Core Insights - Low-beta stocks are identified as resilient during market volatility, making them a strategic choice for investors in turbulent times [1][2][3] - A curated portfolio of low-beta stocks can provide a safeguard against market fluctuations, enhancing resilience for investors [3] Stock Analysis - **Mission Produce**: A leader in the avocado industry, positioned to benefit from rising consumer demand for healthy eating, particularly avocados which are rich in vitamins and minerals [9] - **TXO Partners**: Operates in the oil-rich Permian Basin, with significant potential from its Mancos Shale project, which could increase reserves fivefold, targeting a 3,520-acre block estimated to hold 200-300 Bcf of natural gas [10] - **Penumbra**: Focuses on innovative solutions for complex medical conditions, including ischemic stroke and venous thromboembolism, enhancing patient outcomes with advanced thrombectomy technologies [11] - **Strategic Education**: Exhibits strong growth across various segments, driven by increasing enrollment and operational efficiency, with a solid financial position and rising revenues [12] Screening Criteria - Stocks with a beta between 0 and 0.6 are prioritized for being less volatile than the market [6] - Additional criteria include positive price movement over the last month, average trading volume greater than 50,000, a minimum price of $5, and a Zacks Rank of 1 indicating strong buy potential [7]

Group 1 - TXO Partners LP closed at $17.80, reflecting a +0.68% change from the previous day, outperforming the S&P 500's gain of 0.12% [1] - The stock has increased by 10.09% over the past month, significantly better than the Oils-Energy sector's decline of 8.42% and the S&P 500's loss of 3.45% [1] Group 2 - TXO Partners LP is expected to report earnings of $0.31 per share, which would be a year-over-year decline of 68.37%, with projected revenue of $85.93 million, indicating a 6.57% decrease compared to the same quarter last year [2] - Recent changes to analyst estimates for TXO Partners LP are crucial as they reflect the evolving business trends, with upward revisions indicating analysts' positive outlook on the company's operations [3] Group 3 - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), shows that TXO Partners LP currently holds a Zacks Rank of 1 (Strong Buy), with a consensus EPS projection that has increased by 19.43% in the past 30 days [5] - TXO Partners LP has a Forward P/E ratio of 10.46, which is lower than its industry's Forward P/E of 10.76, indicating a valuation discount [6] Group 4 - The Energy and Pipeline - Master Limited Partnerships industry, part of the Oils-Energy sector, has a Zacks Industry Rank of 193, placing it in the bottom 24% of over 250 industries [6][7] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [7]

Core Viewpoint - TXO Partners LP has received an upgrade to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which have a strong correlation with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling pressure that affects stock prices [4]. Company Performance Indicators - For the fiscal year ending December 2024, TXO Partners LP is expected to earn $0.76 per share, reflecting a decrease of 43.3% from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for TXO Partners LP has increased by 20.7%, indicating positive sentiment among analysts [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of TXO Partners LP to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].

Core Viewpoint - TXO Partners L.P. has recently reported its Q3 financial results, prompting an analysis of the company's performance and future outlook in both macroeconomic and microeconomic contexts [1]. Financial Performance - The article focuses on the Q3 numbers reported by TXO Partners L.P., indicating a need for a detailed examination of these results to understand the company's financial health and operational efficiency [1]. Investment Strategy - The investment approach discussed emphasizes a long-term horizon, typically ranging from 5 to 10 years, with a preference for a diversified portfolio that includes growth, value, and dividend-paying stocks, although there is a stronger inclination towards value investments [1].

Acquisition and Production - The company completed the acquisition of producing properties in the Williston Basin for a total cash consideration of $241.8 million and 2.5 million common units valued at $50.0 million[92]. - Average daily production from the acquired Williston assets is expected to consist of approximately 78% oil, 12% NGLs, and 10% gas[98]. - Total leasehold and mineral acreage increased from approximately 846,000 gross (372,000 net) to approximately 1,120,000 gross (550,000 net) due to the acquisitions[99]. - Total production for the three months ended September 30, 2024, was 2,105 MBoe, slightly up from 2,104 MBoe in the same period in 2023[109]. Financial Performance - Net income for the three months ended September 30, 2024, was $203,000, a decrease of 97.6% from $8.48 million in the same period in 2023[108]. - Total revenues decreased by $1.1 million, or 2%, from $69.9 million in Q3 2023 to $68.7 million in Q3 2024, primarily due to a 40% decrease in average selling price of natural gas and an 11% decrease in oil prices[110]. - Total revenues decreased by $95.3 million, or 33%, from $288.7 million for the nine months ended September 30, 2023, to $193.5 million for the same period in 2024[124]. - Average selling price of natural gas decreased by 67%, leading to a revenue decrease of $86.0 million, while oil and NGLs saw minor decreases of less than 1% and 1%, respectively[124]. Expenses and Costs - Production expenses rose by $3.8 million, or 11%, from $35.7 million in Q3 2023 to $39.4 million in Q3 2024, mainly due to costs associated with Williston Basin acquisitions[111]. - General and administrative expenses increased by $1.5 million, or 87%, from $1.8 million in Q3 2023 to $3.3 million in Q3 2024, driven by higher personnel costs[117]. - General and administrative expenses increased by $5.5 million, or 108%, from $5.1 million in 2023 to $10.5 million in 2024, mainly due to higher personnel costs[132]. - Depreciation, depletion, and amortization expenses increased by $3.0 million, or 28%, from $10.6 million in Q3 2023 to $13.6 million in Q3 2024, primarily due to Williston Basin production[115]. Cash Flow and Financing - Cash available for distribution increased to $16.57 million in Q3 2024 from $14.65 million in Q3 2023, representing a 12.3% increase[106]. - Net cash provided by operating activities increased by $9.1 million, from $59.7 million in 2023 to $68.8 million in 2024, due to decreased cash paid on derivatives[149]. - Outstanding borrowings under the Credit Facility were $148.0 million as of September 30, 2024, compared to $21.0 million at December 31, 2023[136]. - The company expects to fund distributions, meet debt obligations, and finance its 2024 capital development program from cash flow from operations and borrowings[145]. Market Conditions - NYMEX crude oil prices reached a high of $93.68 per Bbl and a low of $65.75 per Bbl from January 1, 2023, to September 30, 2024[94]. - Natural gas prices peaked at $4.17 per MMBtu in January 2023 and fell to $2.26 per MMBtu as of October 18, 2024[94]. - The company anticipates continued volatility in crude oil and natural gas markets, impacting revenue and profitability[95]. - Inflationary pressures on operating costs are expected to persist, particularly for steel, chemicals, and transportation[97]. Debt and Credit Facilities - The company entered into Amendment No. 4 on its senior secured credit facility, increasing the borrowing base from $165 million to $275 million and extending the maturity date to August 30, 2028[151]. - The weighted average interest rate on Credit Facility borrowings was 8.80% for the nine months ended September 30, 2024[153]. - The company is required to maintain a current ratio greater than 1.0 to 1.0 and a total net debt-to-EBITDAX ratio not greater than 3.0 to 1.0[154]. Other Income - Other income increased by $1.1 million, or 22%, from $5.2 million in Q3 2023 to $6.3 million in Q3 2024, mainly from higher CO and plant income[119]. - Other income increased by $10.4 million, or 57%, from $18.2 million in 2023 to $28.6 million in 2024, driven by bonus payments and higher CO and plant income[134].

Group 1 - TXO Partners LP closed at $19.17, down 0.67% from the previous trading session, underperforming the S&P 500's gain of 0.16% [1] - Over the past month, TXO shares have decreased by 2.43%, while the Oils-Energy sector lost 9.36% and the S&P 500 gained 1.67% [1] Group 2 - TXO is expected to report an EPS of $0.07, reflecting a 74.07% decline year-over-year, with revenue estimated at $64.6 million, a decrease of 7.54% compared to the same quarter last year [2] - Full-year estimates predict earnings of $0.91 per share and revenue of $277.18 million, indicating year-over-year declines of 32.09% and 27.2%, respectively [3] Group 3 - Recent modifications to analyst estimates for TXO are crucial as they indicate changing near-term business trends, with positive revisions seen as a favorable sign for the company's outlook [4] - The Zacks Rank system, which incorporates estimate changes, currently rates TXO as 5 (Strong Sell), with the consensus EPS estimate declining by 7.65% over the last 30 days [6] Group 4 - TXO Partners LP has a Forward P/E ratio of 21.33, which is higher than the industry average of 14.88, indicating a premium valuation [7] - The Energy and Pipeline - Master Limited Partnerships industry, part of the Oils-Energy sector, holds a Zacks Industry Rank of 248, placing it in the bottom 2% of over 250 industries [7]

Core Viewpoint - The market anticipates TXO Partners LP (TXO) will report a year-over-year decline in earnings due to lower revenues for the quarter ended September 2024, with actual results being crucial for stock price movement [1][2]. Earnings Expectations - TXO is expected to post quarterly earnings of $0.07 per share, reflecting a year-over-year decrease of 74.1% [3]. - Revenues are projected to be $64.6 million, down 7.5% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has been revised 1.39% higher in the last 30 days, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for TXO matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [10][11]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that a positive or negative reading indicates the potential deviation of actual earnings from the consensus estimate, with positive readings being more predictive of earnings beats [6][7]. - A positive Earnings ESP combined with a strong Zacks Rank (1, 2, or 3) has shown a nearly 70% success rate for predicting earnings beats [8]. Historical Performance - In the last reported quarter, TXO was expected to earn $0.19 per share but only achieved $0.09, resulting in a surprise of -52.63% [12]. - Over the past four quarters, TXO has beaten consensus EPS estimates twice [13]. Conclusion - TXO Partners LP does not currently appear to be a strong candidate for an earnings beat, and investors should consider other factors when making investment decisions ahead of the earnings release [16].

TXO Partners LP (TXO) ended the recent trading session at $18.87, demonstrating a -1.46% swing from the preceding day's closing price. The stock's change was less than the S&P 500's daily loss of 0.02%. Elsewhere, the Dow saw an upswing of 0.38%, while the tech-heavy Nasdaq appreciated by 0.04%. Shares of the company witnessed a gain of 5.86% over the previous month, beating the performance of the OilsEnergy sector with its loss of 7.26% and the S&P 500's gain of 3.77%. The upcoming earnings release of TXO ...

TXO Partners LP (TXO) closed the latest trading day at $19.52, indicating a +0.36% change from the previous session's end. The stock lagged the S&P 500's daily gain of 0.61%. Elsewhere, the Dow gained 0.97%, while the tech-heavy Nasdaq added 0.33%. The company's stock has climbed by 6.58% in the past month, exceeding the Oils-Energy sector's loss of 2.26% and the S&P 500's gain of 5.36%. The upcoming earnings release of TXO Partners LP will be of great interest to investors. The company's earnings per share ...

In the latest trading session, TXO Partners LP (TXO) closed at $19.85, marking a +0.35% move from the previous day. This change outpaced the S&P 500's 0.93% loss on the day. Meanwhile, the Dow experienced a drop of 0.41%, and the technology-dominated Nasdaq saw a decrease of 1.53%. Prior to today's trading, shares of the company had lost 1.1% over the past month. This has was narrower than the Oils-Energy sector's loss of 2.51% and lagged the S&P 500's gain of 2.17% in that time. The upcoming earnings relea ...