Texas Pacific Land Corp (TPL) stock analysis
Texas Pacific Land Corp (TPL) clears 1 of this site's 8 mechanical value filters, 6 of 8 Buffett-style checks and 2 of 5 Lynch-style checks. At $333.67 it trades 344.5% above this site's neutral DCF value (a margin of safety of -344.5%). Its earnings quality rates Strong and it returns +0.6% to shareholders net of dilution. Figures are as of October 23, 2026, from SEC filings and market data refreshed weekly; this is educational analysis, not investment advice.
Data as of October 23, 2026. Refreshed weekly from SEC filings and market data.
What does Texas Pacific Land do?
Texas Pacific Land owns large tracts of land in West Texas and earns royalties and fees from oil, gas and water use.
What stands out about Texas Pacific Land?
- The share price implies more than 40% yearly growth. At $333.67, free cash flow per share would have to grow faster than 40% a year, fading to 2.5% by year 10, for this site's DCF to match the price. Change the assumptions.
- Misses 5 of the 8 value filters. It fails Market Cap > $25B ($22.8B), Trailing P/E < 25 (42.07) and PEG Ratio < 1.5 (2.54) and 2 more; the other 1 pass and 2 were not evaluated. See every filter.
- Strongest against peers: net margin. At 60.3% (peer median 13.5%) it ranks 1st of 21 among energy stocks this site tracks. See the ranking.
- Weakest against peers: P/E ratio. At 42.1× (peer median 17.2×) it ranks 21st of 21 among energy stocks this site tracks. See the ranking.
- Insiders have been buying. 12 open-market purchases were reported in SEC Form 4 filings in the last 90 days, about $13093.6 million in all. See the Insider Buying Tracker.
How has Texas Pacific Land's share price moved?
The interactive price chart needs JavaScript.
Is Texas Pacific Land undervalued? The value diligence check
Every value-investing signal this site computes for this stock, gathered in one place: the same real numbers from the tools below, not a new score.
- Margin of safety (DCF) -344.5%
- P/E vs. its own history 42.1x · the middle Real range: 29.8x–56.1x over 5 years (net income per diluted share from each fiscal year's 10-K, paired with the real closing price at that fiscal year-end).
- Wall St. analyst rating Buy · 3.57/5 7 analysts this month: 1 strong buy, 4 buy, 1 hold, 0 sell, 1 strong sell (Finnhub). Down from 3.75 last month.
- Altman Z″-Score (bankruptcy risk) 15.97 · Safe zone
- Earnings quality (is the profit real?) Strong · all 5 checks clean accruals −4.5% of assets · 108% of profit arrived as cash · stock comp 1.9% of revenue · share count −0.1% a year. From the latest 10-K (year to Dec 2025) - see the Earnings Quality Screener for how each check is scored.
- Shareholder yield (cash back to owners) +0.6% net Latest fiscal year (2025): dividends 0.6% + buybacks 0.0% − stock comp 0.1%, as a share of today's market cap. Over 7 years its split-adjusted share count fell 2%. See Shareholder Yield Leaders.
- Capital needed to grow (See's test) n/a (under 8 years of filings)
- PEG (growth at a reasonable price) 2.54 · Well above fair P/E 42.1× ÷ 16.6% a year of growth behind it. 292nd lowest of 447 stocks with a usable PEG. Lynch's fair value is a PEG of 1; a very high PEG usually means almost no growth, a very low one a profit spike. See PEG Ratio Ranking.
- Compounder lenses (4) 1 of 4 · misses capital-light (n/a), cash back, price Capital-light growth: cannot be measured (under 8 years of filings); Profit is real: cleared; Cash to owners: not cleared (+0.9% a year net); Fair price (PEG): not cleared (PEG 2.54, over 1.5). See Compounders at a Fair Price, which also lets you move the PEG bar.
- Value trap check Clear
- Munger's Inversion Check 3 flags
- Standing vs. sector peers 4 of 7 measures above the median Compared with the 20 other energy stocks this site tracks: 4 in the top third, 3 in the bottom third.
- Dividend payout sustainability 0/6 · clean
How does Texas Pacific Land compare with its peers?
4 of 7 measures sit above the median of the 20 other energy stocks tracked here, 4 in the top third and 3 in the bottom third.
- P/E ratiolower is cheaper · peer median 17.2× 42.1× ✕21st of 21
- Free-cash-flow yieldhigher is cheaper · peer median 6.5% 1.3% ✕20th of 21
- Return on equityhigher is better · peer median 16% 36% ✓3rd of 21
- Net marginhigher is better · peer median 13.5% 60.3% ✓1st of 21
- Revenue growthhigher is better, year on year · peer median 11.2% 20.8% ✓4th of 21
- Debt / equitylower is safer · peer median 0.45 0.00 ✓1st of 21
- Dividend yieldamong dividend payers · peer median 2.10% 0.69% ✕21st of 21
Peers are the stocks this site tracks in the same sector group, not every listed competitor. The bar runs from the weakest peer (left) to the strongest (right); the tick is the middle. Measures that don't apply to a sector (cash-flow yield for banks, debt for financials) are left out.
What would Buffett & Lynch say?
Buffett's checklist is built around durable, profitable businesses bought at sensible prices, and TPL doesn't clear enough of it yet. In its favor: TPL is currently earning a strong return on shareholders' equity, and has kept that profitability up over five years, not just this year, carries a conservative amount of debt relative to equity, converts sales into profit at healthy margins, has grown earnings per share at a solid clip over five years, and earns many times its interest expense, so debt service isn't a worry. Where it comes up short: TPL is trading above what a conservative discounted-cash-flow estimate says it's worth right now, and trades rich relative to owner earnings, the real cash the business could pay out.
- ROE (TTM) > 11% ✓
- ROE (5yr avg) > 11% ✓
- Debt/Equity < 0.5 ✓
- Pretax margin > 15% ✓
- EPS growth (5yr) > 7% ✓
- Interest coverage > 5x ✓
- Trading below intrinsic value (DCF) ✕
- Price vs. owner earnings < 25x ✕
- Bonus: returning capital via buybacks FY2025
Lynch looked for growth stories that weren't overpriced for that growth, and TPL falls short of his bar. In its favor: TPL is growing earnings at the steady 10-20% pace of a proper Stalwart, and isn't over-leveraged for a company of its type. Where it comes up short: TPL fails his signature PEG test, he'd call this pricey for the growth on offer, is asking investors to pay a steep multiple for that growth, and isn't generating free cash flow to match the growth story.
- PEG < 1 ✕
- EPS growth 10%-20% ✓
- Debt/Equity < 0.6 ✓
- P/E < 27 ✕
- Price/FCF < 30 ✕
- Bonus: insiders buying (90d) 12 buys, ~$13093.6M
Quantitative approximations of each investor's documented approach, not endorsed by either investor or their estates - commentary, not this site's actual ranking criteria. Buffett never published a numeric checklist: only 2 of his 8 checks here trace to his own documented concepts ("owner earnings," from his 1986 shareholder letter, and "price is what you pay, value is what you get," his case against fixed P/E/P/B ceilings) - the other 6 (ROE, debt, margins, growth, interest coverage) use commonly-cited thresholds that are not numbers he himself published. The 8 hard filters below (plus the Munger check and Graham margin of safety) are this site's real, mechanical screen and are computed completely independently of the checklists above.
Berkshire Hathaway's own filing
Which of the 8 value filters does Texas Pacific Land pass?
- Market Cap > $25B $22.8B
- Trailing P/E < 25 42.07
- PEG Ratio < 1.5 2.54
- Price/Book < 8 13.62
- Price/Sales < 7 25.38
- EPS Growth YoY > -5% +32.5%
- vs 50-day MA (±12%) Not evaluated †
- vs 200-day MA (±12%) Not evaluated †
What is Texas Pacific Land's margin of safety?
History tracking starts this week - check back in a future week to see how this has moved.
Where is Texas Pacific Land in its 52-week range?
What is the short interest in Texas Pacific Land?
4,228,958 shares short as of 2026-09-30 (FINRA settlement date). Reported twice a month, so this only changes roughly every two weeks, not daily.
What could go wrong with Texas Pacific Land? Munger's inversion check
"Invert, always invert." Instead of reasons to buy, these are reasons to hesitate, not a verdict, and not everything worth knowing about a business.
- Margin of safety, even in the bull case -163%
- Short interest under 5% of float 6.2%
- Passes most of the 6 fundamental filters 1/6 passed
- Price run-up backed by value, not just momentum +22% off 52wk low
Doesn't cover circle of competence, management quality, or accounting concerns: those need judgment, not data.
How much have Texas Pacific Land shareholders gained per year?
Earnings growth per share plus dividend.
An earnings-based proxy, not a stock-price total return - it doesn't capture multiple expansion/contraction or reinvested dividends. EPS from TPL's own 10-K filings; dividend yield is the current trailing yield on today's price, from the same weekly fetch as the rest of this site.
What do Texas Pacific Land's 10-year financials show?
From TPL's own 10-K filings (SEC EDGAR): up to the last 8 fiscal years. Press any year's bars for the exact figures.
Frequently asked questions about Texas Pacific Land
What kind of company is Texas Pacific Land?
Texas Pacific Land owns large tracts of land in West Texas and earns royalties and fees from oil, gas and water use. This site groups it with Energy stocks.
Is Texas Pacific Land trading above or below its DCF value?
At $333.67, TPL trades 344.5% above this site's neutral DCF value of $75.06 per share, a margin of safety of −344.5%. That DCF projects free cash flow for 10 years, with growth starting at 8% and fading to 2.5%, discounted at 10%; it is one set of assumptions, not a forecast. Test your own in the Intrinsic Value Calculator.
How many of this site's 8 value filters does Texas Pacific Land pass?
TPL passes 1 of 8. It passes EPS Growth YoY > -5% (+32.5%). It misses Market Cap > $25B ($22.8B), Trailing P/E < 25 (42.07), PEG Ratio < 1.5 (2.54), Price/Book < 8 (13.62) and Price/Sales < 7 (25.38). vs 50-day MA (±12%) and vs 200-day MA (±12%) were not evaluated, because the moving-average checks only run on stocks that clear the fundamentals first. The 8-filter list shows every stock that passes all of them.
Are Texas Pacific Land's insiders buying its shares?
Yes: 12 open-market insider purchases of Texas Pacific Land shares, worth about $13093.6 million in total, were reported in SEC Form 4 filings in the 90 days up to this page's last update. Only open-market purchases count here, not option exercises or stock awards. See the Insider Buying Tracker.
When does Texas Pacific Land report earnings next?
Texas Pacific Land's next earnings report is expected on November 4, 2026, with analysts expecting earnings of $2.35 per share. Dates come from the Finnhub earnings calendar and can move. In its last 4 quarters it beat the estimate 3 times, by an average of −1.0%.
How heavily is Texas Pacific Land stock sold short?
As of September 30, 2026, 6.2% of TPL's float was sold short (4,228,958 shares, 8.9 days to cover), down 0.2% from the prior reporting period. FINRA publishes short interest twice a month, so it changes about every two weeks; this site flags anything above 5% of the float.
Where do these numbers come from?
- Financial statements: Texas Pacific Land's 10-K annual report for the year ended Dec 31, 2025, filed Feb 18, 2026 (filing index). Every earlier year in the 10-year financials comes from the company's older 10-K filings, all listed on SEC EDGAR.
- Prices and market data: quotes, P/E and analyst ratings from Finnhub; daily price history and the 52-week range from Twelve Data, both refreshed weekly. Short interest comes from FINRA, reported twice a month.
- How to check a figure: click any number in the card above to see its exact source, and read the Editorial Standards for every rule behind the checks.
About this Texas Pacific Land Corp analysis
This page shows every value-investing check the site runs on Texas Pacific Land Corp (TPL) in one place: the 8 mechanical filters, the Buffett and Lynch checklists, a margin of safety from a disclosed DCF, earnings quality, shareholder yield and how it ranks against its sector peers. The numbers come from SEC filings and public market data, refreshed weekly, and the same rules apply to every stock on the stock list. See Editorial Standards for the sources and the rules, or run your own filters in the stock screener.