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TRGP vs. VLO: Targa Resources vs. Valero Energy Stock Comparison

How do Targa Resources (TRGP) and Valero Energy (VLO) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Targa Resources (TRGP) and Valero Energy (VLO) both belong to the Oil, Gas & Consumable Fuels industry, though TRGP is classified under Oil & Gas Storage & Transportation while VLO falls under Oil & Gas Refining & Marketing.

Company profile comparison for Targa Resources (TRGP) and Valero Energy (VLO)
Profile ItemTRGPVLO
NameTarga Resources Corp.Valero Energy Corporation
Country/RegionUnited StatesUnited States
GICS SectorEnergyEnergy
GICS Industry GroupEnergyEnergy
GICS IndustryOil, Gas & Consumable FuelsOil, Gas & Consumable Fuels
GICS Sub-IndustryOil & Gas Storage & TransportationOil & Gas Refining & Marketing
Market Capitalization56.77 billion USD96.62 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateDecember 7, 2010January 4, 1982
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

TRGP
VLO
GSPC
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Targa Resources (TRGP) vs. Valero Energy (VLO), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Targa Resources (TRGP) and Valero Energy (VLO). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Targa Resources (TRGP) and Valero Energy (VLO). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
Total Return (1Y)61.02%107.71%
Total Return (3Y, Annualized)51.25%47.89%
Total Return (5Y, Annualized)39.54%39.74%

Risk Profile

Drawdown History

TRGP
VLO
GSPC
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Targa Resources (TRGP) vs. Valero Energy (VLO), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Targa Resources (TRGP) and Valero Energy (VLO). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
Volatility (1Y, Annualized)29.62%39.31%
Beta (5Y)0.790.60
Max Drawdown (5Y)-31.61%-41.22%
Avg. Volume (3M)1.21M3.05M

Risk-Adjusted Performance

Risk-Return Positioning

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TRGP and VLO are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
Sharpe Ratio (1Y)1.922.63
Sortino Ratio (1Y)2.914.08

Profitability

ROE (TTM)

Both companies show strong equity returns, but Targa Resources (TRGP) at 73.42% is the standout with ROE above its industry range; Valero Energy (VLO) at 46.87% also sits in the top quartile.

TRGP

Energy industry group

73.42%

TRGP
73.42%
Max
53.85%
Q3
24.79%
Median
12.85%
Q1
2.03%
Min
-29.09%

VLO

Energy industry group

46.87%

Max
53.85%
VLO
46.87%
Q3
24.79%
Median
12.85%
Q1
2.03%
Min
-29.09%
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their ROE against the Energy industry group benchmark.

Net Margin (TTM)

Both Targa Resources (TRGP) at 13.46% and Valero Energy (VLO) at 8.83% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

TRGP

Energy industry group

13.46%

Max
56.92%
Q3
22.92%
TRGP
13.46%
Median
10.10%
Q1
0.07%
Min
-27.38%

VLO

Energy industry group

8.83%

Max
56.92%
Q3
22.92%
Median
10.10%
VLO
8.83%
Q1
0.07%
Min
-27.38%
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their net margin against the Energy industry group benchmark.

Operating Margin (TTM)

Both Targa Resources (TRGP) at 19.58% and Valero Energy (VLO) at 20.47% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

TRGP

Energy industry group

19.58%

Max
71.31%
Q3
33.75%
TRGP
19.58%
Median
18.73%
Q1
6.94%
Min
-24.52%

VLO

Energy industry group

20.47%

Max
71.31%
Q3
33.75%
VLO
20.47%
Median
18.73%
Q1
6.94%
Min
-24.52%
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their operating margin against the Energy industry group benchmark.

Profitability Metrics

Profitability metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
ROE (TTM)73.42%46.87%
ROA (TTM)9.52%17.68%
Net Margin (TTM)13.46%8.83%
Operating Margin (TTM)19.58%20.47%
Gross Margin (TTM)41.82%19.52%

Growth

Revenue Growth

Both Targa Resources (TRGP) at 3.95% and Valero Energy (VLO) at -5.54% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their Revenue Growth across different time periods.

EPS Growth

Targa Resources (TRGP) at 46.92% sits in the top EPS growth quartile, while Valero Energy (VLO) at -11.77% is closer to the peer norm — faster per-share earnings growth for TRGP.

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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
Revenue Growth (YoY)3.95%-5.54%
Revenue Growth (3Y CAGR)-6.65%-11.40%
EPS Growth (YoY)46.92%-11.77%
EPS Growth (3Y CAGR)30.53%-36.12%

Financial Strength

Current Ratio (MRQ)

Valero Energy (VLO) at 1.72 keeps current ratio within its industry’s typical mid-range, while Targa Resources (TRGP) at 0.74 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for TRGP.

TRGP

Energy industry group

0.74

Max
3.64
Q3
2.21
Median
1.41
Q1
0.88
TRGP
0.74
Min
0.24

VLO

Energy industry group

1.72

Max
3.64
Q3
2.21
VLO
1.72
Median
1.41
Q1
0.88
Min
0.24
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their current ratio against the Energy industry group benchmark.

Debt / Equity (MRQ)

Valero Energy (VLO) at 0.35 is near its industry mid-range for debt-to-equity ratio, while Targa Resources (TRGP) at 5.01 sits above its benchmark range, pointing to a heavier debt load relative to equity.

TRGP

Energy industry group

5.01

TRGP
5.01
Max
1.75
Q3
0.93
Median
0.54
Q1
0.30
Min
0.00

VLO

Energy industry group

0.35

Max
1.75
Q3
0.93
Median
0.54
VLO
0.35
Q1
0.30
Min
0.00
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their debt-to-equity ratio against the Energy industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
Current Ratio (MRQ)0.741.72
Debt / Equity (MRQ)5.010.35
Net Debt / EBITDA3.380.06

Dividends

Dividend Yield (TTM)

Both Targa Resources (TRGP) at 1.75% and Valero Energy (VLO) at 1.35% pay solid, industry-typical yields, sitting squarely within their peers’ usual range.

TRGP

Energy industry group

1.75%

Max
8.57%
Q3
3.58%
TRGP
1.75%
Median
1.71%
Q1
0.00%
Min
0.00%

VLO

Energy industry group

1.35%

Max
8.57%
Q3
3.58%
Median
1.71%
VLO
1.35%
Q1
0.00%
Min
0.00%
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their dividend yield against the Energy industry group benchmark.

Dividend Payout Ratio (TTM)

Both Targa Resources (TRGP) at 39.82% and Valero Energy (VLO) at 10.76% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.

TRGP

Energy industry group

39.82%

Max
133.24%
Q3
53.31%
TRGP
39.82%
Median
25.24%
Q1
0.00%
Min
0.00%

VLO

Energy industry group

10.76%

Max
133.24%
Q3
53.31%
Median
25.24%
VLO
10.76%
Q1
0.00%
Min
0.00%
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their payout ratio against the Energy industry group benchmark.

Dividend Metrics

Dividend metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
Dividend Yield (TTM)1.75%1.35%
Dividend Payout Ratio (TTM)39.82%10.76%

Valuation

P/E Ratio (TTM)

Valero Energy (VLO) at 7.88 is near its industry’s usual P/E ratio, while Targa Resources (TRGP) at 23.42 sits in the richer quartile — TRGP needs stronger growth or earnings quality to justify the premium.

TRGP

Energy industry group

23.42

Max
39.54
TRGP
23.42
Q3
21.72
Median
12.19
Q1
7.71
Min
2.99

VLO

Energy industry group

7.88

Max
39.54
Q3
21.72
Median
12.19
VLO
7.88
Q1
7.71
Min
2.99
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their P/E ratio against the Energy industry group benchmark.

P/S Ratio (TTM)

Valero Energy (VLO) at 0.66 looks cheap on sales in the lower P/S ratio quartile, while Targa Resources (TRGP) at 3.12 looks rich in the upper quartile — a clear gap in price per dollar of revenue.

TRGP

Energy industry group

3.12

Max
5.40
TRGP
3.12
Q3
2.85
Median
1.69
Q1
0.88
Min
0.00

VLO

Energy industry group

0.66

Max
5.40
Q3
2.85
Median
1.69
Q1
0.88
VLO
0.66
Min
0.00
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their P/S ratio against the Energy industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Valero Energy (VLO) at 3.45 sits in the upper P/B ratio quartile, and Targa Resources (TRGP) at 14.87 prices even higher, above its industry range.

TRGP

Energy industry group

14.87

TRGP
14.87
Max
4.21
Q3
2.38
Median
1.51
Q1
1.08
Min
0.01

VLO

Energy industry group

3.45

Max
4.21
VLO
3.45
Q3
2.38
Median
1.51
Q1
1.08
Min
0.01
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Targa Resources (TRGP) vs. Valero Energy (VLO): A comparison of their P/B ratio against the Energy industry group benchmark.

Valuation Metrics

Valuation metrics for Targa Resources (TRGP) and Valero Energy (VLO)
MetricTRGPVLO
P/E Ratio (TTM)23.427.88
P/S Ratio (TTM)3.120.66
P/B Ratio (MRQ)14.873.45
Free Cash Flow Yield (TTM)0.29%13.02%