TEXAS PACIFIC LAND CORP (TPL) Fundamental Analysis & Valuation
NYSE:TPL • US88262P1021
536.11 USD
+12.47 (+2.38%)
At close: Mar 4, 2026
539.75 USD
+3.64 (+0.68%)
After Hours: 3/4/2026, 6:40:00 PM
This TPL fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
Taking everything into account, TPL scores 7 out of 10 in our fundamental rating. TPL was compared to 207 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. 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. TPL Profitability Analysis
1.1 Basic Checks
- TPL had positive earnings in the past year.
- In the past year TPL had a positive cash flow from operations.
- Each year in the past 5 years TPL has been profitable.
- Each year in the past 5 years TPL had a positive operating cash flow.
1.2 Ratios
- Looking at the Return On Assets, with a value of 29.65%, TPL belongs to the top of the industry, outperforming 96.62% of the companies in the same industry.
- TPL has a better Return On Equity (33.00%) than 93.24% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 30.78%, TPL belongs to the top of the industry, outperforming 97.58% of the companies in the same industry.
- TPL had an Average Return On Invested Capital over the past 3 years of 33.51%. This is significantly above the industry average of 22.19%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 29.65% | ||
| ROE | 33% | ||
| ROIC | 30.78% |
ROA(3y)33.7%
ROA(5y)37.46%
ROE(3y)37.32%
ROE(5y)42.23%
ROIC(3y)33.51%
ROIC(5y)38.7%
1.3 Margins
- With an excellent Profit Margin value of 60.31%, TPL belongs to the best of the industry, outperforming 95.17% of the companies in the same industry.
- TPL's Profit Margin has been stable in the last couple of years.
- The Operating Margin of TPL (74.19%) is better than 97.10% of its industry peers.
- In the last couple of years the Operating Margin of TPL has remained more or less at the same level.
- TPL has a Gross Margin of 93.29%. This is amongst the best in the industry. TPL outperforms 97.10% of its industry peers.
- TPL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 74.19% | ||
| PM (TTM) | 60.31% | ||
| GM | 93.29% |
OM growth 3Y-4.15%
OM growth 5Y0.65%
PM growth 3Y-3.39%
PM growth 5Y0.72%
GM growth 3Y-1.42%
GM growth 5Y-0.42%
2. TPL Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so TPL is creating value.
- TPL has about the same amout of shares outstanding than it did 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 135.02 indicates that TPL is not in any danger for bankruptcy at the moment.
- TPL's Altman-Z score of 135.02 is amongst the best of the industry. TPL outperforms 98.55% of its industry peers.
- TPL has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 135.02 |
ROIC/WACC3.54
WACC8.7%
2.3 Liquidity
- A Current Ratio of 3.11 indicates that TPL has no problem at all paying its short term obligations.
- TPL's Current ratio of 3.11 is amongst the best of the industry. TPL outperforms 84.54% of its industry peers.
- TPL has a Quick Ratio of 3.11. This indicates that TPL is financially healthy and has no problem in meeting its short term obligations.
- TPL has a Quick ratio of 3.11. This is amongst the best in the industry. TPL outperforms 85.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.11 | ||
| Quick Ratio | 3.11 |
3. TPL Growth Analysis
3.1 Past
- TPL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.81%.
- TPL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 40.58% yearly.
- The Revenue has grown by 13.09% in the past year. This is quite good.
- TPL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.41% yearly.
EPS 1Y (TTM)5.81%
EPS 3Y29.21%
EPS 5Y40.58%
EPS Q2Q%-64.98%
Revenue 1Y (TTM)13.09%
Revenue growth 3Y6.15%
Revenue growth 5Y21.41%
Sales Q2Q%13.89%
3.2 Future
- Based on estimates for the next years, TPL will show a very negative growth in Earnings Per Share. The EPS will decrease by -19.62% on average per year.
- TPL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 14.91% yearly.
EPS Next Y-40.21%
EPS Next 2Y-19.62%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year21.43%
Revenue Next 2Y14.91%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. TPL Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 38.71 indicates a quite expensive valuation of TPL.
- TPL's Price/Earnings ratio is a bit more expensive when compared to the industry. TPL is more expensive than 63.28% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 27.03, TPL is valued a bit more expensive.
- Based on the Price/Forward Earnings ratio of 64.76, the valuation of TPL can be described as expensive.
- Based on the Price/Forward Earnings ratio, TPL is valued a bit more expensive than 62.32% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of TPL to the average of the S&P500 Index (25.11), we can say TPL is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.71 | ||
| Fwd PE | 64.76 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, TPL is valued a bit more expensive than 71.98% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 54.92 |
4.3 Compensation for Growth
- TPL has an outstanding profitability rating, which may justify a higher PE ratio.
- TPL's earnings are expected to decrease with -19.62% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.95
EPS Next 2Y-19.62%
EPS Next 3YN/A
5. TPL Dividend Analysis
5.1 Amount
- TPL has a yearly dividend return of 0.47%, which is pretty low.
- TPL's Dividend Yield is slightly below the industry average, which is at 3.47.
- With a Dividend Yield of 0.47, TPL pays less dividend than the S&P500 average, which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
5.2 History
- The dividend of TPL decreases each year by -5.79%.
- 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)-5.79%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- TPL pays out 30.70% of its income as dividend. This is a sustainable payout ratio.
- TPL's earnings and Dividend Rate are declining. This means the current dividend is most likely not sustainable.
DP30.7%
EPS Next 2Y-19.62%
EPS Next 3YN/A
TPL Fundamentals: All Metrics, Ratios and Statistics
536.11
+12.47 (+2.38%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)02-18 2026-02-18/amc
Earnings (Next)05-05 2026-05-05
Inst Owners72.43%
Inst Owner Change173.98%
Ins Owners5.21%
Ins Owner Change0.36%
Market Cap36.96B
Revenue(TTM)798.19M
Net Income(TTM)481.38M
Analysts75
Price Target406.24 (-24.22%)
Short Float %7.2%
Short Ratio9.87
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.47% |
Yearly Dividend2.14
Dividend Growth(5Y)-5.79%
DP30.7%
Div Incr Years1
Div Non Decr Years1
Ex-Date03-02 2026-03-02 (0.6)
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-3.28%
Min EPS beat(2)-9.57%
Max EPS beat(2)3.02%
EPS beat(4)1
Avg EPS beat(4)-37.47%
Min EPS beat(4)-72.72%
Max EPS beat(4)3.02%
EPS beat(8)2
Avg EPS beat(8)-21.4%
EPS beat(12)4
Avg EPS beat(12)-13.65%
EPS beat(16)5
Avg EPS beat(16)-10.95%
Revenue beat(2)0
Avg Revenue beat(2)-2.49%
Min Revenue beat(2)-2.86%
Max Revenue beat(2)-2.11%
Revenue beat(4)0
Avg Revenue beat(4)-4.33%
Min Revenue beat(4)-9.86%
Max Revenue beat(4)-2.11%
Revenue beat(8)2
Avg Revenue beat(8)-1.91%
Revenue beat(12)4
Avg Revenue beat(12)-0.9%
Revenue beat(16)5
Avg Revenue beat(16)-1.43%
PT rev (1m)25.86%
PT rev (3m)-56.34%
EPS NQ rev (1m)0.53%
EPS NQ rev (3m)-68.35%
EPS NY rev (1m)1.61%
EPS NY rev (3m)-66.3%
Revenue NQ rev (1m)0.42%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.27%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.71 | ||
| Fwd PE | 64.76 | ||
| P/S | 46.3 | ||
| P/FCF | N/A | ||
| P/OCF | 67.7 | ||
| P/B | 25.33 | ||
| P/tB | 25.92 | ||
| EV/EBITDA | 54.92 |
EPS(TTM)13.85
EY2.58%
EPS(NY)8.28
Fwd EY1.54%
FCF(TTM)-0.06
FCFYN/A
OCF(TTM)7.92
OCFY1.48%
SpS11.58
BVpS21.16
TBVpS20.69
PEG (NY)N/A
PEG (5Y)0.95
Graham Number81.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 29.65% | ||
| ROE | 33% | ||
| ROCE | 39.14% | ||
| ROIC | 30.78% | ||
| ROICexc | 34.04% | ||
| ROICexgc | 34.88% | ||
| OM | 74.19% | ||
| PM (TTM) | 60.31% | ||
| GM | 93.29% | ||
| FCFM | N/A |
ROA(3y)33.7%
ROA(5y)37.46%
ROE(3y)37.32%
ROE(5y)42.23%
ROIC(3y)33.51%
ROIC(5y)38.7%
ROICexc(3y)61.43%
ROICexc(5y)84.23%
ROICexgc(3y)65.06%
ROICexgc(5y)86.71%
ROCE(3y)42.6%
ROCE(5y)49.21%
ROICexgc growth 3Y-36.57%
ROICexgc growth 5Y-11.59%
ROICexc growth 3Y-37%
ROICexc growth 5Y-11.73%
OM growth 3Y-4.15%
OM growth 5Y0.65%
PM growth 3Y-3.39%
PM growth 5Y0.72%
GM growth 3Y-1.42%
GM growth 5Y-0.42%
F-Score5
Asset Turnover0.49
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 879.1% | ||
| Cap/Sales | 68.87% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 83.38% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.11 | ||
| Quick Ratio | 3.11 | ||
| Altman-Z | 135.02 |
F-Score5
WACC8.7%
ROIC/WACC3.54
Cap/Depr(3y)994.61%
Cap/Depr(5y)644.53%
Cap/Sales(3y)46.29%
Cap/Sales(5y)29.13%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)5.81%
EPS 3Y29.21%
EPS 5Y40.58%
EPS Q2Q%-64.98%
EPS Next Y-40.21%
EPS Next 2Y-19.62%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)13.09%
Revenue growth 3Y6.15%
Revenue growth 5Y21.41%
Sales Q2Q%13.89%
Revenue Next Year21.43%
Revenue Next 2Y14.91%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y9.83%
EBIT growth 3Y1.74%
EBIT growth 5Y22.21%
EBIT Next Year37.92%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-105.97%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y11.26%
OCF growth 3Y6.88%
OCF growth 5Y21.4%
TEXAS PACIFIC LAND CORP / TPL FAQ
What is the fundamental rating for TPL stock?
ChartMill assigns a fundamental rating of 7 / 10 to TPL.
Can you provide the valuation status for TEXAS PACIFIC LAND CORP?
ChartMill assigns a valuation rating of 1 / 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 8 / 10.
What is the valuation of TEXAS PACIFIC LAND CORP based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TEXAS PACIFIC LAND CORP (TPL) is 38.71 and the Price/Book (PB) ratio is 25.33.
How sustainable is the dividend of TEXAS PACIFIC LAND CORP (TPL) stock?
The dividend rating of TEXAS PACIFIC LAND CORP (TPL) is 3 / 10 and the dividend payout ratio is 30.7%.