In a recent transaction, Horizon Kinetics Asset Management LLC, a significant investor in Texas Pacific Land Corp (NYSE:TPL), has increased its holdings in the company by purchasing additional shares. The asset management firm, known for its long-term investment strategy, acquired 3 shares of Texas Pacific Land Corp at a price of $564.11 each, totaling approximately $1,692.
This transaction, dated May 8, 2024, reflects Horizon Kinetics' continued confidence in the oil royalty trader. Following the purchase, the firm's total ownership in Texas Pacific Land Corp amounts to 1,084,983 shares. It's worth noting that on February 28, 2024, Horizon Kinetics had reported beneficial ownership of 1,271,975 shares, with Murray Stahl, the firm's key figure, having a direct interest in 2,474 shares and an indirect interest in approximately 53,550 shares. The disclosure clarified that Stahl does not exercise investment discretion with respect to the issuer's securities.
The transaction was signed off by Jay Kesslen, attorney-in-fact, on May 9, 2024. Horizon Kinetics' latest move adds a modest number of shares to its substantial holdings, signaling its ongoing investment in Texas Pacific Land Corp's future.
InvestingPro Insights
As Horizon Kinetics Asset Management LLC bolsters its position in Texas Pacific Land Corp (NYSE:TPL), current metrics and analyses from InvestingPro offer additional context for potential investors. With a market capitalization of $14.27 billion, Texas Pacific Land Corp stands out with a robust financial backbone. One of the most striking features is the company's gross profit margin, which, for the last twelve months as of Q4 2023, was an impressive 94.69%. This figure not only reflects the company's ability to manage costs effectively but also suggests a strong pricing power within its market segment.
Investors should note that Texas Pacific Land Corp's stock is trading at a high earnings multiple, with a P/E ratio of 32.88. While this may indicate investor confidence and a potential for growth, it also suggests that the stock is priced at a premium compared to earnings. Additionally, the company's Price / Book ratio of 12.43 underscores a valuation that is high relative to the company's net asset value.
Despite a slight revenue decline of 5.37% in the last twelve months as of Q4 2023, Texas Pacific Land Corp has shown a quarterly revenue growth of 9.14% in Q1 2023. This recent uptick could be a signal of a turnaround or growth phase for the company. Moreover, the company's ability to maintain dividend payments for 11 consecutive years, with a recent dividend growth of 16.67%, reflects a commitment to returning value to shareholders. The latest dividend yield stands at 0.83%.
For investors seeking a more comprehensive analysis, there are 16 additional InvestingPro Tips available for Texas Pacific Land Corp, which can be found at https://www.investing.com/pro/TPL. These tips provide deeper insights into the company's financial health and market position. To enhance your investment research, use the coupon code PRONEWS24 to get an extra 10% off a yearly or biyearly Pro and Pro+ subscription at InvestingPro.
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