TXO Partners (NYSE:TXO) Hits New 1-Year Low - Time to Sell?

Key Points

• TXO Partners has reached a new 12-month low, trading at $14.68, down from a previous close of $14.96, with a 52-week low of $14.72.
• The company's dividend payout ratio has soared to 580.95%, despite declaring a quarterly dividend of $0.45 per share, reflecting financial challenges.
• Recent insider purchases have been significant, with 3,473,000 shares acquired by insiders totaling approximately $52 million, indicating confidence in the company's long-term potential.

Shares of TXO Partners LP (NYSE:TXO - Get Free Report) reached a new 52-week low during mid-day trading on Friday . The company traded as low as $14.72 and last traded at $14.68, with a volume of 82062 shares. The stock had previously closed at $14.96.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on TXO. Raymond James Financial restated a "strong-buy" rating and issued a $24.00 price target (up from $23.00) on shares of TXO Partners in a report on Friday, July 25th. Wall Street Zen raised shares of TXO Partners from a "sell" rating to a "hold" rating in a research report on Saturday. Finally, Stifel Nicolaus initiated coverage on TXO Partners in a report on Wednesday, April 23rd. They set a "buy" rating and a $20.00 target price on the stock.

TXO Partners Price Performance

The business has a fifty day moving average of $15.16 and a two-hundred day moving average of $16.90. The company has a debt-to-equity ratio of 0.03, a quick ratio of 0.97 and a current ratio of 0.97. The firm has a market capitalization of $606.04 million, a price-to-earnings ratio of 44.49 and a beta of 0.09.

TXO Partners Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, August 22nd. Shareholders of record on Friday, August 15th will be given a dividend of $0.45 per share. The ex-dividend date is Friday, August 15th. This represents a $1.80 annualized dividend and a yield of 12.3%. TXO Partners's dividend payout ratio (DPR) is 545.45%.

Insider Transactions at TXO Partners

In other news, Director Bob R. Simpson purchased 2,250,000 shares of TXO Partners stock in a transaction that occurred on Thursday, May 15th. The stock was acquired at an average cost of $15.00 per share, for a total transaction of $33,750,000.00. Following the purchase, the director directly owned 6,750,000 shares of the company's stock, valued at $101,250,000. This trade represents a 50.00% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Luther King, Jr. purchased 500,000 shares of the firm's stock in a transaction that occurred on Thursday, May 15th. The stock was bought at an average price of $15.00 per share, for a total transaction of $7,500,000.00. Following the transaction, the insider directly owned 3,061,530 shares of the company's stock, valued at $45,922,950. This trade represents a 19.52% increase in their position. The disclosure for this purchase can be found here. Insiders purchased a total of 3,470,000 shares of company stock worth $52,050,000 over the last three months.

Institutional Trading of TXO Partners

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Atria Wealth Solutions Inc. increased its holdings in TXO Partners by 25.0% in the 2nd quarter. Atria Wealth Solutions Inc. now owns 15,000 shares of the company's stock worth $229,000 after purchasing an additional 3,000 shares in the last quarter. Total Wealth Planning & Management Inc. increased its position in TXO Partners by 3.6% in the 1st quarter. Total Wealth Planning & Management Inc. now owns 93,334 shares of the company's stock valued at $1,788,000 after acquiring an additional 3,274 shares during the period. CWM LLC bought a new position in shares of TXO Partners during the first quarter valued at $77,000. Empirical Financial Services LLC d.b.a. Empirical Wealth Management grew its stake in shares of TXO Partners by 11.0% in the first quarter. Empirical Financial Services LLC d.b.a. Empirical Wealth Management now owns 55,500 shares of the company's stock worth $1,063,000 after purchasing an additional 5,500 shares during the last quarter. Finally, Deroy & Devereaux Private Investment Counsel Inc. raised its position in TXO Partners by 28.2% during the 1st quarter. Deroy & Devereaux Private Investment Counsel Inc. now owns 27,250 shares of the company's stock worth $522,000 after purchasing an additional 6,000 shares during the last quarter. Institutional investors own 27.44% of the company's stock.

TXO Partners Company Profile

TXO Partners, L.P., an oil and natural gas company, focuses on the acquisition, development, optimization, and exploitation of conventional oil, natural gas, and natural gas liquid reserves in North America. Its acreage positions are concentrated in the Permian Basin of West Texas and New Mexico and the San Juan Basin of New Mexico and Colorado.