Targa Resources Corp. (TRGP) Financial Ratios
18 years of historical data (2008–2025) · Energy · Oil & Gas Midstream
EV/EBITDA
↑
14.44
↑+51% vs avg
5yr avg: 9.54
30Y Low5.8·High15.4
P/FCF
↑
92.90
↑+170% vs avg
5yr avg: 34.46
30Y Low6.6·High67.9
P/B Ratio
↑
16.97
↑+171% vs avg
5yr avg: 6.26
30Y Low0.2·High12.4
ROE
↑
48.4%
↓+106% vs avg
5yr avg: 23.5%
30Y Low-22%·High48%
Debt/EBITDA
↑
3.54
+9% vs avg
5yr avg: 3.24
30Y Low2.5·High6.8
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
TRGP Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Targa Resources Corp. trades at 29.6x earnings, 24% above its 5-year average of 23.8x, sitting at the 44th percentile of its historical range. Compared to the Energy sector median P/E of 16.8x, the stock trades at a premium of 77%. On a free-cash-flow basis, the stock trades at 92.9x P/FCF, 170% above the 5-year average of 34.5x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $54.3B | $39.7B | $39.5B | $19.6B | $17.0B | $11.9B | $6.1B | $9.5B | $8.1B | $10.0B | $10.4B |
| Enterprise Value | $71.6B | $57.0B | $53.6B | $32.5B | $28.3B | $18.4B | $13.7B | $17.0B | $14.5B | $14.9B | $15.2B |
| P/E Ratio → | 29.63 | 21.65 | 31.10 | 23.71 | 18.94 | — | — | — | — | — | — |
| P/S Ratio | 3.17 | 2.31 | 2.38 | 1.26 | 0.78 | 0.68 | 0.74 | 1.09 | 0.77 | 1.13 | 1.56 |
| P/B Ratio | 16.97 | 12.40 | 8.94 | 4.26 | 3.41 | 2.31 | 1.04 | 1.12 | 1.08 | 1.48 | 1.81 |
| P/FCF | 92.90 | 67.91 | 57.76 | 23.76 | 16.23 | 6.64 | 7.73 | — | — | — | 37.62 |
| P/OCF | 13.85 | 10.13 | 10.82 | 6.11 | 7.13 | 5.19 | 3.51 | 6.83 | 7.06 | 10.66 | 12.37 |
P/E links to full P/E history page with 30-year chart
TRGP EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Targa Resources Corp.'s enterprise value stands at 14.4x EBITDA, 51% above its 5-year average of 9.5x. The Energy sector median is 8.1x, placing the stock at a 79% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.33 | 3.22 | 2.08 | 1.31 | 1.06 | 1.65 | 1.96 | 1.37 | 1.68 | 2.28 |
| EV / EBITDA | 14.44 | 11.50 | 12.25 | 9.23 | 7.90 | 6.83 | 6.41 | 14.63 | 10.84 | 13.16 | 15.39 |
| EV / EBIT | 20.79 | 17.08 | 19.82 | 12.36 | 13.43 | 22.33 | — | 58.51 | 44.79 | — | — |
| EV / FCF | — | 97.67 | 78.39 | 39.34 | 27.07 | 10.24 | 17.26 | — | — | — | 55.08 |
TRGP Profitability
Margins and return-on-capital ratios measuring operating efficiency
Targa Resources Corp. earns an operating margin of 20.1%, above the Energy sector average of 14.3%. Operating margins have expanded from 14.0% to 20.1% over the past 3 years, signaling improving operational efficiency. Return on equity of 48.4% is exceptionally high — well above the sector median of 7.8%. ROIC of 13.2% represents solid returns on invested capital versus a sector median of 6.3%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 26.5% | 26.5% | 20.0% | 16.2% | 12.9% | 12.0% | 18.4% | 17.2% | 7.4% | 5.9% | 6.2% |
| Operating Margin | 20.1% | 20.1% | 17.7% | 14.0% | 11.5% | 10.4% | 15.3% | 2.2% | 4.9% | 3.6% | 3.4% |
| Net Profit Margin | 10.8% | 10.8% | 7.6% | 5.3% | 5.3% | 0.4% | -18.8% | -2.4% | 0.0% | 0.6% | -2.8% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 48.4% | 48.4% | 28.1% | 17.3% | 22.5% | 1.3% | -21.7% | -2.6% | 0.0% | 0.9% | -3.1% |
| ROA | 7.7% | 7.7% | 5.8% | 4.1% | 6.6% | 0.5% | -9.0% | -1.2% | 0.0% | 0.4% | -1.4% |
| ROIC | 13.2% | 13.2% | 12.3% | 9.7% | 13.3% | 10.9% | 6.4% | 1.0% | 3.0% | 2.2% | 1.5% |
| ROCE | 16.7% | 16.7% | 15.7% | 12.7% | 16.9% | 13.5% | 8.2% | 1.2% | 3.9% | 2.6% | 1.9% |
TRGP Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Targa Resources Corp. carries a Debt/EBITDA ratio of 3.5x, which is moderately leveraged (46% above the sector average of 2.4x). Net debt stands at $17.4B ($17.5B total debt minus $166M cash). Interest coverage of 3.9x is adequate, though a cyclical earnings downturn could tighten the margin of safety.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 5.49 | 5.49 | 3.23 | 2.82 | 2.32 | 1.28 | 1.32 | 0.93 | 0.89 | 0.75 | 0.85 |
| Debt / EBITDA | 3.54 | 3.54 | 3.26 | 3.69 | 3.23 | 2.46 | 3.66 | 6.76 | 4.98 | 4.45 | 4.95 |
| Net Debt / Equity | — | 5.43 | 3.19 | 2.79 | 2.28 | 1.25 | 1.28 | 0.89 | 0.86 | 0.73 | 0.84 |
| Net Debt / EBITDA | 3.50 | 3.50 | 3.22 | 3.65 | 3.17 | 2.40 | 3.54 | 6.47 | 4.80 | 4.33 | 4.88 |
| Debt / FCF | — | 29.76 | 20.63 | 15.58 | 10.84 | 3.60 | 9.53 | — | — | — | 17.46 |
| Interest Coverage | 3.92 | 3.92 | 3.53 | 3.82 | 4.73 | 2.13 | -3.02 | 0.86 | 1.26 | -0.25 | -0.02 |
TRGP Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
The current ratio of 0.67x is below 1.0, meaning current liabilities exceed current assets. The current ratio has declined from 0.79x to 0.67x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.67 | 0.67 | 0.72 | 0.79 | 0.77 | 0.77 | 0.82 | 0.89 | 0.51 | 0.79 | 0.86 |
| Quick Ratio | 0.55 | 0.55 | 0.62 | 0.66 | 0.64 | 0.70 | 0.72 | 0.80 | 0.45 | 0.66 | 0.74 |
| Cash Ratio | 0.05 | 0.05 | 0.05 | 0.05 | 0.07 | 0.07 | 0.14 | 0.18 | 0.08 | 0.08 | 0.06 |
| Asset Turnover | — | 0.68 | 0.73 | 0.76 | 1.11 | 1.15 | 0.52 | 0.46 | 0.62 | 0.62 | 0.52 |
| Inventory Turnover | 29.33 | 29.33 | 39.79 | 35.22 | 47.97 | 100.05 | 37.19 | 44.46 | 59.36 | 40.78 | 45.27 |
| Days Sales Outstanding | — | 31.41 | 35.53 | 34.38 | 23.71 | 27.87 | 38.07 | 35.99 | 29.93 | 34.08 | 40.78 |
TRGP Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Targa Resources Corp. returns 2.7% to shareholders annually — split between a 1.5% dividend yield and 1.2% buyback yield. A payout ratio of 44.4% is moderate and appears sustainable, balancing shareholder returns with reinvestment capacity. The earnings yield of 3.4% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.5% | 2.1% | 1.6% | 2.2% | 2.2% | 1.6% | 6.5% | 10.2% | 11.2% | 8.4% | 5.5% |
| Payout Ratio | 44.4% | 44.4% | 48.5% | 51.6% | 33.2% | 263.3% | — | — | 56768.8% | 1561.5% | — |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.4% | 4.6% | 3.2% | 4.2% | 5.3% | — | — | — | — | — | — |
| FCF Yield | 1.1% | 1.5% | 1.7% | 4.2% | 6.2% | 15.1% | 12.9% | — | — | — | 2.7% |
| Buyback Yield | 1.2% | 1.6% | 1.9% | 1.9% | 7.0% | 0.4% | 4.4% | 0.1% | 0.0% | 0.0% | 0.0% |
| Total Shareholder Yield | 2.7% | 3.7% | 3.5% | 4.1% | 9.2% | 2.0% | 10.8% | 10.3% | 11.3% | 8.4% | 5.5% |
| Shares Outstanding | — | $215M | $221M | $226M | $231M | $229M | $232M | $233M | $224M | $207M | $185M |
Peer Comparison
Compare TRGP with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 TRGPYou | $54B | 29.6 | 14.4 | 92.9 | 26.5% | 20.1% | 48.4% | 13.2% | 3.5 |
 WES | $18B | 14.4 | 11.2 | 12.1 | 68.5% | 41.3% | 31.0% | 10.5% | 3.9 |
 CTRA | $25B | 14.5 | 5.9 | 15.1 | 60.4% | 89.1% | 12.3% | 10.9% | 0.8 |
 DT | $12B | 25.4 | 49.0 | 27.9 | 81.2% | 10.6% | 20.9% | 9.0% | 0.3 |
 HESM | $8B | 13.5 | 9.7 | 11.0 | 63.9% | 62.2% | 78.1% | 18.6% | 3.1 |
 MPLX | $57B | 11.7 | 13.3 | 13.9 | 45.2% | 40.3% | 34.4% | 9.9% | 4.3 |
 AM | $10B | 24.7 | 15.5 | 13.1 | 65.3% | 51.2% | 20.2% | 9.4% | 3.8 |
 EPD | $82B | 14.2 | 12.1 | 27.5 | 13.6% | 13.1% | 19.3% | 8.3% | 3.7 |
 ET | $69B | 14.8 | 9.4 | 17.8 | 21.8% | 11.4% | 10.2% | 6.3% | 4.9 |
 PAGP | $5B | 45.4 | 5.6 | 2.5 | 7.0% | 2.3% | 0.7% | 4.0% | 3.6 |
 OKE | $54B | 15.8 | 10.2 | 22.1 | 21.5% | 20.7% | 15.2% | 9.6% | 3.9 |
| Energy Median | — | 16.8 | 8.1 | 14.3 | 31.9% | 14.3% | 7.8% | 6.3% | 2.4 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 18 years · Updated daily
Full TRGP Stock Analysis
Analyst consensus, bull case, AI-generated risk factors, and peer comparison — all in one place.
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View ValuationCompare TRGP vs WES
Side-by-side business, growth, and profitability comparison vs Western Midstream Partners, LP.
Start ComparisonTRGP — Frequently Asked Questions
Quick answers to the most common questions about buying TRGP stock.
What is Targa Resources Corp.'s P/E ratio?
Targa Resources Corp.'s current P/E ratio is 29.6x. The historical average is 37.1x. This places it at the 44th percentile of its historical range.
What is Targa Resources Corp.'s EV/EBITDA?
Targa Resources Corp.'s current EV/EBITDA is 14.4x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 9.7x.
What is Targa Resources Corp.'s ROE?
Targa Resources Corp.'s return on equity (ROE) is 48.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 6.2%.
Is TRGP stock overvalued?
Based on historical data, Targa Resources Corp. is trading at a P/E of 29.6x. This is at the 44th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Targa Resources Corp.'s dividend yield?
Targa Resources Corp.'s current dividend yield is 1.51% with a payout ratio of 44.4%.
What are Targa Resources Corp.'s profit margins?
Targa Resources Corp. has 26.5% gross margin and 20.1% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does Targa Resources Corp. have?
Targa Resources Corp.'s Debt/EBITDA ratio is 3.5x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.