3 Reasons Growth Investors Will Love Targa Resources (TRGP)

Core Viewpoint - Investors are increasingly seeking growth stocks that demonstrate above-average growth potential, with Targa Resources, Inc. (TRGP) being highlighted as a strong candidate due to its favorable growth metrics and Zacks Rank [1][2]. Group 1: Earnings Growth - Targa Resources has a historical EPS growth rate of 70.2%, with projected EPS growth of 44.1% for the current year, surpassing the industry average of 36.7% [4]. - Double-digit earnings growth is preferred by growth investors as it indicates strong future prospects and potential stock price increases [3]. Group 2: Cash Flow Growth - The company exhibits a year-over-year cash flow growth of 24.7%, significantly higher than the industry average of -9.4% [5]. - Over the past 3-5 years, Targa Resources has maintained an annualized cash flow growth rate of 24.2%, compared to the industry average of 11.5% [6]. Group 3: Earnings Estimate Revisions - There is a positive trend in earnings estimate revisions for Targa Resources, with the current-year earnings estimates increasing by 1.9% over the past month [7]. - A strong correlation exists between earnings estimate revisions and near-term stock price movements, making this trend a positive indicator for investors [7]. Group 4: Overall Assessment - Targa Resources has achieved a Growth Score of A and a Zacks Rank of 2, indicating it is a solid choice for growth investors and a potential outperformer in the market [9].