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.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$41.83|
|52 Week High||US$15.77|
|52 Week Low||US$45.89|
|1 Month Change||3.69%|
|3 Month Change||33.90%|
|1 Year Change||120.62%|
|3 Year Change||-16.31%|
|5 Year Change||23.43%|
|Change since IPO||209.62%|
Recent News & Updates
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...
Kraton (NYSE:KRA) Might Have The Makings Of A Multi-Bagger
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for...
Kraton: Well-Positioned To Meet A 5-Year Demand Wave
Kraton's polymer segment is well positioned to meet swelling demand for thermoplastic elastomers and chemicals within the automotive, asphalt, and medical sectors. However, Kraton's faces raw material price and supply risks which are partly mitigated through their product diversification. Kraton's financial performance over the past year is respectable, having made headway in reducing consolidated debt. A simplified discounted free cash flow valuation indicates the stock is fairly valued but could be easily undervalued soon; consider buying if EBITDA margins increase along with swelling revenue.
We Discuss Why Kraton Corporation's (NYSE:KRA) CEO Compensation May Be Closely Reviewed
Shareholders will probably not be too impressed with the underwhelming results at Kraton Corporation ( NYSE:KRA...
|KRA||US Chemicals||US Market|
Return vs Industry: KRA exceeded the US Chemicals industry which returned 22.3% over the past year.
Return vs Market: KRA exceeded the US Market which returned 30.7% over the past year.
Stable Share Price: KRA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 8% a week.
Volatility Over Time: KRA's weekly volatility (8%) has been stable over the past year.
About the Company
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.
Is Kraton undervalued compared to its fair value and its price relative to the market?
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: KRA ($41.83) is trading above our estimate of fair value ($17.39)
Significantly Below Fair Value: KRA is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: KRA is unprofitable, so we can't compare its PE Ratio to the US Chemicals industry average.
PE vs Market: KRA is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate KRA's PEG Ratio to determine if it is good value.
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).
How is Kraton forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KRA is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).
Earnings vs Market: KRA is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: KRA's is expected to become profitable in the next 3 years.
Revenue vs Market: KRA's revenue (3.2% per year) is forecast to grow slower than the US market (9.5% per year).
High Growth Revenue: KRA's revenue (3.2% 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 (11.2%).
How has Kraton performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KRA is currently unprofitable.
Growing Profit Margin: KRA is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: KRA is unprofitable, and losses have increased over the past 5 years at a rate of 45.1% per year.
Accelerating Growth: Unable to compare KRA's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: KRA is unprofitable, making it difficult to compare its past year earnings growth to the Chemicals industry (41.2%).
Return on Equity
High ROE: KRA has a negative Return on Equity (-48.31%), as it is currently unprofitable.
How is Kraton's financial position?
Financial Position Analysis
Short Term Liabilities: KRA's short term assets ($748.0M) exceed its short term liabilities ($475.6M).
Long Term Liabilities: KRA's short term assets ($748.0M) do not cover its long term liabilities ($1.3B).
Debt to Equity History and Analysis
Debt Level: KRA's debt to equity ratio (125.9%) is considered high.
Reducing Debt: KRA's debt to equity ratio has reduced from 341.5% to 125.9% over the past 5 years.
Debt Coverage: KRA's debt is not well covered by operating cash flow (18.1%).
Interest Coverage: KRA's interest payments on its debt are not well covered by EBIT (2.9x coverage).
What is Kraton current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate KRA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate KRA's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if KRA's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if KRA's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of KRA's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Kevin Fogarty (55 yo)
Mr. Kevin M. Fogarty had been the Chief Executive Officer and President of Kraton Corporation since January 14, 2008 and the Chief Executive Officer of Kraton Performance Polymers Limited. He served as a D...
CEO Compensation Analysis
Compensation vs Market: Kevin's total compensation ($USD5.66M) is above average for companies of similar size in the US market ($USD3.66M).
Compensation vs Earnings: Kevin's compensation has increased whilst the company is unprofitable.
Experienced Management: KRA's management team is considered experienced (4.7 years average tenure).
Experienced Board: KRA's board of directors are seasoned and experienced ( 10 years average tenure).
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Kraton Corporation's employee growth, exchange listings and data sources
- Name: Kraton Corporation
- Ticker: KRA
- Exchange: NYSE
- Founded: 2009
- Industry: Specialty Chemicals
- Sector: Materials
- Market Cap: US$1.345b
- Shares outstanding: 32.15m
- Website: https://www.kraton.com
Number of Employees
- Kraton Corporation
- 15710 John F. Kennedy Boulevard
- Suite 300
- United States
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/09/16 04:38|
|End of Day Share Price||2021/09/15 00:00|
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.