valued |
| WMB The Williams Companies, Inc. | $70.54 | $54.66 | -22.5% | Overvalued |
| VNOM Viper Energy, Inc. | $40.64 | $32.51 | -20.0% | Overvalued |
| DTM DT Midstream, Inc. | $121.00 | $107.64 | -11.0% | Fairly valued |
| AM Antero Midstream Corporation | $20.36 | $19.62 | -3.6% | Fairly valued |
| KNTK Kinetik Holdings Inc. | $52.53 | $44.34 | -15.6% | Low evidence grade |
| LPG Dorian LPG Ltd. | $57.21 | $58.52 | +2.3% | Fairly valued |
When does TRGP report earnings, and how has the stock reacted?
Targa Resources's next earnings report is scheduled for 4 Nov 2026. Companies can move their dates.
Options prices on 2 Oct 2026 imply a move of about 10.1% in either direction through the nearest expiry, about 48 days out, a window that includes the report. That is the size the market is pricing, not a direction.
How TRGP moved around its last 8 earnings reports
Each move runs from the last close before the report to the first close after it, so it covers companies that report before the open and after the close. The median size across these 8 reports, ignoring direction, was 3.2%.
| Report date | Two session move |
|---|---|
| 6 Aug 2026 | -1.2% |
| 7 May 2026 | -0.6% |
| 19 Feb 2026 | +1.6% |
| 5 Nov 2025 | +9.9% |
| 7 Aug 2025 | +1.3% |
| 1 May 2025 | -5.3% |
| 20 Feb 2025 | -4.7% |
| 5 Nov 2024 | +10.0% |
Targa Resources at a glance
Targa Resources Corp., alongside its subsidiary Targa Resources Partners LP, is a significant entity in the North American midstream energy sector, focusing on the ownership, operation, acquisition, and development of crucial energy infrastructure assets.
- Market value
- $59.6B
- Sector
- Energy
- Industry
- Oil & Gas Midstream
- Revenue expected, next twelve months
- $22.6B
- Consensus revenue growth, next fiscal year
- +10.6%
- Analysts with estimates
- 10
- Beta to the US market
- 0.00
- First valued by Faircurve
- 1 May 2026
How the fair value is worked out: the model prices Targa Resources on the value of the whole business, debt included, against the operating profit analysts expect next year (forward EV/EBITDA), runs 2,000 simulations across its inputs and takes the midpoint. The full method is documented here.
What changed in the latest valuation?
On 19 Sep 2026 the model's fair value for TRGP was $262.79. As of 26 Sep 2026 it is $245.13, a change of -6.7%. The model revalues every stock it covers each week, and again after an earnings report.
Questions about Targa Resources's valuation
Is Targa Resources stock undervalued or overvalued?
On Faircurve's model, TRGP reads as Fairly valued as of 26 Sep 2026. The model's fair value is $245.13 a share against a last close of $281.74, a gap of -13.0%.
What is TRGP's fair value?
$245.13 a share as of 26 Sep 2026, the midpoint of 2,000 simulations. The model's own 20th to 80th percentile range is $165.62 to $348.96.
What price range does the model give TRGP?
$205.66 to $298.89 over 63 trading days. Ranges built this way held the price 60% of the time across 4,327 past valuations, refreshed 26 Sep 2026.
When does Targa Resources report earnings next?
The next report is scheduled for 4 Nov 2026. Companies can move their dates.
How much has TRGP moved on past earnings reports?
Across its last 8 reports the median two session move was 3.2%, ignoring direction. The largest was +10.0% around the report of 5 Nov 2024.
How confident is the model in this valuation?
The model's evidence grade for TRGP is medium. The grade looks at how complete the inputs are, how many comparable companies there are and how closely they agree, and how wide the range of outcomes is. It is not a probability that the fair value is right, or that the price reaches it.