Energy Transfer LP (ET)vsTarga Resources Inc (TRGP)
ET
Energy Transfer LP
$20.32
+0.05%
ENERGY · Cap: $69.68B
TRGP
Targa Resources Inc
$262.98
-0.61%
ENERGY · Cap: $61.06B
Smart Verdict
WallStSmart Research — data-driven comparison
Energy Transfer LP generates 457% more annual revenue ($92.29B vs $16.56B). TRGP leads profitability with a 12.9% profit margin vs 4.7%. ET appears more attractively valued with a PEG of 0.61. TRGP earns a higher WallStSmart Score of 66/100 (B-).
ET
Buy62
out of 100
Grade: C+
TRGP
Strong Buy66
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+85.1%
Fair Value
$136.61
Current Price
$20.32
$116.29 discount
Intrinsic value data unavailable for TRGP.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 32.1% year-over-year
Large-cap with strong market position
Growing faster than its price suggests
Attractively priced relative to earnings
Reasonable price relative to book value
Generating 1.5B in free cash flow
Every $100 of equity generates 68 in profit
Earnings expanding 142.9% YoY
Large-cap with strong market position
Strong operational efficiency at 20.9%
Areas to Watch
4.7% margin — thin
Weak financial health signals
Earnings declined 3.6%
Elevated debt levels
Moderate valuation
Trading at 18.0x book value
Revenue declined 10.2%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : ET
The strongest argument for ET centers on Revenue Growth, Market Cap, PEG Ratio. Revenue growth of 32.1% demonstrates continued momentum. PEG of 0.61 suggests the stock is reasonably priced for its growth.
Bull Case : TRGP
The strongest argument for TRGP centers on Return on Equity, EPS Growth, Market Cap. PEG of 1.10 suggests the stock is reasonably priced for its growth.
Bear Case : ET
The primary concerns for ET are Profit Margin, Piotroski F-Score, EPS Growth. Debt-to-equity of 2.06 is elevated, increasing financial risk. Thin 4.7% margins leave little buffer for downturns.
Bear Case : TRGP
The primary concerns for TRGP are P/E Ratio, Price/Book, Revenue Growth. Debt-to-equity of 6.10 is elevated, increasing financial risk.
Key Dynamics to Monitor
ET profiles as a hypergrowth stock while TRGP is a declining play — different risk/reward profiles.
TRGP carries more volatility with a beta of 0.70 — expect wider price swings.
ET is growing revenue faster at 32.1% — sustainability is the question.
ET generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
TRGP scores higher overall (66/100 vs 62/100). ET offers better value entry with a 85.1% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Energy Transfer LP
ENERGY · OIL & GAS MIDSTREAM · USA
Energy Transfer LP offers energy related services. The company is headquartered in Dallas, Texas.
Targa Resources Inc
ENERGY · OIL & GAS MIDSTREAM · USA
Targa Resources Corp. The company is headquartered in Houston, Texas.
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