TPL Stock Analysis: Texas Pacific Land | NYSE
Oil & Gas E&P | NYSE, USA | Market Cap: 26.972m USD | 12M Return: 11.1% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 167M
EPS Trend: 86.3%
Qual. Beats: 0
Rev. Trend: 96.9%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality
Texas Pacific Land Corporation (TPL) is a Dallas-based energy company that operates two segments: Land and Resource Management and Water Services and Operations. Its business is concentrated in the Permian Basin, where it earns revenue primarily through nonparticipating perpetual royalty interests (NPRIs) on producing oil and gas properties, rather than through direct drilling operations. Royalty companies like TPL collect a share of production revenue from operators without bearing the capital costs or operational risks of exploration and production.
The Land and Resource Management segment generates income from surface acreage leases, easements for pipelines, power lines, and wellbores, and the sale of materials such as caliche and sand. The Water Services and Operations segment provides sourced, treated, and disposed water for upstream operators, a service that has become increasingly important in the Permian Basin as produced-water volumes rise with higher oil output. TPL also holds produced water royalties, which represent a passive interest in water disposal activities conducted on its land.
Founded in 1888, TPL is one of the oldest publicly traded landholding companies in the United States. Its portfolio of royalty acres across hundreds of thousands of acres in the Permian Basin provides exposure to one of the most prolific oil-producing regions in the country, without the direct operational risk associated with drilling activity.
- Permian oil production activity drives royalty and easement revenue
- Water services segment expands with produced-water disposal demand
- Special dividends continue returning excess capital to shareholders
| Net Income: 503.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.28 > 0.02 and ΔFCF/TA 2.79 > 1.0 |
| NWC/Revenue: 39.59% < 20% (prev 71.57%; Δ -31.98% < -1%) |
| CFO/TA 0.31 > 3% & CFO 551.2m > Net Income 503.6m |
| Net Debt (-231.7m) to EBITDA (697.3m): -0.33 < 3 |
| Current Ratio: 4.23 > 1.5 & < 3 |
| Outstanding Shares: last quarter (69.0m) vs 12m ago -0.01% < -2% |
| Gross Margin: 83.41% > 18% (prev 89.81%; Δ -6.41% > 0.5%) |
| Asset Turnover: 54.05% > 50% (prev 53.77%; Δ 0.28% > 0%) |
| Interest Coverage Ratio: 916.9 > 6 (EBIT TTM 632.6m / Interest Expense TTM 690k) |
| A: 0.19 (Total Current Assets 435.1m - Total Current Liabilities 102.9m) / Total Assets 1.75b |
| B: 0.96 (Retained Earnings 1.68b / Total Assets 1.75b) |
| C: 0.41 (EBIT TTM 632.6m / Avg Total Assets 1.55b) |
| D: 7.96 (Book Value of Equity 1.56b / Total Liabilities 195.5m) |
| Altman-Z'' = 15.47 = AAA |
| DSRI: 1.14 (Receivables 181.1m/138.3m, Revenue 839.0m/727.7m) |
| GMI: 1.08 (GM 89.81% / 83.41%) |
| AQI: 4.64 (AQ_t 0.65 / AQ_t-1 0.14) |
| SGI: 1.15 (Revenue 839.0m / 727.7m) |
| TATA: -0.03 (NI 503.6m - CFO 551.2m) / TA 1.75b) |
| Beneish M = -0.58 (Cap -4..+1) = D |
As of June 30, 2026, the stock is trading at USD 395.79 with a total of 512,481 shares traded. Over the past week, the price has changed by +11.46%, over one month by -0.92%, over three months by -24.10% and over the past year by +11.10%.
Current recommended Stop Loss: 352.60 (which is 10.9% or 2.5 ATR below the current price).
Texas Pacific Land has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold TPL.
- StrongBuy: 1
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 445 | 12.4% |
P/E Trailing = 53.7882
P/E Forward = 37.7358
P/S = 32.1466
P/B = 17.3346
P/EG = 7.3295
Revenue TTM = 839.0m USD
EBIT TTM = 632.6m USD
EBITDA TTM = 697.3m USD
Long Term Debt = unknown (none)
Short Term Debt = unknown (none)
Debt = 15.8m USD (from shortLongTermDebtTotal, last quarter) (leases 15.8m already included)
Net Debt = -231.7m USD (calculated: Debt 15.8m - CCE 247.6m)
Enterprise Value = 26.7b USD (27.0b + Debt 15.8m - CCE 247.6m)
Interest Coverage Ratio = 916.9 (Ebit TTM 632.6m / Interest Expense TTM 690k)
EV/FCF = 54.21x (Enterprise Value 26.7b / FCF TTM 493.3m)
FCF Yield = 1.84% (FCF TTM 493.3m / Enterprise Value 26.7b)
FCF Margin = 58.79% (FCF TTM 493.3m / Revenue TTM 839.0m)
Net Margin = 60.03% (Net Income TTM 503.6m / Revenue TTM 839.0m)
Gross Margin = 83.41% ((Revenue TTM 839.0m - Cost of Revenue TTM 139.2m) / Revenue TTM)
Gross Margin QoQ = 82.11% (prev 79.53%)
Tobins Q-Ratio = 15.27 (Enterprise Value 26.7b / Total Assets 1.75b)
Interest Expense / Debt = 4.35% (Interest Expense 690k / Debt 15.8m)
Taxrate = 21.25% (135.9m / 639.5m)
NOPAT = 498.2m (EBIT 632.6m * (1 - 21.25%))
Current Ratio = 4.23 (Total Current Assets 435.1m / Total Current Liabilities 102.9m)
Debt / Equity = 0.01 (Debt 15.8m / totalStockholderEquity, last quarter 1.56b)
Debt / EBITDA = -0.33 (Net Debt -231.7m / EBITDA 697.3m)
Debt / FCF = -0.47 (Net Debt -231.7m / FCF TTM 493.3m)
Total Stockholder Equity = 1.42b (last 4 quarters mean from totalStockholderEquity)
RoA = 32.44% (Net Income 503.6m / Total Assets 1.75b)
RoE = 35.52% (Net Income TTM 503.6m / Total Stockholder Equity 1.42b)
RoCE = 38.38% (EBIT 632.6m / Capital Employed (Total Assets 1.75b - Current Liab 102.9m))
RoIC = 31.01% (NOPAT 498.2m / Invested Capital 1.61b)
WACC = 8.89% (E(27.0b)/V(27.0b) * Re(8.89%) + D(15.8m)/V(27.0b) * Rd(4.35%) * (1-Tc(0.21)))
Discount Rate = 8.89% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -37.78 | Cagr: -0.06%
[DCF] Terminal Value 76.25% ; FCFF base≈433.3m ; Y1≈496.7m ; Y5≈731.1m
[DCF] Fair Price = 149.1 (EV 10.1b - Net Debt -231.7m = Equity 10.3b / Shares 69.0m; r=8.89% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 86.27 | EPS CAGR: 25.87% | SUE: 0.04 | # QB: 0
Revenue Correlation: 96.89 | Revenue CAGR: 10.87% | SUE: -0.02 | # QB: 0
EPS next Quarter (2026-09-30): EPS=2.40 | Chg30d=-4.10% | Revisions=-33% | Analysts=2
EPS current Year (2026-12-31): EPS=9.17 | Chg30d=-4.09% | Revisions=-33% | GrowthEPS=+31.5% | GrowthRev=+26.2%
EPS next Year (2027-12-31): EPS=10.08 | Chg30d=-4.91% | Revisions=-33% | GrowthEPS=+10.0% | GrowthRev=+8.6%
[Analyst] Revisions Ratio: -33%