Kronos Worldwide
Market Cap
US$962.2m
Last Updated
2020/04/08 05:30 UTC
Data Sources
Company Financials +
Executive Summary
Kronos Worldwide, Inc. produces and markets titanium dioxide pigments (TiO2) in Europe, North America, the Asia Pacific, and internationally.
Rewards
Risk Analysis
Dividend of 9.21% is not well covered by earnings or forecast to be in the next 3 years
Snowflake Analysis
Undervalued with adequate balance sheet.
Similar Companies
Share Price & News
How has Kronos Worldwide's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KRO's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-1.2%
KRO
2.0%
US Chemicals
2.4%
US Market
1 Year Return
-41.6%
KRO
-28.6%
US Chemicals
-10.0%
US Market
Return vs Industry: KRO underperformed the US Chemicals industry which returned -34.4% over the past year.
Return vs Market: KRO underperformed the US Market which returned -15.9% over the past year.
Shareholder returns
| KRO | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.2% | 2.0% | 2.4% |
| 30 Day | 10.5% | -13.9% | -11.0% |
| 90 Day | -31.2% | -26.0% | -19.4% |
| 1 Year | -37.8%-41.6% | -23.9%-28.6% | -8.1%-10.0% |
| 3 Year | -39.5%-47.0% | -6.5%-24.4% | 17.3%9.6% |
| 5 Year | -19.1%-38.7% | 3.0%-19.7% | 36.1%21.1% |
Price Volatility Vs. Market
How volatile is Kronos Worldwide's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Do Kronos Worldwide, Inc.’s (NYSE:KRO) Returns On Capital Employed Make The Cut?3 weeks ago | Simply Wall St
Analysts Have Been Trimming Their Kronos Worldwide, Inc. Price Target After Its Latest Report3 weeks ago | Simply Wall St
How Does Kronos Worldwide's (NYSE:KRO) P/E Compare To Its Industry, After The Share Price Drop?Valuation
Is Kronos Worldwide undervalued compared to its fair value and its price relative to the market?
39.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: KRO ($7.82) is trading below our estimate of fair value ($13.85)
Significantly Below Fair Value: KRO is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: KRO is good value based on its PE Ratio (10.4x) compared to the Chemicals industry average (13.9x).
PE vs Market: KRO is good value based on its PE Ratio (10.4x) compared to the US market (12.2x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate KRO's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: KRO is good value based on its PB Ratio (1.1x) compared to the US Chemicals industry average (1.3x).
Next Steps
Future Growth
How is Kronos Worldwide forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
2.1%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if KRO's forecast earnings growth is above the savings rate (1.7%).
Earnings vs Market: Insufficient data to determine if KRO's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: KRO's revenue (2.1% per year) is forecast to grow slower than the US market (7% per year).
High Growth Revenue: KRO's revenue (2.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KRO's Return on Equity is forecast to be low in 3 years time (13.5%).
Next Steps
Past Performance
How has Kronos Worldwide performed over the past 5 years?
35.2%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KRO has high quality earnings.
Growing Profit Margin: KRO's current net profit margins (5%) are lower than last year (12.3%).
Past Earnings Growth Analysis
Earnings Trend: KRO's earnings have grown significantly by 35.2% per year over the past 5 years.
Accelerating Growth: KRO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: KRO had negative earnings growth (-57.5%) over the past year, making it difficult to compare to the Chemicals industry average (-11.3%).
Return on Equity
High ROE: KRO's Return on Equity (10.7%) is considered low.
Next Steps
Financial Health
How is Kronos Worldwide's financial position?
Financial Position Analysis
Short Term Liabilities: KRO's short term assets ($1.2B) exceed its short term liabilities ($270.6M).
Long Term Liabilities: KRO's short term assets ($1.2B) exceed its long term liabilities ($879.1M).
Debt to Equity History and Analysis
Debt Level: KRO's debt to equity ratio (54.6%) is considered high.
Reducing Debt: KRO's debt to equity ratio has increased from 44% to 54.6% over the past 5 years.
Debt Coverage: KRO's debt is well covered by operating cash flow (36%).
Interest Coverage: KRO's interest payments on its debt are well covered by EBIT (10.7x coverage).
Balance Sheet
Next Steps
Dividend
What is Kronos Worldwide's current dividend yield, its reliability and sustainability?
8.65%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: KRO's dividend (9.21%) is higher than the bottom 25% of dividend payers in the US market (2.07%).
High Dividend: KRO's dividend (9.21%) is in the top 25% of dividend payers in the US market (5.82%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, KRO has been paying a dividend for less than 10 years.
Growing Dividend: KRO's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (95.7%), KRO's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: KRO's dividends in 3 years are not forecast to be well covered by earnings (90.3% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.9yrs
Average management tenure
CEO
Robert Graham (63yo)
3.25s
Tenure
US$2,997,000
Compensation
Mr. Robert D. Graham serves as a Vice Chairman of the Board at CompX International Inc. He is has been Chief Executive Officer of NL Industries, Inc. since February 2014 and its Vice Chairman Since May 201 ...
CEO Compensation Analysis
Compensation vs Market: Robert's total compensation ($USD2.63M) is about average for companies of similar size in the US market ($USD3.29M).
Compensation vs Earnings: Robert's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Vice Chairman of the Board | 3.25yrs | US$3.00m | 0.018% $174.7k | |
| Senior VP & CFO | 0.83yr | US$1.04m | no data | |
| Chief Operating Officer | 4.33yrs | US$1.49m | 0.00086% $8.3k | |
| Executive VP & Chief Tax Officer | 8.92yrs | US$2.13m | no data | |
| Executive Vice President | 4.17yrs | US$1.30m | no data | |
| VP & CTO | no data | no data | no data | |
| Vice President of Corporate Strategy & Investor Relations | 7.17yrs | no data | 0.0056% $54.1k | |
| VP, General Counsel & Secretary | 4.92yrs | no data | no data | |
| President of Global Sales Management | 7.58yrs | US$792.29k | no data | |
| Vice President of Global Human Resources | 4.92yrs | no data | no data |
4.9yrs
Average Tenure
58yo
Average Age
Experienced Management: KRO's management team is considered experienced (4.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Vice Chairman of the Board | 3.25yrs | US$3.00m | 0.018% $174.7k | |
| Independent Director | 6.92yrs | US$81.97k | 0.021% $204.8k | |
| Independent Director | 16.42yrs | US$80.97k | 0.018% $171.4k | |
| Independent Director | 2.08yrs | US$96.97k | 0.0020% $19.1k | |
| Presiding Director | no data | US$99.47k | 0.017% $160.8k | |
| Independent Director | 4.25yrs | US$96.97k | 0.0042% $39.9k | |
| Chair of the Board | 2.92yrs | US$101.97k | 0.0085% $81.5k |
3.6yrs
Average Tenure
63yo
Average Age
Experienced Board: KRO's board of directors are considered experienced (3.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: KRO insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Kronos Worldwide, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Kronos Worldwide, Inc.
- Ticker: KRO
- Exchange: NYSE
- Founded: 1916
- Industry: Commodity Chemicals
- Sector: Materials
- Market Cap: US$962.222m
- Shares outstanding: 115.65m
- Website: https://kronostio2.com
Number of Employees
Location
- Kronos Worldwide, Inc.
- 5430 LBJ Freeway
- Suite 1700
- Dallas
- Texas
- 75240-2620
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| KRO | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Dec 2003 |
| K1W | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 2003 |
Biography
Kronos Worldwide, Inc. produces and markets titanium dioxide pigments (TiO2) in Europe, North America, the Asia Pacific, and internationally. The company produces TiO2 in two crystalline forms, rutile and anatase to impart whiteness, brightness, opacity, and durability for various products, including paints, coatings, plastics, paper, fibers, and ceramics, as well as for various specialty products, such as inks, foods, and cosmetics. It also produces ilmenite, a raw material used directly as a feedstock by sulfate-process TiO2 plants; iron-based chemicals, which are used as treatment and conditioning agents for industrial effluents and municipal wastewater, as well as in the manufacture of iron pigments, cement, and agricultural products; titanium oxychloride for use in the formulation of pearlescent pigments, and production of electroceramic capacitors for cell phones and other electronic devices; and titanyl sulfate that is used in pearlescent pigments, natural gas pipe, and other specialty applications. In addition, the company provides technical services for its products. It sells its products under the KRONOS brand through agents and distributors to paint, plastics, decorative laminate, and paper manufacturers. The company was founded in 1916 and is headquartered in Dallas, Texas. Kronos Worldwide, Inc. is a subsidiary of Valhi, Inc.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/08 05:30 |
| End of Day Share Price | 2020/04/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.