Texas Pacific LandTechnipFMC

Texas Pacific Land vs TechnipFMC

Texas Pacific Land and TechnipFMC plc are compared on this page to clarify how their business models, financial performance, and market context differ. The overview covers operations, revenue drivers,...

Which Baskets Do They Appear In?

Stagflation Standouts

Stagflation Standouts

This collection features stocks and assets carefully selected by professional analysts to potentially outperform during stagflation periods. These defensive investments have already shown strength while the broader market struggles, making them worth consideration for economic uncertainty ahead.

Published: May 19, 2025

Explore Basket

Investment Analysis

Pros

  • Exclusively focused on high-value land assets and royalties in the Permian Basin, a leading oil-producing region with sustained industry activity.
  • Business model generates strong margins and predictable cash flows from royalties, easements, and water services, without significant operational cost exposure.
  • Conservative capital structure with no debt, high net income margins, and healthy dividend payments supported by robust free cash flow.

Considerations

  • Revenue and earnings are heavily tied to cyclical oil and gas prices, making results volatile and less predictable during commodity downturns.
  • Limited operational diversification beyond West Texas land assets increases concentration risk if demand for Permian Basin resources declines.
  • Current valuation multiples are elevated relative to historical levels and sector peers, potentially limiting near-term upside.

Pros

  • Strong position in subsea engineering and project integration for oil and gas, with a leading backlog and exposure to long-cycle offshore developments.
  • Ongoing strategic shift toward higher-margin technology and services, including decarbonisation solutions, diversifying revenue beyond traditional energy projects.
  • Balance sheet has improved markedly in recent years, with reduced leverage and enhanced liquidity supporting financial flexibility.

Considerations

  • Operating in a capital-intensive, cyclical sector where project delays and energy transition risks can pressure margins and backlog conversion.
  • Intense competition from global peers and potential pricing pressure may erode profitability, especially in commoditised service segments.
  • Exposure to geopolitical and regulatory uncertainties in core markets, which can impact project execution and client investment decisions.

Why invest with Nemo?

Nemo Logo Fade
🆓

Zero Commission

Trade stocks, ETFs, and more with zero commission. Keep more of your returns.

🔒

Trusted & Regulated

Part of Exinity Group 2015, serving over a million customers globally.

💰

6% Interest on Cash

Earn 6% AER on uninvested cash with daily interest payments.

Discover More Comparisons

Texas Pacific LandDevon Energy

Texas Pacific Land vs Devon Energy

Texas Pacific Land vs Devon Energy

Texas Pacific LandEcopetrol

Texas Pacific Land vs Ecopetrol

Texas Pacific Land vs Ecopetrol

Texas Pacific LandTenaris

Texas Pacific Land vs Tenaris

Texas Pacific Land vs Tenaris

Frequently asked questions