TEXAS PACIFIC LAND CORP (TPL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TPL - US88262P1021 - Common Stock
876.72 USD
-19.71 (-2.2%)
876.72 USD
0 (0%)
We assign a fundamental rating of 7 out of 10 to TPL. TPL was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. TPL scores excellent points on both the profitability and health parts. This is a solid base for a good stock. TPL is valied quite expensively at the moment, while it does show a decent growth rate. These ratings would make TPL suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year TPL was profitable.
In the past year TPL had a positive cash flow from operations.
Each year in the past 5 years TPL has been profitable.
In the past 5 years TPL always reported a positive cash flow from operatings.
1.2 Ratios
TPL's Return On Assets of 31.24% is amongst the best of the industry. TPL outperforms 96.67% of its industry peers.
Looking at the Return On Equity, with a value of 34.82%, TPL belongs to the top of the industry, outperforming 93.81% of the companies in the same industry.
TPL has a better Return On Invested Capital (31.87%) than 97.62% of its industry peers.
TPL had an Average Return On Invested Capital over the past 3 years of 40.76%. This is significantly above the industry average of 21.41%.
The 3 year average ROIC (40.76%) for TPL is well above the current ROIC(31.87%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.24% | ||
| ROE | 34.82% | ||
| ROIC | 31.87% |
ROA(3y)40.77%
ROA(5y)37.69%
ROE(3y)45.57%
ROE(5y)42.89%
ROIC(3y)40.76%
ROIC(5y)38.64%
1.3 Margins
TPL's Profit Margin of 61.68% is amongst the best of the industry. TPL outperforms 95.24% of its industry peers.
In the last couple of years the Profit Margin of TPL has remained more or less at the same level.
TPL has a better Operating Margin (75.80%) than 96.67% of its industry peers.
TPL's Operating Margin has been stable in the last couple of years.
With an excellent Gross Margin value of 94.13%, TPL belongs to the best of the industry, outperforming 98.57% of the companies in the same industry.
In the last couple of years the Gross Margin of TPL has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 75.8% | ||
| PM (TTM) | 61.68% | ||
| GM | 94.13% |
OM growth 3Y-1.68%
OM growth 5Y-1.28%
PM growth 3Y2.42%
PM growth 5Y-0.21%
GM growth 3Y-1.25%
GM growth 5Y-0.48%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), TPL is creating value.
Compared to 1 year ago, TPL has about the same amount of shares outstanding.
The number of shares outstanding for TPL has been reduced compared to 5 years ago.
TPL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 80.69 indicates that TPL is not in any danger for bankruptcy at the moment.
The Altman-Z score of TPL (80.69) is better than 98.57% of its industry peers.
There is no outstanding debt for TPL. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 80.69 |
ROIC/WACC3.66
WACC8.7%
2.3 Liquidity
TPL has a Current Ratio of 8.70. This indicates that TPL is financially healthy and has no problem in meeting its short term obligations.
TPL has a better Current ratio (8.70) than 92.86% of its industry peers.
TPL has a Quick Ratio of 8.70. This indicates that TPL is financially healthy and has no problem in meeting its short term obligations.
TPL's Quick ratio of 8.70 is amongst the best of the industry. TPL outperforms 93.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.7 | ||
| Quick Ratio | 8.7 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.21% over the past year.
TPL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.56% yearly.
Looking at the last year, TPL shows a quite strong growth in Revenue. The Revenue has grown by 12.48% in the last year.
TPL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.55% yearly.
EPS 1Y (TTM)6.21%
EPS 3Y19.3%
EPS 5Y7.56%
EPS Q2Q%13.82%
Revenue 1Y (TTM)12.48%
Revenue growth 3Y16.11%
Revenue growth 5Y7.55%
Sales Q2Q%17.01%
3.2 Future
The Earnings Per Share is expected to grow by 11.61% on average over the next years. This is quite good.
TPL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.11% yearly.
EPS Next Y18.18%
EPS Next 2Y11.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year17.02%
Revenue Next 2Y14.11%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 42.35 indicates a quite expensive valuation of TPL.
64.76% of the companies in the same industry are cheaper than TPL, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 25.65, TPL is valued quite expensively.
With a Price/Forward Earnings ratio of 35.69, TPL can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, TPL is valued a bit more expensive than the industry average as 62.86% of the companies are valued more cheaply.
TPL's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 34.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.35 | ||
| Fwd PE | 35.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, TPL is valued a bit more expensive than the industry average as 71.43% of the companies are valued more cheaply.
TPL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 100.99 | ||
| EV/EBITDA | 30.77 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of TPL may justify a higher PE ratio.
PEG (NY)2.33
PEG (5Y)5.6
EPS Next 2Y11.61%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a yearly dividend of 0.72%, TPL is not a good candidate for dividend investing.
TPL's Dividend Yield is slightly below the industry average, which is at 5.88.
With a Dividend Yield of 0.72, TPL pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.72% |
5.2 History
On average, the dividend of TPL grows each year by 49.85%, which is quite nice.
TPL has been paying a dividend for at least 10 years, so it has a reliable track record.
TPL has decreased its dividend recently.
Dividend Growth(5Y)49.85%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
TPL pays out 31.02% of its income as dividend. This is a sustainable payout ratio.
TPL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.02%
EPS Next 2Y11.61%
EPS Next 3YN/A
876.72
-19.71 (-2.2%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners71.92%
Inst Owner Change-0.02%
Ins Owners0.85%
Ins Owner Change0.01%
Market Cap20.15B
Revenue(TTM)772.39M
Net Income(TTM)476.39M
Analysts74.29
Price Target930.56 (6.14%)
Short Float %7.02%
Short Ratio11.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.72% |
Yearly Dividend15.11
Dividend Growth(5Y)49.85%
DP31.02%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-41.15%
Min EPS beat(2)-72.72%
Max EPS beat(2)-9.57%
EPS beat(4)0
Avg EPS beat(4)-38.47%
Min EPS beat(4)-72.72%
Max EPS beat(4)-0.97%
EPS beat(8)2
Avg EPS beat(8)-19.64%
EPS beat(12)3
Avg EPS beat(12)-15.18%
EPS beat(16)4
Avg EPS beat(16)-11.72%
Revenue beat(2)0
Avg Revenue beat(2)-6.36%
Min Revenue beat(2)-9.86%
Max Revenue beat(2)-2.86%
Revenue beat(4)1
Avg Revenue beat(4)-2.71%
Min Revenue beat(4)-9.86%
Max Revenue beat(4)4.39%
Revenue beat(8)3
Avg Revenue beat(8)-0.6%
Revenue beat(12)4
Avg Revenue beat(12)-1.72%
Revenue beat(16)6
Avg Revenue beat(16)-0.5%
PT rev (1m)-16.76%
PT rev (3m)-17.14%
EPS NQ rev (1m)-71.93%
EPS NQ rev (3m)-71.93%
EPS NY rev (1m)-5.31%
EPS NY rev (3m)-5.31%
Revenue NQ rev (1m)1.36%
Revenue NQ rev (3m)1.36%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.3%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 42.35 | ||
| Fwd PE | 35.69 | ||
| P/S | 26.08 | ||
| P/FCF | 100.99 | ||
| P/OCF | 36.05 | ||
| P/B | 14.73 | ||
| P/tB | 15.1 | ||
| EV/EBITDA | 30.77 |
EPS(TTM)20.7
EY2.36%
EPS(NY)24.56
Fwd EY2.8%
FCF(TTM)8.68
FCFY0.99%
OCF(TTM)24.32
OCFY2.77%
SpS33.61
BVpS59.53
TBVpS58.07
PEG (NY)2.33
PEG (5Y)5.6
Graham Number166.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 31.24% | ||
| ROE | 34.82% | ||
| ROCE | 40.65% | ||
| ROIC | 31.87% | ||
| ROICexc | 50.53% | ||
| ROICexgc | 53.55% | ||
| OM | 75.8% | ||
| PM (TTM) | 61.68% | ||
| GM | 94.13% | ||
| FCFM | 25.83% |
ROA(3y)40.77%
ROA(5y)37.69%
ROE(3y)45.57%
ROE(5y)42.89%
ROIC(3y)40.76%
ROIC(5y)38.64%
ROICexc(3y)95.15%
ROICexc(5y)89.84%
ROICexgc(3y)98.68%
ROICexgc(5y)92.36%
ROCE(3y)51.99%
ROCE(5y)49.28%
ROICexgc growth 3Y-19.02%
ROICexgc growth 5Y-14.71%
ROICexc growth 3Y-20.28%
ROICexc growth 5Y-15.41%
OM growth 3Y-1.68%
OM growth 5Y-1.28%
PM growth 3Y2.42%
PM growth 5Y-0.21%
GM growth 3Y-1.25%
GM growth 5Y-0.48%
F-Score6
Asset Turnover0.51
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 690.06% | ||
| Cap/Sales | 46.52% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 87.65% | ||
| Profit Quality | 41.88% | ||
| Current Ratio | 8.7 | ||
| Quick Ratio | 8.7 | ||
| Altman-Z | 80.69 |
F-Score6
WACC8.7%
ROIC/WACC3.66
Cap/Depr(3y)748.21%
Cap/Depr(5y)504.83%
Cap/Sales(3y)24.41%
Cap/Sales(5y)17.08%
Profit Quality(3y)65.9%
Profit Quality(5y)78.56%
High Growth Momentum
Growth
EPS 1Y (TTM)6.21%
EPS 3Y19.3%
EPS 5Y7.56%
EPS Q2Q%13.82%
EPS Next Y18.18%
EPS Next 2Y11.61%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)12.48%
Revenue growth 3Y16.11%
Revenue growth 5Y7.55%
Sales Q2Q%17.01%
Revenue Next Year17.02%
Revenue Next 2Y14.11%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y10.37%
EBIT growth 3Y14.16%
EBIT growth 5Y6.17%
EBIT Next Year34.67%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-47.03%
FCF growth 3Y-36.45%
FCF growth 5Y-22.66%
OCF growth 1Y27.19%
OCF growth 3Y22.77%
OCF growth 5Y7.44%
TEXAS PACIFIC LAND CORP / TPL FAQ
What is the fundamental rating for TPL stock?
ChartMill assigns a fundamental rating of 7 / 10 to TPL.
What is the valuation status for TPL stock?
ChartMill assigns a valuation rating of 2 / 10 to TEXAS PACIFIC LAND CORP (TPL). This can be considered as Overvalued.
How profitable is TEXAS PACIFIC LAND CORP (TPL) stock?
TEXAS PACIFIC LAND CORP (TPL) has a profitability rating of 9 / 10.
Can you provide the PE and PB ratios for TPL stock?
The Price/Earnings (PE) ratio for TEXAS PACIFIC LAND CORP (TPL) is 42.35 and the Price/Book (PB) ratio is 14.73.
Can you provide the expected EPS growth for TPL stock?
The Earnings per Share (EPS) of TEXAS PACIFIC LAND CORP (TPL) is expected to grow by 18.18% in the next year.