Targa Resources Corp. logo TRGP - Targa Resources Corp.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
1
BUY 26
HOLD 7
SELL 0
STRONG
SELL
0
| PRICE TARGET: $266.00 DETAILS
HIGH: $331.00
LOW: $228.00
MEDIAN: $268.00
CONSENSUS: $266.00
DOWNSIDE: 3.88%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Moderate
Trading 30.3% above fair value
Current Price $276.75
Bear Case $169.92 38.6% downside ($169.92 - $276.75) / $276.75 = -38.6% $9.13 × 17x P/E
Fair Value $212.41 23.2% downside ($212.41 - $276.75) / $276.75 = -23.2% $9.13 × 21x P/E
Bull Case $254.89 7.9% downside ($254.89 - $276.75) / $276.75 = -7.9% $9.13 × 25x P/E

Adjust Assumptions

20.8x
9.13$

Key Value Driver

Normalized P/E multiple (21x base case)

Implied Market Multiple 30.3x

Plain-Language Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $266.00 from 34 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $212.41 per share.

Warnings

Wall Street's average price target is $266.00 (from 34 analysts). Our estimate is 29% below the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples