Question 1

What is Targa Resources's P/FCF ratio?

Accepted Answer

Targa Resources (TRGP) P/FCF ratio is 233.5× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for Targa Resources?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For Targa Resources specifically, the relevant sector benchmark is the current sector median of 22.1×.

Question 5

Is Targa Resources's P/FCF ratio high or low?

Accepted Answer

Targa Resources's P/FCF ratio of 233.5× is above its own 5-year average of 46.9× and above the sector median of 22.1×. That places the current reading at the 100th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Targa Resources's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Targa Resources (TRGP) P/FCF ratio has ranged from a low of 4.0× in 2010 to a high of 233.5× in 2026. The 5-year average is 46.9× and the 5-year median is 27.5×.

Question 7

What was Targa Resources's P/FCF ratio in 2025?

Accepted Answer

Targa Resources (TRGP) P/FCF ratio at the end of 2025 was 67.9×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does Targa Resources's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$39.7B	$584M	67.9×	+10.4×	Dec 31, 2025
2024	$39.3B	$684M	57.5×	+34.1×	Dec 31, 2024
2023	$19.3B	$826M	23.4×	+7.5×	Dec 31, 2023
2022	$16.7B	$1.05B	15.9×	+9.3×	Dec 31, 2022
2021	$12B	$1.8B	6.6×	-1.0×	Dec 31, 2021
2020	$6.03B	$793M	7.6×	—	Dec 31, 2020
2019	$9.51B	-$1.49B	—	—	Dec 31, 2019
2018	$8.3B	-$1.97B	—	—	Dec 31, 2018
2017	$10.5B	-$358M	—	—	Dec 31, 2017
2016	$10.2B	$275M	36.9×	+29.9×	Dec 31, 2016
2015	$1.52B	$218M	7.0×	—	Dec 31, 2015
2014	$4.45B	-$400K	—	—	Dec 31, 2014
2013	$3.68B	-$631M	—	—	Dec 31, 2013
2012	$2.17B	-$155M	—	—	Dec 31, 2012
2011	$1.67B	$47.4M	35.2×	+19.4×	Dec 31, 2011
2010	$1.1B	$69.2M	15.8×	—	Dec 31, 2010


Phillips 66 (PSX)	615.5×
Williams Companies (WMB)	123.3×
Enbridge (ENB)	73.7×
Texas Pacific Land (TPL)	66.3×
Diamondback Energy (FANG)	35.1×
Enphase Energy (ENPH)	34.2×
Chevron (CVX)	30.6×
National Fuel Gas (NFG)	29.1×
Baker Hughes (BKR)	26.4×
ONEOK (OKE)	25.4×
EOG Resources (EOG)	18.9×
Energy Transfer LP (ET)	18.2×
Occidental Petroleum (OXY)	17.8×
SLB (SLB)	16.5×
Halliburton (HAL)	16.5×
Marathon Petroleum (MPC)	12.6×
Valero Energy (VLO)	12.4×
Devon Energy (DVN)	11.9×
ConocoPhillips (COP)	10.5×
APA (APA)	10.1×
Expand Energy (EXE)	9.2×

P/FCF Ratio for Targa Resources (TRGP) 2010-2026

P/FCF Ratio daily chart for Targa Resources (TRGP)

Historical P/FCF Ratio for Targa Resources (TRGP) from 2010 to 2025

About P/FCF Ratio at Targa Resources (TRGP)

Targa Resources P/FCF Ratio by Year

Targa Resources P/FCF Ratio 2025: 67.9×

Targa Resources P/FCF Ratio 2024: 57.5×

Targa Resources P/FCF Ratio 2023: 23.4×

Targa Resources P/FCF Ratio 2022: 15.9×

Targa Resources P/FCF Ratio 2021: 6.6×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Targa Resources (TRGP) Key Financials