Targa Resources Corp. cash flow to debt ratio of 22.33% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Targa Resources Corp.'s free cash flow has decreased 14.59% from $683.90M last year to $584.10M, signaling decreasing performance

Targa Resources Corp.'s debt to equity ratio is 5.51, which means that the company's assets are unhealthy financed, signaling financial risk.

Targa Resources Corp.'s debt has increased relative to shareholder equity from 5.50 last year to 5.51 today, signaling weakened financials

Targa Resources Corp. has a net debt to EBITDA ratio of 3.58x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Targa Resources Corp.'s interest coverage ratio of 5.76 indicates that earnings with good margin can cover interest payments on company debt

Targa Resources Corp.'s profit margin has increased (76.64%) in the last year from 7.64% to 13.49%, signaling increasing performance

Targa Resources Corp.'s short-term liabilities of $3.55B exceed its short-term assets of $2.36B, signaling financial risk

Targa Resources Corp.'s return on assets of 7.94% is higher than the 5.00% threshold, indicating efficient asset utilization

Targa Resources Corp.'s return on equity of 72.08%, is higher than 15.00%, indicating good performance

Targa Resources Corp.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Targa Resources Corp. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Targa Resources Corp. has positive free cash flow, indicating the company generates cash after capital expenditures

Targa Resources Corp. has a free cash flow yield of 1.02%, which is below the 2.00% threshold, indicating limited cash return relative to market value

Targa Resources Corp.'s yearly earnings has increased 45.29% since last year from $1.27B to $1.84B, signaling increasing performance

Targa Resources Corp.'s yearly revenue has increased 3.06% since last year from $16.63B to $17.14B, signaling increasing performance

ROIC 14.09% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

Targa Resources Corp.'s 3-year revenue CAGR of -7.55% is negative, indicating declining revenue over the past 3 years

Targa Resources Corp. had revenue growth in 4 out of 5 years, indicating consistent revenue performance

Targa Resources Corp. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Targa Resources Corp. has insufficient data to evaluate this check.

Targa Resources Corp. has an earnings yield of 3.96%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Targa Resources Corp. is overvalued relative to its fair value price of 77.24 based on EBITDA multiple model

Targa Resources Corp. has an EV/EBITDA ratio of 15.35x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Targa Resources Corp. is overvalued relative to its fair value price of 237.68 based on Earnings Fair Value model

Targa Resources Corp. had non-positive diluted EPS five years ago; the PEG ratio is not meaningful and the check fails.

Targa Resources Corp. has a price-to-book ratio of 15.08x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Targa Resources Corp. has a price-to-sales ratio of 3.41x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue