NYSE:KRO

Stock Analysis Report

Executive Summary

Kronos Worldwide, Inc. produces and markets titanium dioxide pigments (TiO2) in Europe, North America, the Asia Pacific, and internationally.

Snowflake

Fundamentals

Established dividend payer and good value.


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


Market Performance


7 Day Return

1.2%

KRO

3.6%

US Chemicals

3.4%

US Market


1 Year Return

-23.5%

KRO

-7.3%

US Chemicals

5.4%

US Market

Return vs Industry: KRO underperformed the US Chemicals industry which returned -7.3% over the past year.

Return vs Market: KRO underperformed the US Market which returned 5.4% over the past year.


Shareholder returns

KROIndustryMarket
7 Day1.2%3.6%3.4%
30 Day-9.7%-2.6%-1.0%
90 Day-15.7%-1.7%-0.4%
1 Year-19.0%-23.5%6.4%-7.3%7.7%5.4%
3 Year68.3%48.6%41.2%15.5%46.2%36.8%
5 Year16.3%-11.3%43.3%12.6%65.6%47.5%

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

Valuation

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

28.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: KRO ($11.56) is trading below our estimate of fair value ($16.1)

Significantly Undervalued: KRO is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: KRO is good value based on its PE Ratio (11.5x) compared to the Chemicals industry average (19x).

PE vs Market: KRO is good value based on its PE Ratio (11.5x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

Low 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 (1.5x) compared to the US Chemicals industry average (2x).


Next Steps

Future Growth

How is Kronos Worldwide forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

7.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KRO's forecast earnings growth (7.5% per year) is above the savings rate (2.7%).

Earnings vs Market: KRO's earnings (7.5% per year) are forecast to grow slower than the US market (14.3% per year).

High Growth Earnings: KRO's earnings are forecast to grow, but not significantly.

Revenue vs Market: KRO's revenue (2.6% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: KRO's revenue (2.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: KRO's Return on Equity is forecast to be low in 3 years time (14.3%).


Next Steps

Past Performance

How has Kronos Worldwide performed over the past 5 years?

40.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: KRO's earnings have grown significantly by 40.5% 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 (-56.8%) over the past year, making it difficult to compare to the Chemicals industry average (-2%).


Return on Equity

High ROE: KRO's Return on Equity (13.4%) is considered low.


Return on Assets

ROA vs Industry: KRO's Return on Assets is below or equal to the Chemicals industry average last year.


Return on Capital Employed

ROCE Improving: KRO's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Kronos Worldwide's financial position?


Financial Position Analysis

Short Term Liabilities: KRO's short term assets ($1.2B) exceeds its short term liabilities ($249.1M)

Long Term Liabilities: KRO's short term assets (1.2B) exceeds its long term liabilities (841.5M)


Debt to Equity History and Analysis

Debt Level: KRO's debt to equity ratio (52.3%) is considered high

Reducing Debt: KRO's debt to equity ratio has increased from 37.6% to 52.3% over the past 5 years.

Debt Coverage: KRO's debt is not well covered by operating cash flow (9.9%).

Interest Coverage: KRO's interest payments on its debt are well covered by EBIT (14.7x coverage).


Balance Sheet

Inventory Level: KRO has a high level of physical assets or inventory.

Debt Coverage by Assets: KRO's debt is covered by short term assets (assets are 2.711700x debt).


Next Steps

Dividend

What is Kronos Worldwide's current dividend yield, its reliability and sustainability?

6.23%

Current Dividend Yield


Dividend Yield vs Market

company6.2%marketbottom25%1.5%markettop25%3.8%industryaverage2.2%forecastin3Years6.6%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: KRO's dividend (6.23%) is higher than the bottom 25% of dividend payers in the US market (1.46%).

High Dividend: KRO's dividend (6.23%) is in the top 25% of dividend payers in the US market (3.77%)

Stable Dividend: KRO's dividend payments have been volatile in the past 10 years.

Growing Dividend: KRO's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (69.7%), KRO's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KRO's dividends in 3 years are forecast to be covered by earnings (68.7% payout ratio).


Next Steps

Management

What is the CEO of Kronos Worldwide's salary, the management and board of directors tenure and is there insider trading?

4.4yrs

Average management tenure


CEO

Robert Graham (63yo)

2.8yrs

Tenure

US$2,631,000

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 ($USD2.63M) is below average for companies of similar size in the US market ($USD4.07M).

Compensation vs Earnings: Robert's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Management Age and Tenure

4.4yrs

Average Tenure

58yo

Average Age

Experienced Management: KRO's management team is considered experienced (4.4 years average tenure).


Board Age and Tenure

3.1yrs

Average Tenure

63yo

Average Age

Experienced Board: KRO's board of directors are considered experienced (3.1 years average tenure).


Insider Trading

Insider Buying: KRO insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$20,32727 Aug 19
Loretta Feehan
EntityIndividual
Role
Chairman of the Board
Chair of the Board
Shares2,000
Max PriceUS$10.16
BuyUS$14,95526 Aug 19
Andrew Nace
EntityIndividual
Shares1,500
Max PriceUS$9.97
BuyUS$21,00013 Aug 19
Cecil Moore
EntityIndividual
Role
Lead Director
Presiding Director & Director of Nl Industries Inc
Shares2,000
Max PriceUS$10.50
BuyUS$53,75012 Aug 19
Robert Graham
EntityIndividual
Role
Chief Executive Officer
Vice Chairman of the Board
Shares5,000
Max PriceUS$10.75
BuyUS$67,28012 Aug 19
Andrew Nace
EntityIndividual
Shares6,000
Max PriceUS$11.22
BuyUS$15908 Feb 19
Andrew Nace
EntityIndividual
Shares11.41
Max PriceUS$17.51
BuyUS$125,00026 Nov 18
Robert Graham
EntityIndividual
Role
Chief Executive Officer
Vice Chairman of the Board
Shares10,000
Max PriceUS$12.50

Ownership Breakdown


Management Team

  • James Brown (62yo)

    Senior VP & CFO

    • Tenure: 0.3yrs
    • Compensation: US$429.30k
  • Robert Graham (63yo)

    Vice Chairman of the Board

    • Tenure: 2.8yrs
    • Compensation: US$2.63m
  • Kelly Luttmer (55yo)

    Executive VP & Chief Tax Officer

    • Tenure: 8.4yrs
    • Compensation: US$1.96m
  • James Buch (58yo)

    Chief Operating Officer

    • Tenure: 3.8yrs
    • Compensation: US$1.44m
  • Clarence Brown (50yo)

    VP, General Counsel & Secretary

    • Tenure: 4.4yrs
  • Brian Christian (40yo)

    Executive Vice President

    • Tenure: 3.7yrs
    • Compensation: US$1.25m
  • Janet Keckeisen (63yo)

    Vice President of Corporate Strategy & Investor Relations

    • Tenure: 6.7yrs
  • Ben Corona (58yo)

    President of Global Sales Management

    • Tenure: 7.1yrs
    • Compensation: US$792.29k
  • Patricia Kropp (59yo)

    VP & Director of Global Human Resources

    • Tenure: 4.4yrs
  • John Sunny (56yo)

    VP & CTO

    • Tenure: 0yrs

Board Members

  • Robert Graham (63yo)

    Vice Chairman of the Board

    • Tenure: 2.8yrs
    • Compensation: US$2.63m
  • Thomas Stafford (88yo)

    Independent Director

    • Tenure: 6.4yrs
    • Compensation: US$81.58k
  • Robert Turner (73yo)

    Independent Director

    • Tenure: 15.9yrs
    • Compensation: US$81.58k
  • Meredith Mendes (60yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: US$78.08k
  • Cecil Moore (79yo)

    Presiding Director & Director of Nl Industries Inc

    • Tenure: 0yrs
    • Compensation: US$97.58k
  • John Harper (57yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$97.58k
  • Loretta Feehan (63yo)

    Chair of the Board

    • Tenure: 2.4yrs
    • Compensation: US$102.58k

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$1.339b
  • Shares outstanding: 115.81m
  • Website: https://kronostio2.com

Number of Employees


Location

  • Kronos Worldwide, Inc.
  • 5430 LBJ Freeway
  • Suite 1700
  • Dallas
  • Texas
  • 75240
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KRONYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2003
K1WDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2003

Biography

Kronos Worldwide, Inc. produces and markets titanium dioxide pigments (TiO2) in Europe, North America, the Asia Pacific, and internationally. It produces TiO2 in two crystalline forms, rutile and anatase t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 23:50
End of Day Share Price2019/10/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.