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Texas Pacific (TPL) Outpaces Stock Market Gains: What You Should Know

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Texas Pacific (TPL - Free Report) closed the most recent trading day at $1,651.33, moving +0.7% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.56%. Elsewhere, the Dow gained 0.41%, while the tech-heavy Nasdaq added 1.35%.

Prior to today's trading, shares of the landowner had lost 7.31% over the past month. This has was narrower than the Oils-Energy sector's loss of 8% and lagged the S&P 500's loss of 1.48% in that time.

Texas Pacific will be looking to display strength as it nears its next earnings release. On that day, Texas Pacific is projected to report earnings of $12.57 per share, which would represent a year-over-year decline of 0.55%. Our most recent consensus estimate is calling for quarterly revenue of $164.54 million, up 11.67% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $54.24 per share and revenue of $702.77 million, which would represent changes of -6.11% and +5.3%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Texas Pacific. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 14.2% lower within the past month. Texas Pacific is currently sporting a Zacks Rank of #4 (Sell).

In terms of valuation, Texas Pacific is currently trading at a Forward P/E ratio of 30.23. For comparison, its industry has an average Forward P/E of 18.23, which means Texas Pacific is trading at a premium to the group.

The Alternative Energy - Other industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 194, putting it in the bottom 24% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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