KRONOS WORLDWIDE INC (KRO)
US50105F1057 - Common Stock
KRO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 83 industry peers in the Chemicals industry. While KRO seems to be doing ok healthwise, there are quite some concerns on its profitability. KRO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
KRO had negative earnings in the past year.
KRO had a positive operating cash flow in the past year.
KRO had positive earnings in 4 of the past 5 years.
In the past 5 years KRO always reported a positive cash flow from operatings.
1.2 Ratios
KRO has a worse Return On Assets (-1.54%) than 71.08% of its industry peers.
With a Return On Equity value of -3.33%, KRO is not doing good in the industry: 68.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.54% | ||
| ROE | -3.33% | ||
| ROIC | N/A |
ROA(3y)2.78%
ROA(5y)3.18%
ROE(3y)5.94%
ROE(5y)7.3%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
KRO's Gross Margin of 11.96% is on the low side compared to the rest of the industry. KRO is outperformed by 81.93% of its industry peers.
KRO's Gross Margin has declined in the last couple of years.
KRO does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 11.96% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-22.71%
GM growth 5Y-21.8%
2. Health
2.1 Basic Checks
KRO does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for KRO has been reduced compared to 1 year ago.
KRO has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, KRO has a worse debt to assets ratio.
2.2 Solvency
KRO has an Altman-Z score of 2.18. This is not the best score and indicates that KRO is in the grey zone with still only limited risk for bankruptcy at the moment.
KRO's Altman-Z score of 2.18 is in line compared to the rest of the industry. KRO outperforms 56.63% of its industry peers.
KRO has a debt to FCF ratio of 11.76. This is a negative value and a sign of low solvency as KRO would need 11.76 years to pay back of all of its debts.
KRO has a Debt to FCF ratio (11.76) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.55 indicates that KRO is somewhat dependend on debt financing.
KRO has a Debt to Equity ratio (0.55) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 11.76 | ||
| Altman-Z | 2.18 |
ROIC/WACCN/A
WACC7.47%
2.3 Liquidity
A Current Ratio of 3.68 indicates that KRO has no problem at all paying its short term obligations.
KRO has a Current ratio of 3.68. This is amongst the best in the industry. KRO outperforms 85.54% of its industry peers.
KRO has a Quick Ratio of 1.90. This is a normal value and indicates that KRO is financially healthy and should not expect problems in meeting its short term obligations.
KRO's Quick ratio of 1.90 is fine compared to the rest of the industry. KRO outperforms 69.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.68 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
KRO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -185.19%.
The Revenue has decreased by -4.16% in the past year.
KRO shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.06% yearly.
EPS 1Y (TTM)-185.19%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%153.85%
Revenue 1Y (TTM)-4.16%
Revenue growth 3Y0.56%
Revenue growth 5Y0.06%
Sales Q2Q%12.32%
3.2 Future
The Earnings Per Share is expected to grow by 63.23% on average over the next years. This is a very strong growth
Based on estimates for the next years, KRO will show a quite strong growth in Revenue. The Revenue will grow by 11.70% on average per year.
EPS Next Y234.59%
EPS Next 2Y98.99%
EPS Next 3Y63.23%
EPS Next 5YN/A
Revenue Next Year25.58%
Revenue Next 2Y15.32%
Revenue Next 3Y11.7%
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
KRO reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
A Price/Forward Earnings ratio of 14.30 indicates a correct valuation of KRO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KRO is on the same level as its industry peers.
KRO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 20.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 14.3 |
4.2 Price Multiples
KRO's Enterprise Value to EBITDA ratio is rather expensive when compared to the industry. KRO is more expensive than 80.72% of the companies in the same industry.
KRO's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 38.18 | ||
| EV/EBITDA | 64.26 |
4.3 Compensation for Growth
KRO's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
KRO's earnings are expected to grow with 63.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y98.99%
EPS Next 3Y63.23%
5. Dividend
5.1 Amount
KRO has a Yearly Dividend Yield of 1.81%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.07, KRO pays a bit more dividend than its industry peers.
KRO's Dividend Yield is slightly below the S&P500 average, which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
5.2 History
The dividend of KRO has a limited annual growth rate of 2.22%.
KRO has been paying a dividend for at least 10 years, so it has a reliable track record.
KRO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)2.22%
Div Incr Years0
Div Non Decr Years13
5.3 Sustainability
The earnings of KRO are negative and hence is the payout ratio. KRO will probably not be able to sustain this dividend level.
The dividend of KRO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-339.15%
EPS Next 2Y98.99%
EPS Next 3Y63.23%
KRONOS WORLDWIDE INC
NYSE:KRO (7/26/2024, 7:04:00 PM)
After market: 12.05 0 (0%)12.05
+0.3 (+2.55%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap1.39B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.81% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 14.3 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.54% | ||
| ROE | -3.33% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 11.96% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.68 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-185.19%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y234.59%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-4.16%
Revenue growth 3Y0.56%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y