Texas Pacific Land Corporation (TPL) Stock

About Texas Pacific Land Corporation

Texas Pacific Land Corporation (TPL) operates in two core business segments: land and resource management, and water services. Its Land and Resource Management division oversees a vast land portfolio, spanning nearly 880,000 acres. This segment also holds significant oil and gas royalty interests. These include perpetual non-participating royalty interests (NPRIs) covering approximately 85,000 acres (at a 1/128th rate) and about 371,000 acres (at a 1/16th rate). Furthermore, it possesses around 4,000 additional net royalty acres, primarily located in West Texas. The segment grants various easements and commercial leases for purposes such as oil, gas, and hydrocarbon infrastructure, power and utility lines, and subsurface wellbores. It also leases its land for facilities like processing, storage, and compression plants, as well as roads, and sells materials such as caliche. The Water Services and Operations division provides comprehensive water solutions to energy operators throughout the Permian Basin. Its services encompass water sourcing, the gathering and treatment of produced water, infrastructure development, disposal solutions, water tracking, analytics, and well testing. This segment also generates royalty income from water extracted from its own lands. Founded in 1888, Texas Pacific Land Corporation maintains its headquarters in Dallas, Texas.

Texas Pacific Land Corporation is led by CEO Tyler Glover, employs 111 people, headquartered in Dallas, US, publicly traded since 1980.

Texas Pacific Land Corporation (TPL) stock trades at $340.65 with a market capitalization of $23.50B. The stock is valued at a price-to-earnings (P/E) ratio of 63.01, price-to-book of 20.75, price-to-sales of 31.66. Over the past 52 weeks the stock has ranged between $269.23 and $547.20, and currently trades 37.7% below its 52-week high. It pays a dividend yielding 0.56%.

On profitability, Texas Pacific Land Corporation generates a return on equity (ROE) of 32.97% — well above the market average, a sign of a high-quality business, return on capital employed of 40.59%, an operating margin of 74.19%, a net profit margin of 60.03%.

In its most recent fiscal year, Texas Pacific Land Corporation reported annual revenue of $798.0M, net profit of $481.0M, revenue has compounded at 21.4% a year over the last five years, profit at 22.3% a year. Profit growing faster than revenue points to expanding margins.

The balance sheet shows a debt-to-equity ratio of 0.01 — a conservative balance sheet with little leverage risk, a current ratio of 4.37, total assets of $1.6B, $145.0M in cash and equivalents.

TPL has an average daily trading volume of 396,650 shares, a beta of 0.61 (less volatile than the overall market).

Official website: www.texaspacific.com