Targa Resources stock reports record Q2 EBITDA and stronger outlook

Published on 10/06/2026 at 17:13 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

TD Cowen upgraded Targa Resources from Hold to Buy on September 18, 2026, raising its target from USD 275 to USD 350. Q2 adjusted EBITDA rose 38 percent.

TRGP, US87612G1013, Illustration mit AI erstellt.

Targa Resources stock (ISIN US87612G1013) delivered record adjusted EBITDA of USD 1,603 million in Q2 2026, up 38 percent year over year, according to Quartr. The September 11, 2026 earnings summary also showed net income of USD 764.6 million, up 22 percent, and revenue of USD 4.44 billion, up 4 percent. The figures give the stock a fundamental anchor even as its latest session quote moved lower.

Record EBITDA raises the stakes

Targa's Q2 adjusted cash flow from operations reached USD 1,371 million, an increase of 47 percent from a year earlier, while adjusted free cash flow was USD 205 million, according to Quartr. Permian volumes reached a record 7.2 billion cubic feet per day, up 14 percent year over year, making throughput growth a central driver of the earnings profile.

Management expects full-year 2026 adjusted EBITDA toward the top end of its USD 5.7 billion to USD 5.9 billion guidance range. The same outlook includes USD 4.5 billion of net growth capital and a fee-based margin expected to exceed 90 percent, so the key investor question is whether new capacity can convert volume growth into cash generation.

TD Cowen lifts its target

According to Fintel on September 18, 2026, TD Cowen upgraded Targa Resources from Hold to Buy and raised its price target from USD 275 to USD 350. The revised target lies 22.8 percent above the October 6 price of USD 285.07.

Fintel also reported a broader Buy consensus on September 15, 2026, with a mean target of USD 322.34 and a median target of USD 320.28 across 31 recommendations. The mean target implies 13.1 percent upside to the October 6 quote, although consensus targets remain forecasts rather than realized returns.

TRGP trades below its yearly high

TRGP was trading at USD 285.07 on the NYSE at 11:12 a.m. ET on October 6, 2026, down USD 2.33 or 0.81 percent from the prior close, with 204,117 shares traded. The market capitalization was USD 61.2 billion, and the 52-week range stood at USD 144.14 to USD 307.94.