Research Firm Flags Texas Pacific Land (TPL) as Long-Term Buy, Warns on Seadrill (SDRL) and RPC (RES)

An equity research firm on June 2, 2026, recommended Texas Pacific Land (NYSE:TPL) as the only energy stock with a durable competitive advantage, while urging investors to avoid Seadrill (NYSE:SDRL) and RPC (NYSE:RES). Texas Pacific Land, one of the largest private landowners in the Permian Basin with approximately 868,000 acres, generates revenue from oil and gas royalties, water services, and land leases. The firm noted that TPL’s stock price of $371.58 implies a valuation of 30.4 times forward enterprise value to EBITDA. Seadrill, which operates deepwater drillships and semisubmersible rigs, was flagged for its 30x forward price-to-earnings ratio. RPC, a pressure-pumping and well-completion provider with 10 hydraulic fracturing fleets in the Permian, trades at 0.8 times forward price-to-sales and was deemed vulnerable to a cyclical downturn. The analysis excluded two other companies from its buy list, underscoring how selectivity matters after the energy sector’s 32.1% six-month return through June 2, outpacing the S&P 500 by 21.1 percentage points.