(TXO) MorningStar Partners, L.P. - Overview
Sector: Energy | Industry: Oil & Gas E&P | Exchange: NYSE (USA) | Market Cap: 750m USD | Total Return: -0.1% in 12m
Avg Turnover: 2.90M
EPS Trend: -79.6%
Qual. Beats: 0
Rev. Trend: 15.7%
Qual. Beats: -1
Warnings
Share dilution 31.8% YoY
High Debt/EBITDA (8.1) with thin interest coverage (-1.7)
High Debt while negative Cash Flow
Interest Coverage Ratio -1.7 is critical
Tailwinds
Tailwind, Pullback 52w
TXO Partners, L.P. is a Fort Worth-based energy firm specializing in the acquisition and development of conventional oil, natural gas, and natural gas liquid reserves. The company’s primary operations are concentrated in the Permian, San Juan, and Williston Basins, targeting mature acreage for production optimization.
As an upstream operator focused on conventional assets, TXO typically deals with reservoirs that utilize traditional extraction methods rather than shale-focused hydraulic fracturing. This business model often aims for lower decline rates and more predictable production lifecycles compared to unconventional resource plays. The company operates as a Master Limited Partnership (MLP), a structure frequently utilized in the energy sector to distribute cash flow to unit holders.
Investors can further evaluate these operational metrics and valuation trends by reviewing the data on ValueRay. TXO Partners underwent a name change from TXO Energy Partners in May 2023 and has been incorporated since 2012.
- Fluctuations in crude oil and natural gas prices impact quarterly distribution levels
- Acquisition of conventional Permian Basin assets drives production and reserve growth
- Lifting costs and operational efficiency in mature basins dictate profit margins
- Capital expenditure requirements for secondary recovery techniques influence free cash flow
- Regulatory changes regarding drilling permits in New Mexico affect long-term development plans
| Net Income: -98.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.11 > 0.02 and ΔFCF/TA 3.71 > 1.0 |
| NWC/Revenue: -33.70% < 20% (prev -0.12%; Δ -33.58% < -1%) |
| CFO/TA 0.09 > 3% & CFO 121.0m > Net Income -98.4m |
| Net Debt (269.2m) to EBITDA (33.1m): 8.13 < 3 |
| Current Ratio: 0.43 > 1.5 & < 3 |
| Outstanding Shares: last quarter (55.1m) vs 12m ago 31.75% < -2% |
| Gross Margin: -4.53% > 18% (prev 0.20%; Δ -472.9% > 0.5%) |
| Asset Turnover: 30.18% > 50% (prev 29.00%; Δ 1.18% > 0%) |
| Interest Coverage Ratio: -1.67 > 6 (EBITDA TTM 33.1m / Interest Expense TTM 40.3m) |
| DSRI: 1.28 (Receivables 58.4m/38.5m, Revenue 355.4m/299.7m) |
| GMI: 1.00 (fallback, negative margins) |
| AQI: -59.23 (AQ_t -0.92 / AQ_t-1 0.02) |
| SGI: 1.19 (Revenue 355.4m / 299.7m) |
| TATA: -0.17 (NI -98.4m - CFO 121.0m) / TA 1.32b) |
| Beneish M = -38.55 (Cap -4..+1) = AAA |
As of May 24, 2026, the stock is trading at USD 13.75 with a total of 383,955 shares traded.
Over the past week, the price has changed by +4.90%,
over one month by +16.44%,
over three months by +13.64% and
over the past year by -0.09%.
MorningStar Partners, L.P. has received a consensus analysts rating of 5.00. Therefore, it is recommended to buy TXO.
- StrongBuy: 3
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 21 | 52.7% |
P/B = 1.2091
Revenue TTM = 355.4m USD
EBIT TTM = -67.1m USD
EBITDA TTM = 33.1m USD
Long Term Debt = 277.1m USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 277.1m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 269.2m USD (calculated: Debt 277.1m - CCE 7.89m)
Enterprise Value = 1.02b USD (750.2m + Debt 277.1m - CCE 7.89m)
Interest Coverage Ratio = -1.67 (Ebit TTM -67.1m / Interest Expense TTM 40.3m)
EV/FCF = -7.10x (Enterprise Value 1.02b / FCF TTM -143.6m)
FCF Yield = -14.08% (FCF TTM -143.6m / Enterprise Value 1.02b)
FCF Margin = -40.39% (FCF TTM -143.6m / Revenue TTM 355.4m)
Net Margin = -27.68% (Net Income TTM -98.4m / Revenue TTM 355.4m)
Gross Margin = -4.53% ((Revenue TTM 355.4m - Cost of Revenue TTM 371.5m) / Revenue TTM)
Gross Margin QoQ = -138.7% (prev -40.15%)
Tobins Q-Ratio = 0.77 (Enterprise Value 1.02b / Total Assets 1.32b)
Interest Expense / Debt = 14.53% (Interest Expense 40.3m / Debt 277.1m)
Taxrate = 21.0% (US default 21%)
NOPAT = -53.0m (EBIT -67.1m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 0.43 (Total Current Assets 90.2m / Total Current Liabilities 210.0m)
Debt / Equity = 0.33 (Debt 277.1m / totalStockholderEquity, last quarter 834.7m)
Debt / EBITDA = 8.13 (Net Debt 269.2m / EBITDA 33.1m)
Debt / FCF = -1.88 (negative FCF - burning cash) (Net Debt 269.2m / FCF TTM -143.6m)
Total Stockholder Equity = 808.5m (last 4 quarters mean from totalStockholderEquity)
RoA = -8.35% (Net Income -98.4m / Total Assets 1.32b)
RoE = -12.17% (Net Income TTM -98.4m / Total Stockholder Equity 808.5m)
RoCE = -6.18% (EBIT -67.1m / Capital Employed (Equity 808.5m + L.T.Debt 277.1m))
RoIC = -4.80% (negative operating profit) (NOPAT -53.0m / Invested Capital 1.10b)
WACC = 8.02% (E(750.2m)/V(1.03b) * Re(6.75%) + D(277.1m)/V(1.03b) * Rd(14.53%) * (1-Tc(0.21)))
Discount Rate = 6.75% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 86.67 | Cagr: 29.40%
[DCF] Fair Price = unknown (Cash Flow -143.6m)
EPS Correlation: -79.58 | EPS CAGR: -42.72% | SUE: 0.40 | # QB: 0
Revenue Correlation: 15.71 | Revenue CAGR: 2.36% | SUE: -4.0 | # QB: -1
EPS current Quarter (2026-06-30): EPS=0.04 | Chg30d=-82.61% | Revisions=N/A | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.06 | Chg30d=-70.73% | Revisions=+0% | Analysts=1
EPS current Year (2026-12-31): EPS=0.41 | Chg30d=-39.10% | Revisions=-20% | GrowthEPS=-3.7% | GrowthRev=+13.2%
EPS next Year (2027-12-31): EPS=0.97 | Chg30d=-1.52% | Revisions=+33% | GrowthEPS=+139.5% | GrowthRev=+3.7%
[Analyst] Revisions Ratio: +33%