Executives at Horizon Kinetics Asset Management LLC have acquired additional shares of Texas Pacific Land Corp (NYSE:TPL), according to a recent SEC filing. The transactions, all purchases, were executed at a uniform price of $576.33, totaling $6,915.
The filing revealed multiple transactions made on March 27, 2024, by Horizon Kinetics executives, including Murray Stahl, the company’s Chairman, CEO, and Chief Investment Manager, who has an indirect interest in the shares through various entities. The shares were acquired in a series of transactions, with the total shares purchased amounting to 12 across different accounts managed by Horizon Kinetics.
The purchased shares were added to several funds and entities associated with Horizon Kinetics, indicating a reinforcing commitment to Texas Pacific Land Corp by its significant stakeholders. The transactions were executed at the same price per share, reflecting a consistent valuation of the stock on the transaction date.
The filing comes after a stock split by Texas Pacific Land Corp, which was effectuated on the same day as the transactions. This event has been reflected in the updated totals of shares owned following the transactions.
Investors often watch the buying and selling activities of company executives as an indicator of their confidence in the company's future performance. In this case, the purchases by Horizon Kinetics executives could be interpreted as a positive sign for Texas Pacific Land Corp, an oil royalty trader with a considerable presence in the industry.
Horizon Kinetics, through its executives and associated funds, continues to maintain a significant stake in Texas Pacific Land Corp, as detailed in the SEC filing. The disclosed transactions provide a window into the investment strategies of the asset management firm and its continued investment in the oil royalty trading space.
InvestingPro Insights
Amid the recent activity by Horizon Kinetics executives, Texas Pacific Land Corp (NYSE:TPL) exhibits financial strength and investment appeal, as evidenced by key metrics and InvestingPro Tips. The company's strong gross profit margins are noteworthy, with a gross profit margin in the last twelve months as of Q4 2023 standing at an impressive 94.69%. This indicates that Texas Pacific Land Corp is effectively managing its cost of goods sold, which is a positive sign for potential investors.
Additionally, Texas Pacific Land Corp's ability to cover its interest payments is robust, as its cash flows are more than sufficient for this purpose. This financial stability is further underscored by the fact that Texas Pacific Land Corp holds more cash than debt on its balance sheet, providing a buffer against market volatility and economic downturns.
From an investment standpoint, the company is currently trading at a high earnings multiple, with a P/E Ratio (adjusted) of 32.49 as of Q4 2023. While this may suggest a premium valuation, the company's strong fundamentals could justify the higher price to earnings ratio. Moreover, Texas Pacific Land Corp has been consistent in rewarding its shareholders, maintaining dividend payments for 11 consecutive years, with a dividend yield of 0.81% as of the most recent data.
For those interested in exploring further, there are additional InvestingPro Tips available that could provide deeper insights into Texas Pacific Land Corp's financial health and investment potential. To access these tips and more detailed analysis, visit InvestingPro. Don't forget to use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription, and discover the numerous other tips listed on InvestingPro that could guide your investment decisions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.