Wedgewood Partners, an investment management firm, published its fourth quarter 2022 investor letter – a copy of which can be downloaded here. A quarterly net increase of 5.2% has been recorded by the fund for the fourth quarter of 2022, below the S&P 500 Index’s 7.56% gain for the same period. Spare some time to check the fund’s top 5 holdings to have a clue about their top bets for 2022.
In its Q3 2022 investor letter, Wedgewood Partners mentioned Texas Pacific Land Corporation (NYSE:TPL) and explained its insights for the company. Founded in 1888,Texas Pacific Land Corporation (NYSE:TPL) is a Dallas, Texas-based publicly traded real estate operating company with a $16.4 billion market capitalization. Texas Pacific Land Corporation (NYSE:TPL) delivered a -10.81% return since the beginning of the year, while its 12-month returns are up by 106.85%. The stock closed at $2,090.75 per share on January 19, 2023.
Here is what Wedgewood Partners has to say about Texas Pacific Land Corporation (NYSE:TPL) in its Q3 2022 investor letter:
“Texas Pacific Land was a top contributor to performance during the quarter and the year. Revenue grew over +50% as oil and gas royalties were up over +60% driven by higher realized prices on the production of oil and gas on the Company’s acreage. Production of oil and gas also grew +20% over 2021. The Company’s royalty interests span over 880,000 acres in West Texas. Most of this land is located in the highly productive Delaware Basin of the Permian Basin. We expect that development activity will continue to grow at a rapid pace in this region, primarily driven by both domestic and multinational producers looking to maximize returns on increasingly scarce oil and gas capital expenditures.”
Photo by Breno Assis on Unsplash
Our calculations show that Texas Pacific Land Corporation (NYSE:TPL) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Texas Pacific Land Corporation (NYSE:TPL) was in 20 hedge fund portfolios at the end of the second quarter of 2022, compared to 22 funds in the previous quarter. Texas Pacific Land Corporation (NYSE:TPL) delivered a 1.99% return in the past 3 months.
In November 2022, we also shared another hedge fund’s views on Texas Pacific Land Corporation (NYSE:TPL) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters Q4 2022 page.
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Disclosure: None. This article is originally published at Insider Monkey.
