Compass Verdict

Is TXO Partners, L.P. (NYSE:TXO) a buy in 2026?

Yes, on balance. The Compass leans toward accumulating TXO Partners, L.P. at current levels.

Conventional oil and gas MLP with a distribution model, Permian and San Juan acreage, and a cash flow inflection nobody wants to underwrite.

Compass Score 82/100True North$13.58

Where TXO is headed

TXO is the kind of business that gets left off screens because it commits three sins at once: it's an MLP (K-1 tax form, retail-hostile), it drills conventional wells (unfashionable next to shale growth stories), and it hasn't printed positive free cash flow on a trailing basis. That's the setup. It's also why a partnership sitting on Permian, San Juan, and Williston acreage with a 53% gross margin and 38% operating margin trades at 1.08x book and roughly 7.5x EV/EBITDA while consensus points to earnings growth over 350% next year.

Read the full Compass Direction on TXO

The complete destination call, the overlooked angle, milestones, and bull, base, and bear price scenarios (around $13.58).

See the full TXO analysis

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Frequently asked questions

Is TXO Partners, L.P. (NYSE:TXO) a buy in 2026?

Yes, on balance. The Compass leans toward accumulating TXO Partners, L.P. at current levels. Conventional oil and gas MLP with a distribution model, Permian and San Juan acreage, and a cash flow inflection nobody wants to underwrite.

What is TXO's Compass Score?

TXO Partners, L.P. scores 82/100 on Alexandria's Compass, placing it in the "True North" tier. Scores blend eight factors and update weekly.

What is the price target for TXO?

Alexandria's full Compass Direction includes bull, base, and bear price scenarios with the valuation math behind each. Read the full breakdown on the TXO page.

Compass verdicts are AI-generated, forward-looking editorial research from publicly available data, not investment advice or a recommendation regarding any security. Scores and verdicts update as the data changes.