Head to Head Review: Cross Timbers Royalty Trust (CRT) vs. Texas Pacific Land Trust (TPL)

Cross Timbers Royalty Trust (NYSE:CRT) and Texas Pacific Land Trust (NYSE:TPL) are both oils/energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Risk & Volatility

Cross Timbers Royalty Trust has a beta of 0.44, suggesting that its stock price is 56% less volatile than the S&P 500. Comparatively, Texas Pacific Land Trust has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500.

Profitability

This table compares Cross Timbers Royalty Trust and Texas Pacific Land Trust’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Cross Timbers Royalty Trust 92.01% 79.60% 68.12%
Texas Pacific Land Trust 130.87% 148.85% 116.11%

Earnings & Valuation

This table compares Cross Timbers Royalty Trust and Texas Pacific Land Trust’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Cross Timbers Royalty Trust $6.63 million 13.45 $7.39 million N/A N/A
Texas Pacific Land Trust $132.41 million 39.99 $76.36 million N/A N/A

Texas Pacific Land Trust has higher revenue and earnings than Cross Timbers Royalty Trust.

Insider and Institutional Ownership

10.4% of Cross Timbers Royalty Trust shares are held by institutional investors. Comparatively, 39.8% of Texas Pacific Land Trust shares are held by institutional investors. 9.4% of Cross Timbers Royalty Trust shares are held by company insiders. Comparatively, 0.9% of Texas Pacific Land Trust shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Dividends

Cross Timbers Royalty Trust pays an annual dividend of $1.49 per share and has a dividend yield of 10.0%. Texas Pacific Land Trust pays an annual dividend of $1.05 per share and has a dividend yield of 0.2%. Texas Pacific Land Trust has increased its dividend for 6 consecutive years.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Cross Timbers Royalty Trust and Texas Pacific Land Trust, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Cross Timbers Royalty Trust 0 0 0 0 N/A
Texas Pacific Land Trust 0 0 0 0 N/A

Summary

Texas Pacific Land Trust beats Cross Timbers Royalty Trust on 10 of the 12 factors compared between the two stocks.

About Cross Timbers Royalty Trust

Cross Timbers Royalty Trust operates as an express trust in the United States. It holds 90% net profits interests in certain producing and nonproducing royalty and overriding royalty interest properties in Texas, Oklahoma, and New Mexico; and 75% net profits interests in certain working interest properties in Texas and Oklahoma. The company was founded in 1991 and is based in Fort Worth, Texas.

About Texas Pacific Land Trust

Texas Pacific Land Trust holds title to tracts of land in the state of Texas. The company operates through two segments, Land and Resource Management, and Water Service and Operations. It sells, leases, and manages these lands for the benefit of the holders of Certificates of Proprietary Interest in the Trust. The company has oil, gas, and water royalties interests; enters into easement contracts covering activities, such as oil and gas pipelines and subsurface wellbore easements; sells water and land; and leases land. As of December 31, 2017, it owned the surface estate in 887,698 acres of land comprising various separate tracts located in 18 counties in the western part of Texas; and grazing leases covering approximately 862,800 acres of the Trust's land. The company also owns a 1/128 nonparticipating perpetual oil and gas royalty interest under 85,414 acres of land, as well as a 1/16 nonparticipating perpetual oil and gas royalty interest under 373,777 acres of land in the western part of Texas. Texas Pacific Land Trust was founded in 1888 and is headquartered in Dallas, Texas.

Receive News & Ratings for Cross Timbers Royalty Trust Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cross Timbers Royalty Trust and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply