TRGP TRGP

Name: TRGP Crucible Score
Creator: Kaladin Capital Intelligence

UnknownUnknownN/A📅 Scored March 31, 2026

Price at analysis: $244.39

Crucible Score

52.7

Quality × Value Composite

KQI — Quality

59.9

C+

Fundamental Quality Index

KVI — Value

43.8

Valuation Attractiveness Index

Crucible Verdict — TRGP

Targa Resources (TRGP) trades at a modest discount to fair value despite above-average moat durability and management effectiveness scores offsetting weak value metrics. TRGP's 44% earnings beat rate and insider selling signal execution inconsistency under CEO Giegler's two-year tenure. The quality-value disconnect suggests limited upside until the company demonstrates more reliable operational performance.

— Kal, Kaladin Capital Intelligence

◆ KQI Quality Dimensions

Financial Quality

56.1

Growth Profile

54.9

Moat Durability⚠

64.9

Management Effectiveness

62.7

Diversification & Resilience

52.8

Market Position

58.0

Weakest dimension: Diversification & Resilience (52.8)

◆ KVI Value Dimensions

DCF Margin of Safety

55.4

FCF Yield & Cash Returns

28.3

Relative Valuation

32.7

Growth-Adjusted Value

71.2

Historical Valuation

24.3

Macro Context

23.2

◆ DCF Valuation Scenarios

Bear Case

$168.52

Base Case

$258.74

Bull Case

$378.91

Price at Analysis

$244.39

Scenario	Fair Value	Rev CAGR (5yr)	Terminal Margin	WACC
🔴 Bear	$168.52	4.0%	18.0%	9.3%
🟢 Base	$258.74	6.0%	21.0%	8.7%
🟢 Bull	$378.91	9.0%	24.0%	8.2%

Key Assumptions: Revenue growth anchored to the 5-year trajectory showing recovery from ~$17.4B to ~$17.1B with strong EBITDA margin expansion from ~10% to ~28%. Capex intensity assumed to moderate from the recent ~19% of revenue as major growth projects complete, settling near 15-18%. Tax rate normalized to ~20% reflecting the upward trend from earlier low effective rates, and WACC derived from CAPM with 5.5% ERP and 0.85 beta, adjusted modestly across scenarios to reflect risk differentials in a midstream business with elevated leverage (~5x net debt/EBITDA).

◆ Financial Snapshot

Profitability

Gross Margin26.5%

Operating Margin20.1%

Net Margin10.8%

ROIC12.0%

ROE12.0%

Balance Sheet

Balance SheetCR: 0.67

Cash ConversionFCF/EPS: 0.32x

Capital IntensityCapex/Rev: 19.5%

Altman Z-Score2.65 (Grey)

Piotroski F-Score6/9 (Good)

Growth

Revenue CAGR-44.1% CAGR (suspect)

Earnings CAGR28.2% CAGR

Growth ConsistencyCV: 8.85

Segment Breadth2/3 growing (67%)

Quarterly TrendRev↓, Margin↑, WC↓

Earnings CredibilityTends to Beat

◆ Analyst Consensus & Leadership

Leadership & Governance

CEOMichal E. Giegler · 2 years

CEO Ownership1.4%

Compensation94% performance-based

Insider ActivitySelling

Capital AllocationROIC 12.0% vs WACC 3.8%

Earnings Beat Rate44% (8/22)

◆ Related Companies in Our Universe

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ADBE81.8A-NICE80.7A-DECK79.9A-INTU79.9A-EXEL78.3A-MTCH78.2A-TTD78.0B+

Methodology All Scores Crucible Briefs Performance @KaladinCI

Analysis conducted March 31, 2026 based on most recent SEC filings. Updated quarterly, after new SEC filings.

Point-in-time fundamental analysis. Not investment advice. Scores reflect company quality and valuation at time of analysis and may not reflect current market conditions.