Cross Timbers Royalty Trust Common Stock (CRT)
Frequently Asked Questions About Cross Timbers Royalty Trust Common Stock (CRT)
Are there any tax implications for shareholders of Cross Timbers Royalty Trust?
Shareholders of Cross Timbers Royalty Trust may incur tax implications related to the income distributions received from the trust. Generally, the dividends are considered income, which must be reported for tax purposes. Additionally, if unit holders sell their shares for a profit, they may also be subject to capital gains taxes. Investors are advised to consult with a tax professional to understand their specific tax obligations related to distributions and capital gains.
Can investors expect growth in Cross Timbers Royalty Trust?
While Cross Timbers Royalty Trust is primarily an income-generating investment focused on distributing royalties, there is limited potential for significant growth compared to traditional growth stocks. The primary value for investors lies in regular income through dividends rather than capital appreciation. However, if commodity prices increase and production levels stabilize or grow, there could be a positive impact on dividends, offering an indirect form of growth.
How can investors purchase shares of Cross Timbers Royalty Trust?
Investors can purchase shares of Cross Timbers Royalty Trust on the New York Stock Exchange using the ticker symbol CRT. Shares can be acquired through any brokerage account that allows trading of publicly listed stocks. Investors should conduct thorough research and consider their investment strategies before purchasing shares, as market conditions and individual financial situations can vary.
How does Cross Timbers Royalty Trust communicate with its investors?
Cross Timbers Royalty Trust communicates with its investors primarily through regular financial reporting, including quarterly and annual statements that provide updates on revenues, dividends, and operational performance. The trust also issues press releases and may host conference calls to discuss significant developments. Investors can access essential information via the trust's website, where they can find further disclosures and resource materials.
How does Cross Timbers Royalty Trust handle environmental concerns?
As a royalty trust, Cross Timbers Royalty Trust does not directly manage or operate the oil and gas properties it holds interests in. However, it must comply with environmental regulations set forth by governing bodies. The operators of the properties are responsible for adhering to environmental standards and mitigating risks. The trust relies on these operators to maintain compliance, but investors should still remain aware of any environmental issues that could affect production and returns.
How does Cross Timbers Royalty Trust impact local economies?
Cross Timbers Royalty Trust indirectly contributes to local economies by generating income from its oil and gas properties. The trust's operations can create jobs in energy production, transportation, and related industries as operators extract and process the resources. Additionally, the revenue generated can support local businesses and tax revenues, thereby impacting the state and local government budgets positively.
How is Cross Timbers Royalty Trust structured?
Cross Timbers Royalty Trust is structured as a statutory trust and is publicly traded on the New York Stock Exchange under the ticker symbol CRT. The trust has no employees, as its operations are managed by a trustee who oversees the management of its assets, ensuring compliance with regulatory requirements, and making distributions to its unit holders. Additionally, the trustee manages the relationship with the operators of the oil and gas properties.
Is Cross Timbers Royalty Trust a good investment for income-focused investors?
Cross Timbers Royalty Trust can be an appealing option for income-focused investors, particularly those looking for exposure to the oil and gas sector. The trust offers dividend payments that are tied to the performance of its underlying assets, and it typically pays dividends quarterly. However, potential investors should also consider the associated risks and the volatility of energy prices, which can impact dividend consistency and stock performance.
What are the risks associated with investing in Cross Timbers Royalty Trust?
Investing in Cross Timbers Royalty Trust carries several risks, including commodity price volatility, which can significantly impact the trust's revenue and dividend payments. Additionally, the trust is exposed to operational risks related to the underlying oil and gas properties, including production declines, regulatory changes, and environmental concerns. Investors should also consider that the trust does not have direct control over property management decisions, which could influence performance.
What does Cross Timbers Royalty Trust do?
Cross Timbers Royalty Trust is a legal entity that primarily holds royalty interests in oil and natural gas properties. Established in 1991, the trust aims to provide its unit holders with income derived from the production of oil and gas from its underlying properties located in Texas, Oklahoma, and other states. By holding these interests, the trust receives a percentage of the revenue generated from the sale of oil and gas, which is then distributed to unit holders as dividends.
What factors influence the stock price of Cross Timbers Royalty Trust?
The stock price of Cross Timbers Royalty Trust is influenced mainly by the price of oil and natural gas, as the trust's revenues are directly tied to these commodities. Other factors include production levels from the underlying properties, operational efficiency, regulatory environment, and overall market sentiment regarding energy stocks. Economic downturns that reduce energy demand can also negatively affect the stock price.
What happens if the underlying oil and gas properties decline in production?
If the underlying oil and gas properties associated with Cross Timbers Royalty Trust experience a decline in production, it can negatively affect the trust's revenues and subsequent dividend payments. A decrease in production often correlates with lower financial returns, which may lead the trustee to adjust dividend payouts accordingly. Long-term declines in production could pose significance challenges for the trust and its unit holders.
What is the dividend payout policy of Cross Timbers Royalty Trust?
Cross Timbers Royalty Trust typically pays dividends to its unit holders quarterly, based on the revenue generated from its oil and gas interests. The dividend amount is influenced by the performance of the underlying properties, including the production rates and market prices for oil and natural gas. Since the trust is designed to return income to unit holders, the payout percentage may vary with changes in production levels and commodity prices.
What is the historical performance of Cross Timbers Royalty Trust?
Historically, Cross Timbers Royalty Trust has provided a varying dividend yield depending on oil and gas market conditions. The trust was created in 1991, and over the years, unit holders have experienced both fluctuations in payouts and stock price movements in response to commodity price changes. It is important for potential investors to review the trust's financial history and performance metrics to gain insight into its operational consistency and potential future returns.
What is the long-term investment outlook for Cross Timbers Royalty Trust?
The long-term investment outlook for Cross Timbers Royalty Trust depends on various factors, including developments in oil and gas prices, regulatory changes, and production rates of its underlying assets. While it offers a unique investment opportunity focused on income generation, its reliance on commodity markets can introduce volatility. Investors should weigh the potential for steady income against industry risks and their overall investment strategies.
What is the management fee structure for Cross Timbers Royalty Trust?
Cross Timbers Royalty Trust does not charge management fees in the traditional sense, as it is managed by a trustee, which does not operate the properties. Instead, the trustee earns a fee based on the revenue generated by the trust's assets for operational oversight and compliance management. This fee structure may be more favorable compared to typical actively managed funds, as it aligns the trustee's performance with the trust's revenues.
What is the significance of the trust's name, 'Cross Timbers'?
The name 'Cross Timbers' refers to a geographic region in the United States where the trust originated and has its operational roots. The Cross Timbers region is characterized by its unique mix of hardwood trees and serves as an important area for oil and gas production. The name reflects the trust's connection to the local economy and the natural resources derived from this particular region.
What types of assets does Cross Timbers Royalty Trust hold?
The primary assets of Cross Timbers Royalty Trust consist of royalty interests in producing oil and gas properties. These interests come from various regions, predominantly from Texas and Oklahoma. The trust owns a percentage of the gross revenue from the production of oil and gas, but it does not bear any operational costs or liabilities associated with the management of the properties or production activities.
Who are the primary competitors of Cross Timbers Royalty Trust?
The primary competitors of Cross Timbers Royalty Trust include other royalty trusts and oil and gas companies that operate in similar geographical regions or sectors. Competitors may focus on different types of revenue-generating assets, such as exploration and production companies, midstream operators, and other forms of energy investments. Evaluating these competitors can provide insight into market positioning and performance across the sector.
Who manages Cross Timbers Royalty Trust?
Cross Timbers Royalty Trust is managed by a trustee, which is responsible for overseeing the operations of the trust and ensuring compliance with legal and regulatory obligations. The trustee manages the relationship with oil and gas operators, who physically operate the properties, and facilitates the calculation and distribution of royalties to the unit holders. The day-to-day management is largely handled by external parties, making the trust a low-overhead investment vehicle.
What is the current price of Cross Timbers Royalty Trust Common Stock?
The current price of Cross Timbers Royalty Trust Common Stock is 10.32
When was Cross Timbers Royalty Trust Common Stock last traded?
The last trade of Cross Timbers Royalty Trust Common Stock was at 7:00 pm EDT on April 17th, 2025