Targa Resources Corp. (TRGP): From Top to Bottom

Targa Resources Corp. (TRGP) is an interesting player in the Basic Materials space, with a focus on Oil & Gas Pipelines. The stock has been active on the tape, currently trading at $48.78, down from yesterday’s close by -3.67%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

Targa Resources Corp. (TRGP) currently trades with a market capitalization of $10.59 Billion. That value represents a market adjusting for revenues that have been growing by 16.24 % on a quarterly year/year basis as of the company’s last quarterly report.

You can get a sense of how sustainable that is by a levered free cash flow of -$774 Million over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of -$0.04 on a per share basis this quarter. Perhaps, that suggests something about why 1.38% of the outstanding share supply is held by institutional investors.

Technical Analysis

As most professionals know, technical analysis can offer critical insights into what smart money and insiders think about a stock’s prospects going forward. Looking at the stock’s movement on the chart, Targa Resources Corp. recorded a 52-week high of $52.08. It is now trading 3.3% off that level. The stock is trading $47.35 its 50-day moving average by -1.43%. The stock carved out a 52-week low down at $39.59.

In recent action, Targa Resources Corp. (TRGP) has made a move of -0.14% over the past month, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 14.11, and it’s gotten there by action that has been more volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 5.25% with $216.20 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of TRGP.

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