Texas Pacific Land (NYSE:TPL) Trading Up 6% – Should You Buy?

Texas Pacific Land Corporation (NYSE:TPL) was up 6% on Thursday . The company traded as high as $390.29 and last traded at $395.4180. Approximately 52,652 shares traded hands during trading, a decline of 88% from the average session volume of 453,570 shares. The stock had previously closed at $373.18.

Analysts Set New Price Targets

A number of brokerages have recently commented on TPL. Zacks Research upgraded Texas Pacific Land from a “strong sell” rating to a “hold” rating in a research note on Wednesday, July 29th. Weiss Ratings restated a “hold (c+)” rating on shares of Texas Pacific Land in a research report on Wednesday, July 29th. One research analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $639.00.

Texas Pacific Land Trading Up 1.4%

The firm’s 50-day moving average is $387.94 and its 200 day moving average is $423.04. The firm has a market capitalization of $26.09 billion, a price-to-earnings ratio of 48.22 and a beta of 0.60.

Texas Pacific Land (NYSE:TPL) last posted its earnings results on Wednesday, August 5th. The financial services provider reported $2.23 earnings per share for the quarter, topping analysts’ consensus estimates of $2.18 by $0.05. Texas Pacific Land had a net margin of 60.32% and a return on equity of 35.76%. The firm had revenue of $246.10 million for the quarter, compared to analyst estimates of $249.50 million. Analysts predict that Texas Pacific Land Corporation will post 8.88 EPS for the current year.

Texas Pacific Land Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be paid a $0.60 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $2.40 annualized dividend and a dividend yield of 0.6%. Texas Pacific Land’s payout ratio is currently 30.57%.

Insiders Place Their Bets

In related news, CFO Chris Steddum sold 830 shares of the stock in a transaction on Monday, June 8th. The stock was sold at an average price of $400.33, for a total value of $332,273.90. Following the completion of the sale, the chief financial officer directly owned 12,040 shares in the company, valued at $4,819,973.20. This represents a 6.45% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 6.90% of the stock is owned by insiders.

Institutional Investors Weigh In On Texas Pacific Land

A number of institutional investors have recently made changes to their positions in TPL. Quarry LP acquired a new stake in shares of Texas Pacific Land in the third quarter valued at about $29,000. Silicon Valley Capital Partners acquired a new position in shares of Texas Pacific Land in the third quarter worth approximately $33,000. Triumph Capital Management acquired a new position in shares of Texas Pacific Land in the third quarter worth approximately $36,000. MUFG Securities EMEA plc bought a new stake in Texas Pacific Land in the second quarter valued at approximately $59,000. Finally, EverSource Wealth Advisors LLC boosted its holdings in Texas Pacific Land by 21.4% in the second quarter. EverSource Wealth Advisors LLC now owns 68 shares of the financial services provider’s stock valued at $72,000 after acquiring an additional 12 shares during the last quarter. Institutional investors own 59.94% of the company’s stock.

Texas Pacific Land Company Profile

Texas Pacific Land Corporation (NYSE: TPL) is a Texas-based land management company that derives revenue from the ownership and stewardship of large tracts of land and associated mineral rights in West Texas. The company’s origins trace to 19th century land grants associated with the Texas and Pacific Railway; over time those grant holdings have been retained and managed as a standalone corporate asset base. Texas Pacific Land is publicly listed and operates as a landowner and resource manager rather than as a traditional oil and gas producer.

The company’s primary activities include management of surface rights and leasing of land for energy and other commercial uses, administration of mineral royalty interests, and provision of water and related services to industrial customers.