Texas Pacific Land executives purchase shares worth over $11k

Executives at Texas Pacific Land Corp (NYSE:TPL ), an oil royalty company, have recently made a series of stock purchases, signaling their confidence in the firm's prospects. These transactions, filed on September 24, 2024, show that the executives acquired shares at prices ranging from $942.00 to $947.23, amounting to a total of $11,319.

Murray Stahl, serving as a director at Texas Pacific Land Corp, along with Horizon Kinetics Asset Management LLC, where Stahl holds the positions of Chairman, Chief Executive Officer, and Chief Investment Officer, were the reporting owners in these transactions. It is important to note that Stahl does not exercise investment discretion with respect to the securities of the issuer, as per the footnotes in the filing.

The acquired shares are held across various entities, with Horizon Kinetics Hard Assets LLC, Horizon Credit Opportunity Fund LP, and Horizon Kinetics Asset Management LLC being mentioned specifically in the ownership nature section of the filing. The purchases were made pursuant to a Rule 10b5-1 plan adopted earlier in the year.

The filing also clarifies the beneficial ownership reported by Horizon Kinetics Asset Management LLC, which includes an indirect interest in approximately 53,550 shares by Stahl, as well as a direct interest in 2,474 shares. The reported figures have been adjusted to reflect a 3-for-1 stock split by the issuer earlier in the year.

Investors often watch insider buying as it can provide insights into the executives' view of the company's future performance. The recent acquisitions by Texas Pacific Land Corp's executives are a testament to their belief in the company's value and potential for growth.



In other recent news, Texas Pacific Land Corporation has announced a record performance in its Water Services and Operations segment in its Q2 2024 financial results. The company reported consolidated revenues of approximately $172 million, a 14% year-over-year growth, and diluted earnings per share of $4.98. The company's water segment achieved corporate records across various performance indicators, including sales revenues, volumes, and net income. In addition, Texas Pacific Land Corporation is looking to expand its mineral and royalty assets in the Permian Basin.

Simultaneously, the Public Utility Commission of Texas has shortlisted 17 gas-fired power plant projects, including NRG Energy (NYSE:NRG ), Vistra, Constellation, NextEra, and GE Vernova, for a share of $5.38 billion in government funding. This funding, part of a new program designed to encourage the development of natural gas electricity generation facilities, aims to bolster the state's power grid. The approved projects, representing nearly 10,000 megawatts in power generation capacity, are expected to receive their initial loan disbursements by December 31, 2025. These developments are part of recent efforts to strengthen energy infrastructure and mitigate the risk of future power shortages.
InvestingPro Insights


Recent insider buying at Texas Pacific Land Corp (NYSE:TPL) may be a strong signal to investors about the company's potential. The confidence demonstrated by executives aligns with several positive financial metrics and InvestingPro Tips that further illuminate the company's status. With a robust gross profit margin of 93.61% in the last twelve months as of Q2 2024, Texas Pacific Land Corp showcases its ability to efficiently manage its cost of goods sold, which is a critical aspect for profitability.

Another highlight is the company's impressive return on assets, which stood at 38.64% during the same period. This indicates that Texas Pacific Land Corp is effectively utilizing its assets to generate earnings. Moreover, the company's stock performance has been remarkable, with a 58.51% return over the last year and a significant 72.33% price total return in the last six months, reflecting a strong market confidence.

InvestingPro Tips further reveal that Texas Pacific Land Corp holds more cash than debt on its balance sheet and has maintained dividend payments for 11 consecutive years, which may appeal to investors looking for financial stability and consistent income. For those interested in deeper analysis, InvestingPro offers additional tips that could provide further insights into the company's financial health and investment potential.

The company's market capitalization stands at $21.8 billion, and it's trading near its 52-week high, at 98.96% of that peak. The price at the previous close was $952.1. With a P/E ratio of 48.72, the company is trading at a high earnings multiple, which could suggest investor optimism about future earnings prospects or a premium valuation compared to peers.

For more detailed analysis and additional InvestingPro Tips, investors can visit https://www.investing.com/pro/TPL, where 20 more tips are available to help assess the company's investment profile.

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Source: Investing.com