The Investor
05 Nov 2026, 15:02
Targa Resources Rises 1% as EBITDA Grows and 2027 Dividend Increase Signals Confidence
Targa Resources (NYSE: TRGP) shares rose about 1% after the company reported higher third-quarter earnings, record Permian and NGL volumes, and outlined plans for a 20% dividend increase in 2027.
Third-quarter net income rose to $658 million from $478 million a year earlier, while adjusted EBITDA increased 18% to $1.50 billion.
Operationally, Targa posted record Permian inlet, NGL transportation and fractionation volumes. The company also continued expanding its infrastructure footprint, including new processing plants in the Permian and a new NGL fractionation train in Mont Belvieu.
Targa now expects full-year 2026 adjusted EBITDA of at least $6.0 billion, while maintaining its approximately $5.0 billion growth capital spending outlook.
Management also plans to recommend a 2027 annual dividend of $6.00 per share, up 20% from the 2026 level.
The 1% share gain appears to reflect strong volume growth, continued infrastructure expansion and confidence in rising shareholder returns, despite a sequential decline in adjusted EBITDA caused by weaker marketing and LPG export margins.
Targa Resources (NYSE: TRGP) shares rose about 1% after the company reported higher third-quarter earnings, record Permian and NGL volumes, and outlined plans for a 20% dividend increase in 2027.
Third-quarter net income rose to $658 million from $478 million a year earlier, while adjusted EBITDA increased 18% to $1.50 billion.
Operationally, Targa posted record Permian inlet, NGL transportation and fractionation volumes. The company also continued expanding its infrastructure footprint, including new processing plants in the Permian and a new NGL fractionation train in Mont Belvieu.
Targa now expects full-year 2026 adjusted EBITDA of at least $6.0 billion, while maintaining its approximately $5.0 billion growth capital spending outlook.
Management also plans to recommend a 2027 annual dividend of $6.00 per share, up 20% from the 2026 level.
The 1% share gain appears to reflect strong volume growth, continued infrastructure expansion and confidence in rising shareholder returns, despite a sequential decline in adjusted EBITDA caused by weaker marketing and LPG export margins.
