NGL Energy Partners vs TXO Partners

This page compares NGL Energy Partners and TXO Partners, examining their business models, financial performance, and market context in a neutral, accessible way. Educational content, not financial advice.

This page compares NGL Energy Partners and TXO Partners, examining their business models, financial performance, and market context in a neutral, accessible way. Educational content, not financial adv...

Comparison Snapshot

Key Financial Metrics

NGL

Metric

TXO

$1.24B

Market Cap

$596.05M

78.22%

Potential Profit

83.42%

Buy

Analyst Rating

Strong Buy

Investment Analysis

NGL Energy Partners

NGL

Pros

NGL Energy Partners LP operates through diversified segments including water solutions, crude oil logistics, and liquids logistics, providing multiple revenue streams.
The company has substantial scale with $3.47 billion revenue in 2024 despite a decrease, reflecting its significant market presence.
NGL has demonstrated operational focus on transportation, treatment, recycling, and disposal of produced water, leveraging specialized service demand in oil and gas production.

Considerations

NGL reported a net loss of $78.90 million in 2024, indicating ongoing profitability challenges and negative earnings per share of -0.41.
Revenue declined by over 16% in 2024 compared to the prior year, highlighting potential operational or market headwinds impacting top-line growth.
The stock exhibits some technical weakness with sell signals from both short and long-term moving averages and potential low trading liquidity increasing investment risk.

TXO Partners

TXO

Pros

TXO Partners focuses on low-decline, long-lived oil and natural gas properties in prolific North American basins such as the Permian and Williston, supporting stable production.
The management team has extensive industry experience in acquiring and efficiently operating conventional oil and gas assets with predictable, repeatable well results.
Low-risk, legacy asset base with well-understood geology contributes to steady cash flow and potentially stable distributions to owners.

Considerations

TXO Partners has a high price-to-earnings ratio of 52.7x, substantially above the sector average, indicating valuation concerns relative to earnings.
The company’s operations are concentrated in mature basins which may limit organic growth opportunities and increase exposure to commodity price cyclicality.
Dependence on conventional oil and gas exploitation subjects TXO to regulatory, environmental, and commodity price risks inherent in fossil fuel markets.

About The Companies

NGL Energy Partners (NGL)

NGL Energy Partners LP is a US-based master limited partnership (MLP) operating within the energy sector. As an MLP, it's structured to pass income directly to investors, known as unitholders. The company's operations are divided into three main segments. Its Water Solutions division manages the large volumes of wastewater generated during oil and natural gas production, operating a network of pipelines and disposal facilities. The Crude Oil Logistics segment focuses on purchasing, transporting, and storing crude oil via its significant pipeline systems and terminals. Finally, the Liquids Logistics segment handles the supply operations for natural gas liquids (NGLs). By providing these essential midstream services — the link between energy production and end-users — NGL plays a key role in the North American energy infrastructure. An investment in an MLP may have different tax implications than a typical stock, which is something potential investors may wish to research.

TXO Partners (TXO)

TXO Partners LP (TXO) is a publicly listed limited partnership with a market capitalisation of $696.86M. Structured as an LP, it typically distributes cash to unitholders and may report tax information via a K‑1 rather than a dividend. Investors should know that earnings and distributions can be sensitive to commodity prices, asset utilisation and contract terms, and that governance and capital-allocation decisions are often driven by the general partner. Smaller-cap partnerships can have lower liquidity and wider trading spreads, which may amplify price moves. Operational, counterparty and regulatory risks — including environmental rules — can materially affect results. TXO may appeal to investors seeking income and sector exposure, but payouts can vary and past performance is not a guide to future returns. This summary is educational only and not personal financial advice; consider reviewing the partnership’s financial reports and consult a qualified adviser to assess suitability for your circumstances.

Which Baskets Do They Appear In?

No baskets available in this category

Which Baskets Do They Appear In?

No baskets available in this category

Discover More Comparisons

NGL Energy Partners vs Nordic American Tankers

NGL Energy Partners vs Nabors

NGL Energy Partners vs Nabors: Stock comparison

NGL Energy Partners vs Teekay

NGL Energy Partners vs TXO Partners

Comparison Snapshot