TEXAS PACIFIC LAND CORP (TPL) Stock Fundamental Analysis
USA - NYSE:TPL - US88262P1021 - Common Stock
915.77 USD
+2.77 (+0.3%)
Taking everything into account, TPL scores 7 out of 10 in our fundamental rating. TPL was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. Both the health and profitability get an excellent rating, making TPL a very profitable company, without any liquidiy or solvency issues. While showing a medium growth rate, TPL is valued expensive at the moment. This makes TPL very considerable for quality investing!
1. Profitability
1.1 Basic Checks
TPL had positive earnings in the past year.
TPL had a positive operating cash flow in the past year.
In the past 5 years TPL has always been profitable.
In the past 5 years TPL always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 32.87%, TPL belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
Looking at the Return On Equity, with a value of 35.82%, TPL belongs to the top of the industry, outperforming 92.86% of the companies in the same industry.
The Return On Invested Capital of TPL (32.52%) is better than 97.62% of its industry peers.
The Average Return On Invested Capital over the past 3 years for TPL is significantly above the industry average of 21.76%.
The 3 year average ROIC (40.76%) for TPL is well above the current ROIC(32.52%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 32.87% | ||
| ROE | 35.82% | ||
| ROIC | 32.52% |
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 has a Profit Margin of 62.16%. This is amongst the best in 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 (75.88%) 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 94.53%, TPL belongs to the best of the industry, outperforming 98.57% of the companies in the same industry.
TPL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 75.88% | ||
| PM (TTM) | 62.16% | ||
| GM | 94.53% |
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
TPL has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for TPL remains at a similar level compared to 1 year ago.
The number of shares outstanding for TPL has been reduced compared to 5 years ago.
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.
2.2 Solvency
An Altman-Z score of 112.64 indicates that TPL is not in any danger for bankruptcy at the moment.
The Altman-Z score of TPL (112.64) 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 | 112.64 |
ROIC/WACC3.75
WACC8.68%
2.3 Liquidity
TPL has a Current Ratio of 14.58. This indicates that TPL is financially healthy and has no problem in meeting its short term obligations.
TPL's Current ratio of 14.58 is amongst the best of the industry. TPL outperforms 97.62% of its industry peers.
A Quick Ratio of 14.58 indicates that TPL has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 14.58, TPL belongs to the top of the industry, outperforming 97.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 14.58 | ||
| Quick Ratio | 14.58 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.19% over the past year.
Measured over the past 5 years, TPL shows a small growth in Earnings Per Share. The EPS has been growing by 7.56% on average per year.
TPL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.69%.
The Revenue has been growing slightly by 7.55% on average over the past years.
EPS 1Y (TTM)3.19%
EPS 3Y19.3%
EPS 5Y7.56%
EPS Q2Q%1.41%
Revenue 1Y (TTM)10.69%
Revenue growth 3Y16.11%
Revenue growth 5Y7.55%
Sales Q2Q%8.82%
3.2 Future
Based on estimates for the next years, TPL will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.94% on average per year.
The Revenue is expected to grow by 14.11% on average over the next years. This is quite good.
EPS Next Y24.82%
EPS Next 2Y10.94%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 45.65, TPL can be considered very expensive at the moment.
Based on the Price/Earnings ratio, TPL is valued a bit more expensive than the industry average as 64.29% of the companies are valued more cheaply.
TPL is valuated expensively when we compare the Price/Earnings ratio to 27.20, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 37.73, which means the current valuation is very expensive for TPL.
Based on the Price/Forward Earnings ratio, TPL is valued a bit more expensive than 64.29% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.70. TPL is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.65 | ||
| Fwd PE | 37.73 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TPL indicates a slightly more expensive valuation: TPL is more expensive than 70.00% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TPL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 246.71 | ||
| EV/EBITDA | 33.71 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates TPL does not grow enough to justify the current Price/Earnings ratio.
TPL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.84
PEG (5Y)6.04
EPS Next 2Y10.94%
EPS Next 3YN/A
5. Dividend
5.1 Amount
TPL has a yearly dividend return of 0.68%, which is pretty low.
Compared to an average industry Dividend Yield of 6.18, TPL is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.38, TPL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
5.2 History
The dividend of TPL is nicely growing with an annual growth rate of 49.85%!
TPL has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of TPL decreased recently.
Dividend Growth(5Y)49.85%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
79.64% of the earnings are spent on dividend by TPL. This is not a sustainable payout ratio.
The dividend of TPL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP79.64%
EPS Next 2Y10.94%
EPS Next 3YN/A
NYSE:TPL (9/18/2025, 9:45:09 AM)
915.77
+2.77 (+0.3%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners71.4%
Inst Owner Change-0.99%
Ins Owners0.85%
Ins Owner Change0.02%
Market Cap21.05B
Analysts83.33
Price Target1117.88 (22.07%)
Short Float %7.11%
Short Ratio11.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.68% |
Yearly Dividend15.11
Dividend Growth(5Y)49.85%
DP79.64%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-71.67%
Min EPS beat(2)-72.72%
Max EPS beat(2)-70.62%
EPS beat(4)0
Avg EPS beat(4)-39.67%
Min EPS beat(4)-72.72%
Max EPS beat(4)-0.97%
EPS beat(8)2
Avg EPS beat(8)-19.59%
EPS beat(12)4
Avg EPS beat(12)-13.06%
EPS beat(16)5
Avg EPS beat(16)-10.03%
Revenue beat(2)0
Avg Revenue beat(2)-6.18%
Min Revenue beat(2)-9.86%
Max Revenue beat(2)-2.49%
Revenue beat(4)1
Avg Revenue beat(4)-3.22%
Min Revenue beat(4)-9.86%
Max Revenue beat(4)4.39%
Revenue beat(8)3
Avg Revenue beat(8)-1.33%
Revenue beat(12)5
Avg Revenue beat(12)-0.84%
Revenue beat(16)7
Avg Revenue beat(16)0.39%
PT rev (1m)-0.45%
PT rev (3m)-11.62%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)-2.42%
EPS NY rev (3m)-4.73%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.61%
Revenue NY rev (3m)2.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 45.65 | ||
| Fwd PE | 37.73 | ||
| P/S | 28.34 | ||
| P/FCF | 246.71 | ||
| P/OCF | 40.27 | ||
| P/B | 16.33 | ||
| P/tB | 16.78 | ||
| EV/EBITDA | 33.71 |
EPS(TTM)20.06
EY2.19%
EPS(NY)24.27
Fwd EY2.65%
FCF(TTM)3.71
FCFY0.41%
OCF(TTM)22.74
OCFY2.48%
SpS32.31
BVpS56.07
TBVpS54.59
PEG (NY)1.84
PEG (5Y)6.04
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 32.87% | ||
| ROE | 35.82% | ||
| ROCE | 41.48% | ||
| ROIC | 32.52% | ||
| ROICexc | 54.23% | ||
| ROICexgc | 57.44% | ||
| OM | 75.88% | ||
| PM (TTM) | 62.16% | ||
| GM | 94.53% | ||
| FCFM | 11.49% |
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%
ROICexcg growth 3Y-19.02%
ROICexcg 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-Score7
Asset Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 1020.39% | ||
| Cap/Sales | 58.88% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.18% | ||
| Profit Quality | 18.48% | ||
| Current Ratio | 14.58 | ||
| Quick Ratio | 14.58 | ||
| Altman-Z | 112.64 |
F-Score7
WACC8.68%
ROIC/WACC3.75
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)3.19%
EPS 3Y19.3%
EPS 5Y7.56%
EPS Q2Q%1.41%
EPS Next Y24.82%
EPS Next 2Y10.94%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)10.69%
Revenue growth 3Y16.11%
Revenue growth 5Y7.55%
Sales Q2Q%8.82%
Revenue Next Year17.02%
Revenue Next 2Y14.11%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y6.34%
EBIT growth 3Y14.16%
EBIT growth 5Y6.17%
EBIT Next Year33.74%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-79.2%
FCF growth 3Y-36.45%
FCF growth 5Y-22.66%
OCF growth 1Y15.91%
OCF growth 3Y22.77%
OCF growth 5Y7.44%