At a glance
Texas Pacific Land Trust is worth $22.76B, about 47 times its fiscal 2025 earnings. Revenue grew 13.1% to $798.2M in fiscal 2025, with 60.3% kept as profit; over 5 years it has grown 21.4% a year. It pays a 0.71% dividend yield, and returned $1.12B to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned +5.6% over the past year with dividends reinvested and +21.0% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 60.2% in the 2020 crash (S&P 500: 33.7%) and 22.7% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 9 months and within a month after the lows.
The business in plain English
Texas Pacific Land is one of the largest landowners in Texas, with about 882,000 surface acres, mostly in the Permian Basin oil region. It also owns royalty interests equal to about 224,000 net royalty acres, a standard royalty measure. A royalty is a share of the value of the oil and gas produced, and TPL pays none of the drilling costs. It began in 1888 as a trust holding railroad land and became a corporation in 2021.
TPL is not an oil producer. It earns money from drillers and pipeline companies that use its land. Revenue was $798.2 million in 2025. The Land and Resource Management segment brought in 61.5%, led by oil and gas royalties at about 52% of the total. Easements, paid rights for pipelines and power lines to cross the land, and other surface income made up most of the rest.
The Water Services and Operations segment earned the remaining 38.5%. TPL sells water for drilling and completing wells (about 21% of revenue) and collects royalties when produced water, the salty water that comes up with oil, is disposed of on its land (about 16%). It is also exploring data center and power projects, and in December 2025 invested $50.0 million in Bolt Data & Energy to develop data center campuses on TPL land.
Price history
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TPL +5.6% over the year to Nov 2, 2026, total return with dividends reinvested.
How it makes money
By product or service
| Oil and gas royalties | $411.7M | 51.6% |
| Water sales | $169.7M | 21.3% |
| Produced water royalties | $124.2M | 15.6% |
| Easements and other surface-related income | $91.8M | 11.5% |
| Land sales | $819K | 0.1% |
By business segment
| LRM | $490.7M | 61.5% |
| WSO | $307.5M | 38.5% |
Latest results
- In Q2 FY2026 (ended Jun 30, 2026), revenue was $246.1M, up 31.2% from a year earlier, and net income was $153.9M (+32.5%).
- For fiscal 2025, revenue was $798.2M (+13.1% year over year; +21.4% a year from FY2020 to FY2025) with a 60.3% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +21.4% good |
|---|---|
| Operating margin | 74.2% good |
| Return on equity (FY2025) | 33% good |
| Return on assets (FY2025) | 29.7% good |
| Cash and investments | $248.6M (no borrowings found in the filings) good |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $302.6M | $176.0M | $202.0M |
| FY2021 | $451.0M | $270.0M | $248.7M |
| FY2022 | $667.4M | $446.4M | $428.2M |
| FY2023 | $631.6M | $405.6M | — |
| FY2024 | $705.8M | $454.0M | — |
| FY2025 | $798.2M | $481.4M | — |
Valuation snapshot
| Market value | $22.76B |
|---|---|
| P/E ratio | 47.3 |
| Dividend yield | 0.71% |
Rank among 1514 US companies
Market value at each year end
Texas Pacific Land Trust’s market value went from $9.67B at the end of 2021 to $22.76B on Nov 2, 2026, about 2.4 times as much; since the end of 2025 it is up 15%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Nov 2, 2026 | $22.76B | +14.9% |
| 2025 | $19.80B | -22.1% |
| 2024 | $25.41B | +110.5% |
| 2023 | $12.07B | -33.2% |
| 2022 | $18.06B | +86.7% |
| 2021 | $9.67B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| TPL price data to Nov 2, 2026 | +15.4% | +5.6% | +19.8% | +21.0% | +30.0% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | +15.4% |
| 2025 | -21.6% |
| 2024 | +116.3% |
| 2023 | -31.3% |
| 2022 | +98.2% |
| 2021 | +76.2% |
| 2020 | -2.0% |
| 2019 | +44.6% |
| 2018 | +22.0% |
| 2017 | +51.2% |
| 2016 | +127.2% |
| 2015 | +11.2% |
| 2014 | +18.3% |
| 2013 | +88.0% |
| 2012 | +32.6% |
| 2011 | +12.8% |
| 2010 | +22.3% |
| 2009 | +31.4% |
| 2008 | -48.1% |
| 2007 | +3.2% |
| 2006 | +46.3% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 67.8% over that stretch · deepest drop along the way 69.9%, back to its old high 37.3 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 59.7% over that stretch · deepest drop along the way 60.2%, back to its old high 9.4 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Gained 69.7% over that stretch · deepest drop along the way 22.7%, back to its old high 0.3 months after the low |
Insider activity
Form 4 filings from 2025-10-31 to 2026-10-31 (25 read): 25 open-market purchases ($12K) and 0 sales ($0.00).
| Date | Insider | Type | Value |
|---|---|---|---|
| Sep 15, 2026 | Peter Doyle Director | buy | $2K |
| Sep 29, 2026 | Horizon Kinetics Asset Management Llc 10% owner | buy | $1K |
| Sep 9, 2026 | Horizon Kinetics Asset Management Llc 10% owner | buy | $379.00 |
| Sep 8, 2026 | Horizon Kinetics Asset Management Llc 10% owner | buy | $375.00 |
| Aug 26, 2026 | Horizon Kinetics Asset Management Llc 10% owner | buy | $375.00 |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 7.9% | Dec 31, 2024 |
| Vanguard Capital Management | 6.3% | Mar 31, 2026 |
| Vanguard Portfolio Management | 5.11% | Sep 30, 2026 |
| STATE STREET CORPORATION | 5.1% | Sep 30, 2025 |
ETFs with the most weight in TPL
| PXI Invesco Dorsey Wright Energy Momentum ETF | 7.89% |
| INFL Horizon Kinetics Inflation Beneficiaries ETF | 6.91% |
| NVIR Horizon Kinetics Energy and Remediation ETF | 6.28% |
| IEO iShares U.S. Oil & Gas Exploration & Production ETF | 4.44% |
| RSPG Invesco S&P 500 Equal Weight Energy ETF | 4.44% |
| WBIL WBI BullBear Quality 3000 ETF | 4.39% |
| FXN First Trust Energy AlphaDEX Fund | 3.58% |
| XOP SPDR S&P Oil & Gas Exploration & Production ETF | 2.88% |
What could go wrong
- Royalty income rises and falls with oil prices. Royalties were about 52% of 2025 revenue. The average oil price TPL received fell from $75.80 a barrel in 2024 to $64.69 in 2025, and low prices can also lead operators to drill less.
- Other companies control the wells. TPL does not produce oil or gas. Operators decide how much to invest in and pump from wells on its land. Aging wells produce less without new investment, and TPL has no say in those choices.
- Water business depends on drilling budgets. The water segment brought in 38.5% of 2025 revenue, and demand rises and falls with operators' spending. TPL's project to desalinate produced water also risks invested capital and could bring environmental problems or reputational harm.
- Data center bet relies on partners. TPL put $50.0 million into a minority stake in Bolt Data & Energy, a data center developer still seeking anchor customers as of February 2026. TPL does not control ventures it partly owns.
- Long-term shift away from oil and gas. Most of TPL's revenue is tied to oil and gas activity in one region, the Permian Basin. It warns that decarbonization, a shift away from fossil fuels, could hurt its business over time.
- A volatile stock with uneven dividends. The shares fell as much as 39.4% in the year to October 28, 2026, and 73% in their worst drop in 21 years. Dividends per share dropped in 2023 and 2025, and payouts may change.
Recent events
- Executive or board change; Shareholder nomination deadline
- Quarterly results released; Investor presentation or announcement
- Investor presentation or announcement
- Investor presentation or announcement
- Major agreement signed; Quarterly results released; Executive or board change; Investor presentation or announcement
- Investor presentation or announcement
- Quarterly results released; Investor presentation or announcement
- Investor presentation or announcement
- Bylaws or fiscal year changed; Investor presentation or announcement
- Shareholder vote results
For income and retirement investors
Texas Pacific Land pays a dividend, but the yield was just 0.7% as of October 28, 2026, so holders would rely mostly on share price gains rather than income. Adjusted for stock splits, dividends per share were $3.56 in 2022, $1.44 in 2023, $5.03 in 2024 and $2.13 in 2025, with no streak of yearly increases. From 2020 to 2025, they grew about 13.9% a year, and the 2025 dividend equaled 30.7% of earnings. From 2021 through 2025, TPL paid $927.6 million in dividends and $187.6 million in buybacks, which shrank to $8.4 million in 2025.
The share price has fallen hard in some downturns. It dropped 69.9% in the 2008 financial crisis and took about 37 months to recover, and fell 60.2% in the 2020 COVID crash before recovering by January 2021. In the 2022 bear market, it rose 69.7% while the broader market fell. A single stock carries more risk than a diversified fund.
Questions investors ask
How does Texas Pacific Land make money?
Mostly from oil and gas royalties, plus fees for water and land use. TPL's revenue was $798.2 million in fiscal 2025. Oil and gas royalties made up 51.6% of that. A royalty is a share of the value of the oil and gas pumped from its acreage. Water sales added 21.3%, and produced water royalties added 15.6%. Produced water is the salty water that comes up with oil. Easements and other surface income added 11.5%. Easements are fees that pipeline and power line companies pay to use TPL's land.
Is Texas Pacific Land an oil producer?
No. TPL owns land and royalty rights, but it does not drill wells. Its royalties require no drilling or operating spending from TPL. It holds about 882,000 surface acres and about 224,000 net royalty acres, a standard measure of royalty ownership. Most of this is in the Permian Basin. Operators decide when to drill, so TPL depends on their choices and on energy prices. Its realized oil price fell to $64.69 a barrel in fiscal 2025 from $75.80 in fiscal 2024. Royalties still rose because its share of production grew.
Does Texas Pacific Land pay a dividend?
Yes, but the yield is small: 0.71% as of October 29, 2026. Dividends totaled $2.13 per share for fiscal 2025, adjusted for stock splits. That was about 30.7% of earnings. Per-share totals have varied widely, from $5.03 in fiscal 2024 to $2.13 in fiscal 2025, so they have not risen every year. From fiscal 2021 through 2025, TPL paid $927.6 million in dividends and spent $187.6 million repurchasing its own shares. The company warns that it may not keep paying dividends at the same rate.
How volatile is Texas Pacific Land stock?
Very volatile. As of October 29, 2026, its one-year volatility was 48.8%. Volatility measures how widely the price swings. Within that year, the shares fell as much as 39.4% at one point. The stock dropped 69.9% in the 2008 financial crisis and took about 37 months to recover. In the 2020 COVID crash it fell 60.2% and recovered in about 9 months. Calendar-year returns ranged from a 116.3% gain in 2024 to a 31.3% loss in 2023 and a 21.6% loss in 2025.
Does Texas Pacific Land have any debt?
Not according to its filings. They show no borrowings as of June 30, 2026, when TPL held $248.6 million in cash and investments. In October 2025, it set up a revolving credit facility with Wells Fargo and other lenders for up to $500 million. A revolving credit facility is a standing line of credit a company can draw on when needed. The line was still unused when TPL filed its annual report on February 18, 2026. TPL paid cash for its biggest 2025 purchase: $450.7 million for 17,306 net royalty acres, mostly in the Midland Basin.