TEXAS PACIFIC LAND CORP (TPL) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:TPL - US88262P1021 - Common Stock
287.54 USD
-8.46 (-2.86%)
287.54 USD
0 (0%)
TPL gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 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 has a correct valuation and a medium growth rate. These ratings would make TPL suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year TPL was profitable.
TPL had a positive operating cash flow in the past year.
TPL had positive earnings in each of the past 5 years.
TPL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
TPL has a better Return On Assets (31.24%) than 96.67% of its industry peers.
The Return On Equity of TPL (34.82%) is better than 93.81% of its industry peers.
Looking at the Return On Invested Capital, with a value of 31.87%, TPL belongs to the top of the industry, outperforming 97.62% of the companies in the same industry.
TPL had an Average Return On Invested Capital over the past 3 years of 40.76%. This is significantly above the industry average of 21.09%.
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 has a better Profit Margin (61.68%) than 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.
The Operating Margin of TPL (75.80%) is better than 96.67% of its industry peers.
TPL's Operating Margin has been stable in the last couple of years.
TPL has a Gross Margin of 94.13%. This is amongst the best in the industry. TPL outperforms 98.10% of its industry peers.
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
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.
Compared to 5 years ago, TPL has less shares outstanding
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
TPL has an Altman-Z score of 29.68. This indicates that TPL is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of TPL (29.68) is better than 98.10% 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 | 29.68 |
ROIC/WACC3.63
WACC8.79%
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 Current ratio of 8.70. This is amongst the best in the industry. TPL outperforms 93.81% 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.
Looking at the Quick ratio, with a value of 8.70, TPL belongs to the top of the industry, outperforming 94.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 8.7 | ||
| Quick Ratio | 8.7 |
3. Growth
3.1 Past
TPL shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.21%.
TPL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.56% yearly.
TPL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 12.48%.
Measured over the past years, TPL shows a small growth in Revenue. The Revenue has been growing by 7.55% on average per year.
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
TPL is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.21% yearly.
Based on estimates for the next years, TPL will show a quite strong growth in Revenue. The Revenue will grow by 12.36% on average per year.
EPS Next Y8.25%
EPS Next 2Y13.81%
EPS Next 3Y7.21%
EPS Next 5YN/A
Revenue Next Year7.07%
Revenue Next 2Y13.96%
Revenue Next 3Y12.36%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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 13.89 indicates a correct valuation of TPL.
TPL's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of TPL to the average of the S&P500 Index (26.57), we can say TPL is valued slightly cheaper.
The Price/Forward Earnings ratio is 11.26, which indicates a very decent valuation of TPL.
Based on the Price/Forward Earnings ratio, TPL is valued a bit cheaper than 66.19% of the companies in the same industry.
TPL is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.04, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.89 | ||
| Fwd PE | 11.26 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as TPL.
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 | 33.12 | ||
| EV/EBITDA | 9.84 |
4.3 Compensation for Growth
TPL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
TPL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.68
PEG (5Y)1.84
EPS Next 2Y13.81%
EPS Next 3Y7.21%
5. Dividend
5.1 Amount
With a yearly dividend of 0.71%, TPL is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.95, TPL is paying slightly less dividend.
With a Dividend Yield of 0.71, TPL pays less dividend than the S&P500 average, which is at 1.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
5.2 History
The dividend of TPL is nicely growing with an annual growth rate of 49.85%!
TPL has paid a dividend for at least 10 years, which is 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
31.02% of the earnings are spent on dividend by TPL. This is a low number and sustainable payout ratio.
TPL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.02%
EPS Next 2Y13.81%
EPS Next 3Y7.21%
287.54
-8.46 (-2.86%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners72.43%
Inst Owner Change0%
Ins Owners5.21%
Ins Owner Change0.01%
Market Cap6.61B
Revenue(TTM)772.39M
Net Income(TTM)476.39M
Analysts74.29
Price TargetN/A
Short Float %7.52%
Short Ratio12.81
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.71% |
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)1.37%
PT rev (3m)-13.15%
EPS NQ rev (1m)-1.08%
EPS NQ rev (3m)-72.24%
EPS NY rev (1m)-8.41%
EPS NY rev (3m)-13.27%
Revenue NQ rev (1m)-2.68%
Revenue NQ rev (3m)-1.36%
Revenue NY rev (1m)-8.5%
Revenue NY rev (3m)-8.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.89 | ||
| Fwd PE | 11.26 | ||
| P/S | 8.55 | ||
| P/FCF | 33.12 | ||
| P/OCF | 11.82 | ||
| P/B | 4.83 | ||
| P/tB | 4.95 | ||
| EV/EBITDA | 9.84 |
EPS(TTM)20.7
EY7.2%
EPS(NY)25.54
Fwd EY8.88%
FCF(TTM)8.68
FCFY3.02%
OCF(TTM)24.32
OCFY8.46%
SpS33.61
BVpS59.53
TBVpS58.07
PEG (NY)1.68
PEG (5Y)1.84
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 | 29.68 |
F-Score6
WACC8.79%
ROIC/WACC3.63
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 Y8.25%
EPS Next 2Y13.81%
EPS Next 3Y7.21%
EPS Next 5YN/A
Revenue 1Y (TTM)12.48%
Revenue growth 3Y16.11%
Revenue growth 5Y7.55%
Sales Q2Q%17.01%
Revenue Next Year7.07%
Revenue Next 2Y13.96%
Revenue Next 3Y12.36%
Revenue Next 5YN/A
EBIT growth 1Y10.37%
EBIT growth 3Y14.16%
EBIT growth 5Y6.17%
EBIT Next Year17.13%
EBIT Next 3Y16.27%
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 5 / 10 to TEXAS PACIFIC LAND CORP (TPL). This can be considered as Fairly Valued.
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 13.89 and the Price/Book (PB) ratio is 4.83.
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 8.25% in the next year.