Core Viewpoint - Targa Resources Corp. is identified as a strong investment opportunity by hedge funds, with analysts projecting positive momentum and growth in the natural gas and NGL sectors [1][2]. Group 1: Analyst Insights - JPMorgan analyst Jeremy Tonet raised the price target for Targa Resources stock to $215 from $214, maintaining an "Overweight" rating, indicating confidence in the company's performance [1]. - The firm anticipates that Targa's momentum in the second half of 2025 is becoming evident, suggesting a positive outlook for the company's growth [1]. Group 2: Growth Projects - Targa Resources is advancing new organic growth projects to enhance NGL and natural gas production in the Permian Basin, addressing customer infrastructure needs [1]. - The company is constructing the Speedway NGL Pipeline to support the transportation of approximately 1 million barrels per day of natural gas liquids [2]. - Additionally, Targa is developing the Yeti gas processing plant, expected to process 275 million cubic feet per day, with an anticipated operational start in Q3 2027 [2]. Group 3: Market Position and Strategy - Targa Resources controls 90% of the fractionation capacity in Mont Belvieu, the largest hub for NGLs globally, benefiting from cost advantages and high entry barriers [3]. - Approximately 90% of Targa's earnings are generated through multi-year fee-based contracts, providing stability against market fluctuations [3]. - Despite concerns regarding Permian oil production growth impacting share prices, Targa is viewed as well-positioned for growth even in a slowing market [3].