TPL (Texas Pacific Land) ROCE %: 46.16% (As of Mar. 2026)


TPL Texas Pacific Land Corp TPL
90 GF Score
Price $407.20
GF Value $369.98
Valuation Fairly Valued
! 2 Warning Signs
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What is Texas Pacific Land ROCE %?

Texas Pacific Land TPL -1.88% 90 ROCE % is 46.16% as of Mar. 2026. GuruFocus rates TPL with a GF Score™ of 90/100 and a GF Value™ of $369.98 (Fairly Valued). The stock has 2 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Texas Pacific Land's annualized ROCE % for the quarter that ended in Mar. 2026 was 46.16%.

Texas Pacific Land  (NYSE:TPL) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Texas Pacific Land ROCE % Related Terms

Texas Pacific Land ROCE % Historical Data

* Premium members only.

The historical data trend for Texas Pacific Land's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Texas Pacific Land ROCE % Chart

Texas Pacific Land Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 58.99 74.13 50.79 47.27 44.64

Texas Pacific Land Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 50.32 43.99 42.65 44.84 46.16
TPL
90GF Score
Texas Pacific Land Corp TPL
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Texas Pacific Land ROCE % Calculation

Texas Pacific Land's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=611.019/( ( (1248.02 - 60.4) + (1623.278 - 73.569) )/ 2 )
=611.019/( (1187.62+1549.709)/ 2 )
=611.019/1368.6645
=44.64 %

Texas Pacific Land's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=738.224/( ( (1623.278 - 73.569) + (1751.453 - 102.925) )/ 2 )
=738.224/( ( 1549.709 + 1648.528 )/ 2 )
=738.224/1599.1185
=46.16 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 46.16% mean?
Texas Pacific Land (TPL) has a ROCE % of 46.16% as of Mar. 2026.
Is Texas Pacific Land's ROCE % too high?
Texas Pacific Land's current ROCE % is 46.16%. The Oil & Gas industry median ROCE % is 6.85. Texas Pacific Land's value of 46.16% is 573.9% above this industry median. Overall, Texas Pacific Land has a GF Score™ of 90/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Texas Pacific Land's ROCE % compare to EQT and EXE?
Texas Pacific Land's ROCE % of 46.16% can be compared against companies in the Oil & Gas industry. The industry median ROCE % is 6.85. Texas Pacific Land's value of 46.16% is 573.9% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for an Oil & Gas company?
The median ROCE % among Oil & Gas companies is 6.85, based on 981 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Texas Pacific Land's current ROCE % of 46.16% is 573.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Oil & Gas industry, the median ROCE % is 6.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Texas Pacific Land's current ROCE % is 46.16%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Texas Pacific Land stock overvalued right now?
Based on GuruFocus' analysis, Texas Pacific Land (TPL) is currently considered Fairly Valued. The stock's GF Value™ is $369.98, compared to a current price of $407.20 — trading 10.1% above its estimated fair value. The current ROCE % is 46.16% and 573.9% above the Oil & Gas industry median of 6.85. Texas Pacific Land's overall GF Score™ is 90/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Texas Pacific Land (TPL), the current ROCE % is 46.16% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Texas Pacific Land (TPL) Overvalued in 2026?

Based on GuruFocus' analysis, Texas Pacific Land stock appears to be overvalued. The current stock price of $407.20 is trading 10.1% above its estimated GF Value™ of $369.98. GuruFocus considers Texas Pacific Land to be Fairly Valued.

Key valuation signals for TPL:

  • ROCE %: 46.16%
  • GF Value™: $369.98 vs. price of $407.20 (10.1% above fair value)
  • GF Score™: 90/100 with 2 warning signs
  • Industry Position: 573.9% above the Oil & Gas median

No single metric tells the full story. See the TPL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Texas Pacific Land Business Description

Industry EnergyOil & Gas
Other Exchanges 9WY:Germany
Address 2699 Howell Street, Suite 800, Dallas, TX, USA, 75204
Texas Pacific Land Corp is mainly engaged in the sales and leases of land owned, retaining oil and gas royalties, and the overall management of the land owned. The group operates its business in two reportable segments: Land and Resource Management and Water Service and Operations. The Land and Resource Management segment, which generates maximum revenue, focuses on managing its several surface acres of land and its oil and gas royalty interests, principally concentrated in the Permian Basin. The revenue streams of this segment consist of royalties from oil and gas, revenues from easements and commercial leases, and land and material sales. The Water Services and Operations segment encompasses the business of providing a full-service water offering to operators in the Permian Basin.
90GF Score

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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$407.20
Price
$369.98
GF Value