TXO
EnergyTXO Partners, L.P. · Oil & Gas Exploration & Production · $760M
What is TXO Partners, L.P.?
TXO Partners, L.P. is a Fort Worth-based energy limited partnership focused on acquiring and developing conventional oil, natural gas, and natural gas liquid reserves across North America. The partnership targets established producing basins rather than frontier exploration.
TXO generates revenue by acquiring working interests in conventional oil and gas properties, then optimizing and exploiting those reserves to maximize production and cash flow. Its operations are concentrated in the San Juan Basin of New Mexico and Colorado and the Permian Basin of West Texas and New Mexico. Rather than drilling high-risk exploratory wells, TXO focuses on squeezing additional value from existing conventional fields through development and operational efficiency.
TXO Partners was founded in 2012 and is headquartered in Fort Worth, Texas.
- Conventional oil production and reserve development
- Natural gas and natural gas liquids extraction
- Basin-focused asset acquisition and optimization
- Working interest management across multiple producing fields
Is TXO a Good Stock to Buy?
UQS Score rates TXO as Below Average overall, reflecting meaningful weaknesses across several key dimensions.
The most constructive aspect of TXO's profile is its Valuation pillar, which is rated Attractive — suggesting the market may already be pricing in many of the partnership's challenges. The Growth pillar registers as Neutral, indicating the business is not in outright decline but is not generating standout expansion either.
Quality, Moat, and Risk are all rated Weak, pointing to thin competitive differentiation, elevated financial or operational risk, and below-average business quality relative to peers in the energy sector.
Pro members can view the exact pillar scores and the full financial metrics behind TXO's UQS rating. Sign up free →
Past performance does not guarantee future results. UQS Score is based on fundamental data and is not a buy/sell recommendation.
Does TXO pay dividends?
Yes — TXO Partners, L.P. pays a dividend.
TXO Partners pays a regular distribution, consistent with the MLP structure that prioritizes returning cash to unitholders. Conventional energy partnerships often sustain distributions by linking payouts to operating cash flow from producing assets. Investors should note that distribution levels can fluctuate with commodity prices, and the Weak Risk rating warrants attention when evaluating income sustainability.
When does TXO report earnings?
TXO Partners reports financial results on a quarterly cadence, standard for US-listed partnerships.
As a conventional energy MLP, TXO's quarterly results tend to reflect commodity price movements alongside production volumes from its basin assets. The Neutral Growth pillar suggests results have been broadly stable rather than sharply expanding or contracting.
For the most recent quarter's results and distribution announcements, visit TXO Partners' investor relations page directly.
TXO Price History
-25.3% over 5Y
Monthly close, adjusted for stock splits and dividend reinvestment.
What if I invested in TXO Partners, L.P.?
Based on TXO Partners, L.P.'s historical closing prices, adjusted for stock splits and dividend reinvestment. Past performance does not guarantee future results. This is for informational purposes only and is not financial advice.
TXO Long-term Outlook
TXO's fundamental outlook is shaped by its Neutral Growth profile and Attractive Valuation, set against Weak Quality, Moat, and Risk ratings. The partnership's conventional asset base offers relatively predictable production decline curves, but limited competitive differentiation means it has little pricing power beyond commodity markets. The Attractive Valuation label suggests downside may be partially reflected in the unit price, though the Weak Risk rating indicates the path forward carries meaningful uncertainty.
Growth drivers
- Continued bolt-on acquisitions of conventional producing assets at favorable prices
- Operational optimization of existing San Juan and Permian Basin holdings
- Potential uplift from sustained or rising oil and natural gas prices
Key risks
- Commodity price volatility directly impacting cash flow and distribution coverage
- Weak Moat rating leaves TXO exposed to competition for acquisition targets
- Elevated Risk pillar score reflecting balance sheet or operational vulnerabilities
TXO vs Peers
TXO operates alongside several small-cap conventional energy producers and acquirers in North America.
Granite Ridge takes a diversified non-operated working interest approach across multiple US basins, contrasting with TXO's more operationally hands-on conventional asset strategy.
HighPeak focuses on operated development in the Midland Basin with a growth-oriented drilling program, offering a different risk-return profile than TXO's optimization-first model.
Obsidian operates Canadian conventional and unconventional assets, giving it a different regulatory and commodity-pricing environment compared to TXO's US-focused basin portfolio.
Frequently Asked Questions
What does TXO Partners do?
TXO Partners acquires, develops, and optimizes conventional oil, natural gas, and natural gas liquid reserves in North America. Its core operations are in the San Juan Basin of New Mexico and Colorado and the Permian Basin of West Texas and New Mexico. The partnership focuses on extracting value from existing producing fields rather than high-risk exploration.
Does TXO pay dividends?
Yes, TXO Partners pays regular distributions to unitholders, consistent with its MLP structure. As a partnership, it is designed to pass through operating cash flow to investors. However, distribution levels are tied to commodity prices and operating performance, so they can vary over time. The Weak Risk rating is worth considering when evaluating income reliability.
When does TXO report earnings?
TXO Partners reports on a quarterly cadence, as is standard for US-listed energy partnerships. For exact dates and the most current financial disclosures, check TXO Partners' official investor relations page.
Is TXO a good stock to buy?
UQS Score rates TXO as Below Average, driven by Weak Quality, Moat, and Risk pillars. The Valuation pillar is Attractive, which may appeal to contrarian income-focused investors. Whether that valuation discount is sufficient compensation for the risks is a question the full UQS analysis helps answer — available to Pro members.
Is TXO overvalued?
Based on the UQS Valuation pillar, TXO is rated Attractive, suggesting it does not appear overvalued relative to its fundamentals. For a conventional energy MLP with a Below Average overall score, the market appears to be pricing in the partnership's challenges. Full valuation metrics are available in the Pro breakdown.
How does TXO compare to its competitors?
Compared to peers like Granite Ridge Resources, HighPeak Energy, and Obsidian Energy, TXO's conventional basin focus and MLP distribution structure set it apart. Its Attractive Valuation may stand out in the peer group, but its Weak Moat and Risk ratings suggest it faces more headwinds than some competitors in terms of competitive positioning and financial resilience.
What is TXO's market cap bracket?
TXO Partners is classified as a small-cap partnership. This places it among smaller energy producers where liquidity, analyst coverage, and access to capital markets can be more limited than for large-cap peers in the sector.
Who founded TXO Partners?
TXO Partners was founded in 2012 and is headquartered in Fort Worth, Texas. For detailed information on the founding team and leadership history, the company's official website and SEC filings are the most reliable sources.
Is TXO a long-term quality investment?
As a long-term quality indicator, TXO's Below Average UQS Score — with Weak Quality and Moat pillars — suggests the partnership does not currently rank among the stronger businesses in the energy sector. The Attractive Valuation may offer a margin of safety, but sustained long-term quality typically requires stronger competitive positioning and lower risk profiles.
What is the main competitive advantage of TXO Partners?
TXO's primary edge lies in its basin-specific operational expertise in the San Juan and Permian Basins, where local knowledge can support more efficient asset acquisition and development. However, the UQS Moat pillar is rated Weak, indicating this advantage does not yet translate into a durable, differentiated competitive position relative to sector peers.
What sector does TXO belong to?
TXO Partners operates in the Energy sector, specifically within conventional oil and natural gas production and development. As an MLP, it also carries characteristics of an income-oriented vehicle, making it relevant to investors screening both the energy sector and yield-focused partnership structures.
Unlock Full TXO Partners Analysis
Sign in to unlock the detailed analysis behind the UQS Score.
- ✓View exact scores across all five UQS pillars
- ✓Access complete financial metrics and ratio breakdowns
- ✓Compare TXO against sector peers side by side
- ✓See the full Risk and Moat pillar detail
- ✓Track UQS Score changes over time
- ✓Screen for Attractive-valuation energy partnerships
Pro Analysis
TXO — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| May 23, 2026 | 26.8 | 1.4 | 10.0 | 56.4 | 23.1 | 61.7 | +1.1 |
| May 17, 2026 | 25.7 | 1.4 | 10.0 | 49.7 | 23.1 | 63.1 | -7.1 |
| May 8, 2026 | 32.8 | 6.1 | 10.0 | 49.7 | 37.4 | 87.9 | +1.1 |
| May 7, 2026 | 31.7 | 5.8 | 10.0 | 49.7 | 38.6 | 80.2 | +0.1 |
| May 5, 2026 | 31.6 | 5.8 | 10.0 | 49.7 | 38.6 | 79.8 | -0.3 |
| May 3, 2026 | 31.9 | 5.8 | 10.0 | 49.5 | 38.6 | 82.1 | -0.1 |
| Apr 26, 2026 | 32.0 | 5.8 | 10.0 | 49.5 | 38.6 | 82.1 | -0.2 |
| Apr 22, 2026 | 32.2 | 5.8 | 10.0 | 48.6 | 38.6 | 84.9 | -1.9 |
| Apr 19, 2026 | 34.1 | 6.8 | 10.0 | 57.1 | 38.6 | 84.9 | +0.3 |
| Apr 18, 2026 | 33.8 | 6.8 | 10.0 | 57.1 | 38.6 | 82.7 | -1.0 |
TXO — Pillar Breakdown
Quality
— 1.4/100 (25%)TXO Partners, L.P. currently shows below-average quality metrics, suggesting challenges with profitability.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 56.4/100 (20%)TXO Partners, L.P. demonstrates healthy growth trends across revenue and earnings.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 23.1/100 (15%)TXO Partners, L.P. presents elevated risk with concerns around leverage or financial stability.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 61.7/100 (15%)TXO Partners, L.P. trades at a reasonable valuation with decent earnings yield and FCF multiples.
Inverse of forward P/E — higher yield means cheaper stock.
P/E relative to earnings growth — lower is more attractive.
Enterprise value multiple relative to sector median.
Moat
— 10/100 (25%)TXO Partners, L.P. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for TXO.
Score Composition
Financial Data
More Stock Analysis
How is the TXO UQS Score Calculated?
The UQS (Unified Quality Score) for TXO Partners, L.P. is calculated using a proprietary 6-pillar framework with 29 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector. Momentum is an optional Pro toggle — without it, you get the 5-pillar / 25-metric core shown below.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses TXO Partners, L.P.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether TXO Partners, L.P. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.