On September 13, 2023, Director Murray Stahl of Texas Pacific Land Corp (TPL, Financial) purchased 20 shares of the company's stock. This move by the insider is noteworthy and warrants a closer look.
Who is Murray Stahl (Trades, Portfolio)?
Murray Stahl (Trades, Portfolio) is a seasoned financial expert and a director at Texas Pacific Land Corp. With years of experience in the financial sector, Stahl's investment decisions are closely watched by market participants. His recent purchase of TPL shares is a significant development that could signal his confidence in the company's future prospects.
About Texas Pacific Land Corp
Texas Pacific Land Corp is a publicly-traded company that manages land, including royalty interests, in Texas. The company operates in the oil and gas industry and has a significant presence in the state. With a market cap of $13.77 billion, TPL is a major player in its industry.
Insider Buying Analysis
Over the past year, Murray Stahl (Trades, Portfolio) has purchased a total of 3,282 shares and has not sold any shares. This recent purchase of 20 shares adds to his growing stake in the company. The insider's consistent buying trend could indicate a strong belief in the company's potential.
The insider transaction history for Texas Pacific Land Corp shows a total of 188 insider buys over the past year, with only 1 insider sell. This trend suggests a positive sentiment among the company's insiders.
The relationship between insider buying/selling and stock price is often considered a reliable indicator of a company's future performance. In this case, the consistent insider buying could be a positive sign for TPL's stock price.
Valuation
On the day of Murray Stahl (Trades, Portfolio)’s recent buy, shares of Texas Pacific Land Corp were trading for $1,772.92 each. This gives the stock a market cap of $13.77 billion. The price-earnings ratio is 33.18, which is higher than the industry median of 9.26 but lower than the company’s historical median price-earnings ratio.
With a price of $1,772.92 and a GuruFocus Value of $1,980.44, Texas Pacific Land Corp has a price-to-GF-Value ratio of 0.9. This suggests that the stock is fairly valued based on its GF Value.
The GF Value is an intrinsic value estimate developed by GuruFocus. It is calculated based on historical multiples that the stock has traded at, a GuruFocus adjustment factor based on the company’s past returns and growth, and future estimates of business performance from Morningstar analysts.
In conclusion, the insider's recent purchase, coupled with the company's fair valuation, could make Texas Pacific Land Corp an interesting stock to watch in the coming months.
