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KRA

KratonNYSE:KRA Stock Report

Last Price

US$46.32

Market Cap

US$1.5b

7D

0.02%

1Y

45.8%

Updated

16 Jan, 2022

Data

Company Financials +
KRA fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance2/6
Financial Health4/6
Dividends0/6

KRA Stock Overview

Kraton Corporation manufactures and sells styrenic block copolymers, specialty polymers, and other products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.

Kraton Competitors

Sherwin-Williams

NYSE:SHW

US$80.3b

PPG Industries

NYSE:PPG

US$39.2b

Albemarle

NYSE:ALB

US$27.3b

Celanese

NYSE:CE

US$18.9b

Price History & Performance

Summary of all time highs, changes and price drops for Kraton
Historical stock prices
Current Share PriceUS$46.32
52 Week HighUS$46.60
52 Week LowUS$26.70
Beta2.16
1 Month Change0.46%
3 Month Change1.58%
1 Year Change45.80%
3 Year Change75.85%
5 Year Change70.48%
Change since IPO242.86%

Recent News & Updates

Aug 04
These 4 Measures Indicate That Kraton (NYSE:KRA) Is Using Debt Reasonably Well

These 4 Measures Indicate That Kraton (NYSE:KRA) Is Using Debt Reasonably Well

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Shareholder Returns

KRAUS ChemicalsUS Market
7D0.02%-0.4%-0.5%
1Y45.8%15.3%13.7%

Return vs Industry: KRA exceeded the US Chemicals industry which returned 15.3% over the past year.

Return vs Market: KRA exceeded the US Market which returned 13.7% over the past year.

Price Volatility

Is KRA's price volatile compared to industry and market?
KRA volatility
KRA Average Weekly Movement0.5%
Chemicals Industry Average Movement5.6%
Market Average Movement6.6%
10% most volatile stocks in US Market15.9%
10% least volatile stocks in US Market2.4%

Stable Share Price: KRA is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 1% a week.

Volatility Over Time: KRA's weekly volatility has decreased from 7% to 1% over the past year.

About the Company

FoundedEmployeesCEOWebsite
20091,808Kevin Fogartyhttps://www.kraton.com

Kraton Corporation manufactures and sells styrenic block copolymers, specialty polymers, and other products in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates in two segments, Polymer and Chemical. The Polymer segment offers performance products, including styrene-butadiene-styrene for paving and roofing application; styrene-isoprene-styrene for personal care application; ethylene-vinyl acetate, polyolefins, and metallocene polyolefins for adhesives application; and specialty polymers, such as hydrogenated styrenic block copolymer, isoprene rubber, and isoprene rubber latex for use in medical and personal care products, adhesives, tackifiers, paints, and coatings.

Kraton Fundamentals Summary

How do Kraton's earnings and revenue compare to its market cap?
KRA fundamental statistics
Market CapUS$1.49b
Earnings (TTM)US$100.69m
Revenue (TTM)US$1.86b

14.8x

P/E Ratio

0.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
KRA income statement (TTM)
RevenueUS$1.86b
Cost of RevenueUS$1.31b
Gross ProfitUS$559.12m
ExpensesUS$458.43m
EarningsUS$100.69m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)3.13
Gross Margin29.99%
Net Profit Margin5.40%
Debt/Equity Ratio115.2%

How did KRA perform over the long term?

See historical performance and comparison

Valuation

Is Kraton undervalued compared to its fair value and its price relative to the market?

14.79x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KRA ($46.32) is trading above our estimate of fair value ($31.93)

Significantly Below Fair Value: KRA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: KRA is good value based on its PE Ratio (14.8x) compared to the US Chemicals industry average (21.8x).

PE vs Market: KRA is good value based on its PE Ratio (14.8x) compared to the US market (17.4x).


Price to Earnings Growth Ratio

PEG Ratio: KRA's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: KRA is good value based on its PB Ratio (2x) compared to the US Chemicals industry average (2.6x).


Future Growth

How is Kraton forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-9.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KRA's earnings are forecast to decline over the next 3 years (-9.6% per year).

Earnings vs Market: KRA's earnings are forecast to decline over the next 3 years (-9.6% per year).

High Growth Earnings: KRA's earnings are forecast to decline over the next 3 years.

Revenue vs Market: KRA's revenue (1% per year) is forecast to grow slower than the US market (9.3% per year).

High Growth Revenue: KRA's revenue (1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KRA's Return on Equity is forecast to be low in 3 years time (12%).


Past Performance

How has Kraton performed over the past 5 years?

-38.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KRA has high quality earnings.

Growing Profit Margin: KRA became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: KRA's earnings have declined by 38.6% per year over the past 5 years.

Accelerating Growth: KRA has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: KRA has become profitable in the last year, making it difficult to compare its past year earnings growth to the Chemicals industry (17.5%).


Return on Equity

High ROE: KRA's Return on Equity (13.8%) is considered low.


Financial Health

How is Kraton's financial position?


Financial Position Analysis

Short Term Liabilities: KRA's short term assets ($831.7M) exceed its short term liabilities ($514.1M).

Long Term Liabilities: KRA's short term assets ($831.7M) do not cover its long term liabilities ($1.3B).


Debt to Equity History and Analysis

Debt Level: KRA's net debt to equity ratio (103.6%) is considered high.

Reducing Debt: KRA's debt to equity ratio has reduced from 321.8% to 115.2% over the past 5 years.

Debt Coverage: KRA's debt is well covered by operating cash flow (20.7%).

Interest Coverage: KRA's interest payments on its debt are well covered by EBIT (5.1x coverage).


Balance Sheet


Dividend

What is Kraton current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate KRA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate KRA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if KRA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if KRA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of KRA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.0yrs

Average management tenure


CEO

Kevin Fogarty (55 yo)

14yrs

Tenure

US$5,662,949

Compensation

Mr. Kevin M. Fogarty had been the Chief Executive Officer and President of Kraton Corporation since January 14, 2008 and the Chief Executive Officer of Kraton Performance Polymers Limited. He served as a D...


CEO Compensation Analysis

Compensation vs Market: Kevin's total compensation ($USD5.66M) is above average for companies of similar size in the US market ($USD3.62M).

Compensation vs Earnings: Kevin's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: KRA's management team is seasoned and experienced (5 years average tenure).


Board Members

Experienced Board: KRA's board of directors are seasoned and experienced ( 10.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kraton Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Kraton Corporation
  • Ticker: KRA
  • Exchange: NYSE
  • Founded: 2009
  • Industry: Specialty Chemicals
  • Sector: Materials
  • Implied Market Cap: US$1.489b
  • Shares outstanding: 32.15m
  • Website: https://www.kraton.com

Number of Employees


Location

  • Kraton Corporation
  • 15710 John F. Kennedy Boulevard
  • Suite 300
  • Houston
  • Texas
  • 77032
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/16 23:15
End of Day Share Price2022/01/14 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.