Kimbell Royalty Partners: Average 2026 Quarterly Distribution Projected At $0.47 Per Unit

Elephant AnalyticsInvesting Group LeaderFollow5ShareSavePlay(8min)CommentsSummaryKimbell Royalty Partners expects its 2026 production to be fairly similar to its 2025 production, with a 32% oil cut. Around 20% of its 2026 oil production is hedged.I estimate KRP's average 2026 quarterly distribution at $0.47 per unit, up 30% from 2H 2025, with further upside to $0.54 per unit in a further oil upside scenario.My base case valuation for Kimbell has increased from $16.50 per unit to $17.50 per unit, mainly due to higher 2026 WTI oil strip prices (at $84 currently).An upside scenario with $95 WTI oil in 2026 and $75 WTI oil after that increases Kimbell's estimated value to $19.00 per unit.Looking for more investing ideas like this one? Get them exclusively at Distressed Value Investing. Learn More »bfk92/iStock via Getty Images Kimbell Royalty Partners (KRP) expects its 2026 production to be roughly similar to its 2025 production. Around 32% of its production is oil, of which approximately 20% is hedged for 2026. Thus, it benefits a reasonable amount from higher oilThis article was written byElephant Analytics11.85K FollowersFollowAaron Chow, aka Elephant Analytics has 15+ years of analytical experience and is a top rated analyst on TipRanks. Aaron previously co-founded a mobile gaming company (Absolute Games) that was acquired by PENN Entertainment. He used his analytical and modeling skills to design the in-game economic models for two mobile apps with over 30 million in combined installs. He is the author of the investing group Distressed Value Investing, which focuses on both value opportunities and distressed plays, with a significant focus on the energy sector. Learn more>>Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.