KRONOS WORLDWIDE INC (KRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KRO - US50105F1057 - Common Stock
4.42 USD
-0.04 (-0.9%)
4.4 USD
-0.02 (-0.45%)
Taking everything into account, KRO scores 3 out of 10 in our fundamental rating. KRO was compared to 83 industry peers in the Chemicals industry. The financial health of KRO is average, but there are quite some concerns on its profitability. KRO is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year KRO has reported negative net income.
KRO had a negative operating cash flow in the past year.
Of the past 5 years KRO 4 years were profitable.
KRO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KRO has a Return On Assets of -2.16%. This is in the lower half of the industry: KRO underperforms 63.86% of its industry peers.
KRO's Return On Equity of -5.13% is on the low side compared to the rest of the industry. KRO is outperformed by 61.45% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.68%, KRO is in line with its industry, outperforming 43.37% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.16% | ||
| ROE | -5.13% | ||
| ROIC | 2.68% |
ROA(3y)2.41%
ROA(5y)3.2%
ROE(3y)5.13%
ROE(5y)7.28%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
KRO's Profit Margin has declined in the last couple of years.
KRO has a worse Operating Margin (2.97%) than 68.67% of its industry peers.
In the last couple of years the Operating Margin of KRO has declined.
With a Gross Margin value of 16.25%, KRO is not doing good in the industry: 72.29% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of KRO has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.97% | ||
| PM (TTM) | N/A | ||
| GM | 16.25% |
OM growth 3Y-12.41%
OM growth 5Y-5.03%
PM growth 3Y-7.77%
PM growth 5Y-1.91%
GM growth 3Y-6.11%
GM growth 5Y-3.12%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KRO is destroying value.
The number of shares outstanding for KRO remains at a similar level compared to 1 year ago.
KRO has less shares outstanding than it did 5 years ago.
KRO has a worse debt/assets ratio than last year.
2.2 Solvency
KRO has an Altman-Z score of 1.66. This is a bad value and indicates that KRO is not financially healthy and even has some risk of bankruptcy.
KRO has a Altman-Z score of 1.66. This is comparable to the rest of the industry: KRO outperforms 44.58% of its industry peers.
A Debt/Equity ratio of 0.78 indicates that KRO is somewhat dependend on debt financing.
KRO has a Debt to Equity ratio of 0.78. This is comparable to the rest of the industry: KRO outperforms 45.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.66 |
ROIC/WACC0.24
WACC11.22%
2.3 Liquidity
A Current Ratio of 3.83 indicates that KRO has no problem at all paying its short term obligations.
KRO has a Current ratio of 3.83. This is amongst the best in the industry. KRO outperforms 89.16% of its industry peers.
KRO has a Quick Ratio of 1.47. This is a normal value and indicates that KRO is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of KRO (1.47) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.83 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The earnings per share for KRO have decreased strongly by -244.00% in the last year.
KRO shows a very negative growth in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -24.83% yearly.
Looking at the last year, KRO shows a small growth in Revenue. The Revenue has grown by 0.01% in the last year.
The Revenue has been growing slightly by 1.74% on average over the past years.
EPS 1Y (TTM)-244%
EPS 3Y-43.16%
EPS 5Y-24.83%
EPS Q2Q%-633.33%
Revenue 1Y (TTM)0.01%
Revenue growth 3Y-0.91%
Revenue growth 5Y1.74%
Sales Q2Q%-5.74%
3.2 Future
The Earnings Per Share is expected to grow by 39.61% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 0.80% on average over the next years.
EPS Next Y-335.67%
EPS Next 2Y34%
EPS Next 3Y39.61%
EPS Next 5YN/A
Revenue Next Year-12.6%
Revenue Next 2Y-4.19%
Revenue Next 3Y0.8%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings Ratio is negative for KRO. In the last year negative earnings were reported.
The Price/Forward Earnings ratio is 13.68, which indicates a correct valuation of KRO.
Based on the Price/Forward Earnings ratio, KRO is valued a bit cheaper than 61.45% of the companies in the same industry.
KRO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 13.68 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of KRO is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 9.97 |
4.3 Compensation for Growth
A more expensive valuation may be justified as KRO's earnings are expected to grow with 39.61% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y34%
EPS Next 3Y39.61%
5. Dividend
5.1 Amount
KRO has a Yearly Dividend Yield of 4.36%, which is a nice return.
In the last 3 months the price of KRO has falen by -22.73%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 2.48, KRO pays a better dividend. On top of this KRO pays more dividend than 84.34% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.00, KRO pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.36% |
5.2 History
The dividend of KRO decreases each year by -7.80%.
KRO has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)-7.8%
Div Incr Years0
Div Non Decr Years0
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.
DP-55.69%
EPS Next 2Y34%
EPS Next 3Y39.61%
4.42
-0.04 (-0.9%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners17.06%
Inst Owner Change-0.7%
Ins Owners0.17%
Ins Owner Change0.09%
Market Cap508.52M
Revenue(TTM)1.86B
Net Income(TTM)-41.30M
Analysts46.67
Price Target5.61 (26.92%)
Short Float %8.12%
Short Ratio5.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.36% |
Yearly Dividend0.48
Dividend Growth(5Y)-7.8%
DP-55.69%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-293.36%
Min EPS beat(2)-428.05%
Max EPS beat(2)-158.67%
EPS beat(4)0
Avg EPS beat(4)-195.61%
Min EPS beat(4)-428.05%
Max EPS beat(4)-6.81%
EPS beat(8)3
Avg EPS beat(8)-2%
EPS beat(12)3
Avg EPS beat(12)-62.91%
EPS beat(16)6
Avg EPS beat(16)-38.64%
Revenue beat(2)0
Avg Revenue beat(2)-3.64%
Min Revenue beat(2)-4.26%
Max Revenue beat(2)-3.02%
Revenue beat(4)0
Avg Revenue beat(4)-6.45%
Min Revenue beat(4)-15.25%
Max Revenue beat(4)-3.02%
Revenue beat(8)2
Avg Revenue beat(8)-5.34%
Revenue beat(12)4
Avg Revenue beat(12)-2.96%
Revenue beat(16)7
Avg Revenue beat(16)-1.72%
PT rev (1m)-18.52%
PT rev (3m)-31.25%
EPS NQ rev (1m)-390%
EPS NQ rev (3m)-644.44%
EPS NY rev (1m)-1300%
EPS NY rev (3m)-235.48%
Revenue NQ rev (1m)-7.17%
Revenue NQ rev (3m)-16.87%
Revenue NY rev (1m)-2.4%
Revenue NY rev (3m)-7.43%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 13.68 | ||
| P/S | 0.27 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.63 | ||
| P/tB | 0.63 | ||
| EV/EBITDA | 9.97 |
EPS(TTM)-0.36
EYN/A
EPS(NY)0.32
Fwd EY7.31%
FCF(TTM)-0.74
FCFYN/A
OCF(TTM)-0.35
OCFYN/A
SpS16.2
BVpS6.99
TBVpS6.97
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.16% | ||
| ROE | -5.13% | ||
| ROCE | 3.39% | ||
| ROIC | 2.68% | ||
| ROICexc | 2.73% | ||
| ROICexgc | 2.73% | ||
| OM | 2.97% | ||
| PM (TTM) | N/A | ||
| GM | 16.25% | ||
| FCFM | N/A |
ROA(3y)2.41%
ROA(5y)3.2%
ROE(3y)5.13%
ROE(5y)7.28%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y-13.41%
ROICexgc growth 5Y-3.71%
ROICexc growth 3Y-13.47%
ROICexc growth 5Y-3.75%
OM growth 3Y-12.41%
OM growth 5Y-5.03%
PM growth 3Y-7.77%
PM growth 5Y-1.91%
GM growth 3Y-6.11%
GM growth 5Y-3.12%
F-Score3
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.64 | ||
| Cap/Depr | 80.79% | ||
| Cap/Sales | 2.41% | ||
| Interest Coverage | 1.08 | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.83 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 1.66 |
F-Score3
WACC11.22%
ROIC/WACC0.24
Cap/Depr(3y)89.54%
Cap/Depr(5y)98.19%
Cap/Sales(3y)2.56%
Cap/Sales(5y)2.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-244%
EPS 3Y-43.16%
EPS 5Y-24.83%
EPS Q2Q%-633.33%
EPS Next Y-335.67%
EPS Next 2Y34%
EPS Next 3Y39.61%
EPS Next 5YN/A
Revenue 1Y (TTM)0.01%
Revenue growth 3Y-0.91%
Revenue growth 5Y1.74%
Sales Q2Q%-5.74%
Revenue Next Year-12.6%
Revenue Next 2Y-4.19%
Revenue Next 3Y0.8%
Revenue Next 5YN/A
EBIT growth 1Y-36.36%
EBIT growth 3Y-13.2%
EBIT growth 5Y-3.37%
EBIT Next Year-56.35%
EBIT Next 3Y9.68%
EBIT Next 5YN/A
FCF growth 1Y12.24%
FCF growth 3Y-33.75%
FCF growth 5Y-16.38%
OCF growth 1Y-11.02%
OCF growth 3Y-29.45%
OCF growth 5Y-14.67%
KRONOS WORLDWIDE INC / KRO FAQ
What is the ChartMill fundamental rating of KRONOS WORLDWIDE INC (KRO) stock?
ChartMill assigns a fundamental rating of 3 / 10 to KRO.
Can you provide the valuation status for KRONOS WORLDWIDE INC?
ChartMill assigns a valuation rating of 2 / 10 to KRONOS WORLDWIDE INC (KRO). This can be considered as Overvalued.
How profitable is KRONOS WORLDWIDE INC (KRO) stock?
KRONOS WORLDWIDE INC (KRO) has a profitability rating of 2 / 10.
How financially healthy is KRONOS WORLDWIDE INC?
The financial health rating of KRONOS WORLDWIDE INC (KRO) is 4 / 10.
What is the earnings growth outlook for KRONOS WORLDWIDE INC?
The Earnings per Share (EPS) of KRONOS WORLDWIDE INC (KRO) is expected to decline by -335.67% in the next year.