Targa Resources’ Price Target Raised to $257 as Q1 Revenues Miss by 19.6%
Scotiabank raised Targa Resources’ price target to $257 as Q1 earnings of $2.21 per share and revenues of $4.09 billion missed consensus estimates by 19.6%. It posted Q1 net income of $480 million and adjusted EBITDA of $1.40 billion and lifted its 2026 forecast to $5.70–$5.90 billion on higher Permian volumes and new plants.
1. Analyst Raises Price Target
Scotiabank increased its price target for Targa Resources to $257 from $249, reflecting confidence in the company’s midstream operations despite recent quarterly misses.
2. Q1 Financial Performance
In Q1, the company reported earnings of $2.21 per share versus a $2.55 consensus and revenues of $4.09 billion, missing estimates by 19.6%. Year-over-year EPS rose from $0.91 to $2.21, with net income of $480 million and adjusted EBITDA of $1.40 billion.
3. Updated Outlook and Growth Drivers
Management raised the full-year 2026 adjusted EBITDA forecast to $5.70–$5.90 billion, citing record Permian basin volumes and capacity gains from the new Falcon II and East Pembrook processing plants.