In a recent filing with the Securities and Exchange Commission, Texas Pacific Land Corp (NYSE:TPL) reported a series of stock purchases by insiders, including Murray Stahl and Horizon Kinetics Asset Management LLC. The transactions, which took place on November 13, 2024, involved the acquisition of shares valued at approximately $16,871. The purchase prices ranged from $1,376.90 to $1,415.67 per share.
Murray Stahl, a director at Texas Pacific Land Corp, along with Horizon Kinetics Asset Management, where he serves as Chairman, Chief Executive Officer, and Chief Investment Officer, executed these transactions under a pre-established Rule 10b5-1 plan. The purchases reflect continued interest and investment in the company by its insiders, with shares being acquired through various entities associated with Horizon Kinetics, including Horizon Kinetics Hard Assets LLC, Horizon Credit Opportunity (SO:FTCE11B) Fund LP, and Polestar (NASDAQ:PSNY) Offshore Fund Ltd.
The transactions are part of a broader strategy outlined in a Rule 10b5-1 plan adopted earlier this year, underscoring a structured approach to stock acquisitions by insiders. The filing also highlights that Murray Stahl does not participate in investment decisions regarding the issuer's securities, despite his leadership roles at Horizon Kinetics.
In other recent news, Texas Pacific Land Corporation has reported robust Q3 2024 earnings, featuring significant growth in oil and gas royalty production and water sales revenues. The company's consolidated revenues reached $174 million, while adjusted EBITDA was reported at $144 million. Notably, TPL's water sales revenues saw a 37% year-over-year increase, largely due to enhanced fracking techniques.
In addition, Texas Pacific Land Corporation has made significant amendments to its corporate governance structure, including changes to its bylaws and meeting rules. These amendments now require a special meeting to be called upon the written request of stockholders owning at least 25% of the outstanding common stock.
The company also announced a 37% increase in its quarterly dividend to $1.60 per share. Looking ahead, TPL is on track to complete a desalination facility by mid-2025 and is exploring non-oil and gas revenue opportunities, including solar, wind, data centers, and the beneficial reuse of produced water. Despite an 8% decline in realized oil prices and a 65% drop in natural gas prices, TPL maintains a strong balance sheet with zero debt. These are among the recent developments for Texas Pacific Land Corporation.
InvestingPro Insights
Texas Pacific Land Corp's recent insider purchases align with several positive indicators highlighted by InvestingPro. The company's impressive gross profit margins, as noted in an InvestingPro Tip, suggest strong operational efficiency, which may have influenced insiders' decision to increase their holdings. Additionally, TPL's ability to maintain dividend payments for 11 consecutive years demonstrates financial stability, potentially attracting long-term investors.
The company's financial health is further underscored by its robust balance sheet, with InvestingPro Data showing a market capitalization of $30.52 billion and a high gross profit margin of 93.27% for the last twelve months as of Q3 2024. This financial strength is complemented by TPL's strong performance in the market, with a remarkable year-to-date price total return of 165.76% as of the latest data.
However, investors should note that the stock is trading near its 52-week high, with a price at 94.58% of its peak. This aligns with another InvestingPro Tip indicating that the stock's RSI suggests it may be in overbought territory. While this doesn't negate the positive outlook, it does warrant careful consideration for potential investors.
For those seeking a more comprehensive analysis, InvestingPro offers 20 additional tips for Texas Pacific Land Corp, providing a deeper understanding of the company's financial position and market performance.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.