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: $280.77 DETAILS
HIGH: $331.00
LOW: $231.00
MEDIAN: $281.00
CONSENSUS: $280.77
DOWNSIDE: 0.76%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Moderate
Trading 30.5% above fair value
Current Price $282.91
Bear Case $173.47 38.7% downside ($173.47 - $282.91) / $282.91 = -38.7% $9.13 × 17x P/E
Fair Value $216.84 23.4% downside ($216.84 - $282.91) / $282.91 = -23.4% $9.13 × 21x P/E
Bull Case $260.21 8.0% downside ($260.21 - $282.91) / $282.91 = -8.0% $9.13 × 25x P/E

Adjust Assumptions

20.8x
9.13$

Key Value Driver

Normalized P/E multiple (21x base case)

Implied Market Multiple 31.0x

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 $280.77 from 34 analysts, using a 30% weight on analyst consensus. That produces an estimated intrinsic value of $216.84 per share.

Warnings

Wall Street's average price target is $280.77 (from 34 analysts). Our estimate is 33% 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