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Texas Pacific (TPL) Ascends While Market Falls: Some Facts to Note

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The most recent trading session ended with Texas Pacific (TPL - Free Report) standing at $605.72, reflecting a +0.7% shift from the previouse trading day's closing. This move outpaced the S&P 500's daily loss of 1.46%. Meanwhile, the Dow experienced a drop of 1.24%, and the technology-dominated Nasdaq saw a decrease of 1.63%.

Prior to today's trading, shares of the landowner had gained 9.85% over the past month. This has outpaced the Oils-Energy sector's gain of 8.14% and the S&P 500's gain of 1.6% in that time.

Market participants will be closely following the financial results of Texas Pacific in its upcoming release. The company is expected to report EPS of $4.75, up 26.67% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $163.7 million, reflecting a 11.85% rise from the equivalent quarter last year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $20.72 per share and revenue of $704.1 million, which would represent changes of +17.79% and +11.48%, respectively, from the prior year.

Investors should also pay attention to any latest changes in analyst estimates for Texas Pacific. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 11.09% upward. Texas Pacific is holding a Zacks Rank of #1 (Strong Buy) right now.

From a valuation perspective, Texas Pacific is currently exchanging hands at a Forward P/E ratio of 29.04. This expresses a premium compared to the average Forward P/E of 25.69 of its industry.

The Alternative Energy - Other industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 91, positioning it in the top 37% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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