TEXAS PACIFIC LAND CORP (TPL)
US88262P1021 - Common Stock
Overall TPL gets a fundamental rating of 7 out of 10. We evaluated TPL against 205 industry peers in the Oil, Gas & Consumable Fuels industry. TPL has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. TPL is quite expensive at the moment. It does show a decent growth rate. With these ratings, TPL could be worth investigating further 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.
TPL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TPL has a better Return On Assets (38.17%) than 95.59% of its industry peers.
With an excellent Return On Equity value of 42.65%, TPL belongs to the best of the industry, outperforming 92.16% of the companies in the same industry.
TPL has a Return On Invested Capital of 37.23%. This is amongst the best in the industry. TPL outperforms 97.55% of its industry peers.
TPL had an Average Return On Invested Capital over the past 3 years of 42.35%. This is significantly above the industry average of 29.06%.
The last Return On Invested Capital (37.23%) for TPL is well below the 3 year average (42.35%), which needs to be investigated, but indicates that TPL had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 38.17% | ||
| ROE | 42.65% | ||
| ROIC | 37.23% |
ROA(3y)40.43%
ROA(5y)41.07%
ROE(3y)46.02%
ROE(5y)47.32%
ROIC(3y)42.35%
ROIC(5y)42.59%
1.3 Margins
With an excellent Profit Margin value of 65.34%, TPL belongs to the best of the industry, outperforming 93.14% of the companies in the same industry.
In the last couple of years the Profit Margin of TPL has declined.
TPL has a Operating Margin of 77.25%. This is amongst the best in the industry. TPL outperforms 95.10% of its industry peers.
TPL's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 93.33%, TPL belongs to the best of the industry, outperforming 98.53% 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 | 77.25% | ||
| PM (TTM) | 65.34% | ||
| GM | 93.33% |
OM growth 3Y2.34%
OM growth 5Y-2.4%
PM growth 3Y3.35%
PM growth 5Y-1.67%
GM growth 3Y-0.21%
GM growth 5Y-0.33%
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 has been reduced compared to 1 year ago.
TPL has less shares outstanding than it did 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 179.45 indicates that TPL is not in any danger for bankruptcy at the moment.
TPL's Altman-Z score of 179.45 is amongst the best of the industry. TPL outperforms 100.00% 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 | 0 | ||
| Altman-Z | 179.45 |
ROIC/WACC4.2
WACC8.87%
2.3 Liquidity
TPL has a Current Ratio of 12.16. This indicates that TPL is financially healthy and has no problem in meeting its short term obligations.
TPL's Current ratio of 12.16 is amongst the best of the industry. TPL outperforms 94.61% of its industry peers.
A Quick Ratio of 12.16 indicates that TPL has no problem at all paying its short term obligations.
TPL has a better Quick ratio (12.16) than 94.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 12.16 | ||
| Quick Ratio | 12.16 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.70% over the past year.
Measured over the past years, TPL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.39% on average per year.
Looking at the last year, TPL shows a quite strong growth in Revenue. The Revenue has grown by 11.18% in the last year.
The Revenue has been growing by 16.04% on average over the past years. This is quite good.
EPS 1Y (TTM)14.7%
EPS 3Y32.47%
EPS 5Y14.39%
EPS Q2Q%1.09%
Revenue 1Y (TTM)11.18%
Revenue growth 3Y27.8%
Revenue growth 5Y16.04%
Sales Q2Q%9.87%
3.2 Future
The Earnings Per Share is expected to grow by 12.48% on average over the next years. This is quite good.
Based on estimates for the next years, TPL will show a quite strong growth in Revenue. The Revenue will grow by 10.84% on average per year.
EPS Next Y15.64%
EPS Next 2Y104.91%
EPS Next 3Y12.48%
EPS Next 5YN/A
Revenue Next Year12.37%
Revenue Next 2Y12.95%
Revenue Next 3Y10.84%
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 stable.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 71.21, the valuation of TPL can be described as expensive.
TPL's Price/Earnings ratio is a bit more expensive when compared to the industry. TPL is more expensive than 74.51% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 29.59, TPL is valued quite expensively.
The Price/Forward Earnings ratio is 18.79, which indicates a rather expensive current valuation of TPL.
Based on the Price/Forward Earnings ratio, TPL is valued a bit more expensive than the industry average as 61.76% of the companies are valued more cheaply.
The average S&P500 Price/Forward Earnings ratio is at 24.06. TPL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.21 | ||
| Fwd PE | 18.79 |
4.2 Price Multiples
TPL's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. TPL is more expensive than 79.90% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of TPL indicates a slightly more expensive valuation: TPL is more expensive than 63.73% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 95.65 | ||
| EV/EBITDA | 64.83 |
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.
The excellent profitability rating of TPL may justify a higher PE ratio.
A more expensive valuation may be justified as TPL's earnings are expected to grow with 12.48% in the coming years.
PEG (NY)4.55
PEG (5Y)4.95
EPS Next 2Y104.91%
EPS Next 3Y12.48%
5. Dividend
5.1 Amount
With a yearly dividend of 0.29%, TPL is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 6.56, TPL is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.16, TPL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.29% |
5.2 History
On average, the dividend of TPL grows each year by 26.12%, which is quite nice.
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)26.12%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
74.78% 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.
DP74.78%
EPS Next 2Y104.91%
EPS Next 3Y12.48%
TEXAS PACIFIC LAND CORP
NYSE:TPL (12/4/2024, 8:14:51 PM)
After market: 1387.92 0 (0%)1387.92
-182.01 (-11.59%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap31.88B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.29% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.21 | ||
| Fwd PE | 18.79 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)4.55
PEG (5Y)4.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 38.17% | ||
| ROE | 42.65% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 77.25% | ||
| PM (TTM) | 65.34% | ||
| GM | 93.33% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 12.16 | ||
| Quick Ratio | 12.16 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)14.7%
EPS 3Y32.47%
EPS 5Y
EPS Q2Q%
EPS Next Y15.64%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)11.18%
Revenue growth 3Y27.8%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y