Targa Resources price target raised to $128 from $123 at RBC Capital

RBC Capital raised the firm’s price target on Targa Resources to $128 from $123 and keeps an Outperform rating on the shares. The company remains set up for growth with a clear path toward a material inflection to free cash flow generation in 2025 as Targa starts to realize growth project benefits and as the associated spending rolls off to a more normalized level, the analyst tells investors in a research note. Targa’s growth being anchored in the Permian and supported by projects that provide value across its system is “attractive”, RBC adds, stating that it expects the turn to positive free cash flow to enhance the company’s financial flexibility.