Texas Pacific Land Corp (TPL)
Fair ValueFundamental
59
Price
$325.83
Market Cap
$23.32B
Part 1 · What the company is worth
Overview
Texas Pacific Land Corporation engages in the land and resource management, and water services and operations businesses. The Land and Resource Management segment manages surface acres of land, and oil and gas royalty interest in Permian Basin. This segment also engages in easements, such as transporting oil, gas and related hydrocarbons, power line and utility, and subsurface wellbore easements. In addition, this segment leases its land for processing, storage, and compression facilities and roads; and is involved in sale of materials, such as caliche, sand, and other material, as well as sells land. The Water Services and Operations segment provides full-service water offerings, including water sourcing, produced-water treatment, infrastructure development, and disposal solutions to operators in the Permian Basin. This segment also holds produced water royalties. The company owns a 1/128th nonparticipating perpetual oil and gas royalty interest (NPRI) under approximately 85,000 acres of land; a 1/16th NPRI under approximately 371,000 acres of land; and approximately 33,000 additional net royalty acres, total of approximately 224,000 NRA located in the Permian Basin. The company was founded in 1888 and is headquartered in Dallas, Texas.
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Direct competitors
Who this company fights with for the same customers
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No competitor list for this company yet.
Balance Sheet & Liquidity
Revenue
$898M
Trailing 12 months (through 6/30/2026)
Net Income
$541M
Trailing 12 months (through 6/30/2026)
Free Cash Flow
-
Total Equity
$1.46B
Total Liabilities
$164M
Current Ratio
4.55
Interest Coverage
858.20
Debt/EBITDA
0.03
Earnings Per Share
Revenue & Net Income
Free Cash Flow
Income Breakdown
Historical statement
Margins over time
Debt over time
How heavy the debt is
Growth grid
Growth — Revenue
Fair Value Estimation
Fair Value
$289.17
Current Price
$325.83
Margin of Safety
-12.7%
Fair Value Range
$187.96 - $390.38
Spread across the valuation methods used, not a statistically calibrated confidence interval.
Estimation Methods
Valuation Metrics
P/E Ratio
41.56
ROE
33.0%
P/B Ratio
13.44
P/FCF
-
Gross Margin
-
ROIC
30.1%
Profitability Radar
Value Creation (Economic Moat)
ROIC
30.1%
WACC
8.0%
ROIC − WACC
+22.1 pp
ROIC exceeds the cost of capital — the company is creating value for shareholders.
Fundamental Analysis Criteria
Passed (15)
- Price CAGR 27.32%
- ROIC 30.1%
- Debt/Equity ratio
- Operating Margin 74.9%
- Current Ratio
- Interest Coverage
- Debt/EBITDA
- Return on Tangible Assets
- Low reliance on intangibles
- ROE 35.8%
- Revenue Growth 5Y 21.4%
- Analyst Consensus 75% Buy
- PEG Ratio 1.92
- Earnings Quality (OCF/NI) 1.11
- Share Dilution -0.0%
Failed (8)
- EPS shows upward trend
- EPS CAGR -17.56%
- P/B Ratio 13.44
- Price below Graham Number
- DCF valuation (Overvalued)
- Earnings Surprise avg -1.0%
- Net Margin Trend 60.3% vs 62.2%
- Piotroski F-Score 4/9
Unavailable (5)
- Gross Margin NaN%
- P/FCF NaN
- Dividend Payout NaN%
- Positive Free Cash Flow
- CapEx intensity
Piotroski F-Score
Mixed signals: some areas need attention
Earnings Quality
High quality: earnings backed by cash
Share Dilution
Buying back shares. Shareholder friendly
Institutional Holdings
Governance
Executive Team
| Name | Title | Age |
|---|---|---|
| Mr. Tyler Glover | President, CEO & Trustee | 40 |
| Mr. Chris Steddum | Chief Financial Officer | 44 |
| Mr. Micheal W. Dobbs J.D. | Senior VP, Secretary & General Counsel | 51 |
| Ms. Stephanie D. Buffington | Chief Accounting Officer | 57 |
| Mr. Shawn Amini | Vice President of Finance & Investor Relations | - |
| Mr. Robert A. Crain | Executive Vice President of Texas Pacific Water Resources LLC | 45 |
| Mr. Jeremy Smith | Senior Vice President of Business Development | - |
| Ms. Katie Keenan | Senior VP of Commercial Transactions and Assistant General Counsel | - |
| Mr. Lawrence F. Labanowski | Senior Vice President of Mergers & Acquisitions | - |
Audit Risk
2
Board Risk
5
Compensation Risk
1
Shareholder Rights Risk
5
Part 2 · The price and when to enter
This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.
Documents
- View document
Annual Report (10-K)
A yearly overview of the business, its financial results, and the risks it faces.
Filed on 2026-02-18
- View document
Quarterly Report (10-Q)
A snapshot of financial performance for the most recent three-month period.
Filed on 2026-08-05
- View document
Current Report (8-K)
An announcement of a major event, such as a leadership change or big news.
Filed on 2026-09-25
via SEC EDGAR
Income History
via SEC EDGAR
Latest News
Recent headlines for TPL, sourced from Markets Gazette.
- 4/13/2026POSITIVEIf You Invested $1000 In Texas Pacific Land Stock 5 Years Ago, You Would Have This Much Today
An investment of $1000 in Texas Pacific Land Corporation (TPL) five years ago would have yielded a significant return, illustrating the company's strong performance. While specific figures are not provided in the title, the framing suggests substantial capital appreciation. TPL, a major landholder in West Texas, benefits from oil and gas royalty interests. This historical performance data is crucial for investors evaluating TPL's long-term growth potential and its resilience in the energy sector.
- 3/9/2026POSITIVEWhy Texas Pacific Land Corporation Rallied Over 50% in February
Texas Pacific Land Corporation (TPL) experienced a significant surge in February, rallying over 50%. This impressive performance is attributed to the company's strategic positioning to capitalize on the burgeoning AI data center expansion. The increasing demand for energy and water resources, essential for powering and cooling these advanced facilities, directly benefits TPL's core operations. Investors are recognizing the long-term growth potential driven by this secular trend, anticipating sustained revenue streams from providing critical infrastructure services to the AI industry.
- 3/4/2026POSITIVE$100 Invested In Texas Pacific Land 15 Years Ago Would Be Worth This Much Today
An investment of $100 in Texas Pacific Land Corporation (TPL) made 15 years ago would be worth a substantial amount today, highlighting exceptional stock performance. While the article doesn't specify the exact figure, its emphasis on value growth suggests an exponential return. Texas Pacific Land primarily operates in oil and gas extraction and land management in Texas, sectors that have seen strong demand in recent years. For investors, this underscores the long-term growth potential of companies focused on strategic energy resources and real estate management in high-productivity areas.
- 2/24/2026POSITIVEWhy Stock-Split Stock Texas Pacific Land Corporation Beat the Market Today
Texas Pacific Land Corporation (TPL) has posted a market-beating performance, capturing investor attention. The catalyst for this positive momentum lies in the company's diversification strategy. Historically known as a major landlord for the energy industry, TPL is now actively exploring entry into new business sectors. This move is being interpreted by the market as an opportunity to unlock significant alternative revenue streams and reduce dependence on the energy sector. Analysts believe this strategic expansion could yield handsome benefits in the long term, justifying the current optimism surrounding the stock.
via Markets Gazette