Texas Pacific Land Executives Acquire Over $11K in Shares

Executives at Texas Pacific Land Corp, a company focused on oil royalties, have recently undertaken several stock purchases, indicating strong confidence in the company’s future. Transaction filings dated September 24, 2024, reveal that these executives bought shares priced between $942.00 and $947.23, totaling $11,319.

Murray Stahl, a director at Texas Pacific Land Corp and Chairman, CEO, and CIO of Horizon Kinetics Asset Management LLC, was among those making these acquisitions. It is important to clarify that Stahl does not exercise investment discretion regarding the securities of the issuer, as noted in the filing’s footnotes.

These new shares are held by various entities, specifically mentioning Horizon Kinetics Hard Assets LLC, Horizon Credit Opportunity Fund LP, and Horizon Kinetics Asset Management LLC. The purchases were executed under a Rule 10b5-1 plan that was established earlier this year.

The filing also details the ownership interests reported by Horizon Kinetics Asset Management LLC, highlighting an indirect interest in approximately 53,550 shares held by Stahl, along with a direct interest in 2,474 shares. These figures have been adjusted to account for a 3-for-1 stock split that occurred earlier in the year.

Insider buying often attracts investor attention as it may provide insight into the executives’ outlook on the company’s future performance. The recent acquisitions by Texas Pacific Land Corp’s executives suggest a robust belief in the company’s value and growth potential.

In other developments, Texas Pacific Land Corporation has reported record performance in its Water Services and Operations segment for the second quarter of 2024. The company achieved consolidated revenues of about $172 million, reflecting a 14% year-over-year increase, and reported diluted earnings per share of $4.98. The water segment set new corporate records in several performance metrics, including sales revenues, volumes, and net income. Furthermore, Texas Pacific Land Corporation is actively seeking to expand its mineral and royalty assets in the Permian Basin.

Additionally, the Public Utility Commission of Texas has shortlisted 17 gas-fired power plant projects for consideration in a $5.38 billion government funding initiative. This funding is part of a new program aimed at fostering the development of electricity generation facilities to strengthen the state’s power grid. The selected projects, which will account for nearly 10,000 megawatts of power generation capacity, are anticipated to receive their initial loan disbursements by December 31, 2025, as part of ongoing efforts to enhance energy infrastructure and reduce the likelihood of future power shortages.

Recent insider activity at Texas Pacific Land Corp may serve as a strong indicator for investors regarding the company’s outlook. The executives’ confidence is backed by positive financial metrics, including a gross profit margin of 93.61% over the last twelve months as of Q2 2024, showcasing the firm’s effective management of costs, which is crucial for profitability.

Another noteworthy element is the company’s return on assets, reported at 38.64% during the same period, signifying efficient utilization of assets to generate earnings. The company’s stock performance has been notable as well, boasting a 58.51% return over the past year and a 72.33% total price return in the last six months, highlighting strong market confidence.

Furthermore, Texas Pacific Land Corp has maintained a balance sheet with more cash than debt and has consistently paid dividends for 11 consecutive years, making it an appealing option for investors seeking stability and regular income.

The company’s market capitalization is currently $21.8 billion, trading near its 52-week high at 98.96% of that peak, with the previous close at $952.1. It has a price-to-earnings ratio of 48.72, suggesting either strong investor optimism regarding future earnings or a premium valuation relative to its peers.

This article was generated with AI assistance and reviewed by an editor.