KRONOS WORLDWIDE INC (KRO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:KRO - US50105F1057 - Common Stock
5.33 USD
+0.11 (+2.11%)
5.3581 USD
+0.03 (+0.53%)
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. While showing a medium growth rate, KRO is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
KRO had negative earnings in the past year.
KRO had a negative operating cash flow in the past year.
Of the past 5 years KRO 4 years were profitable.
Each year in the past 5 years KRO had a positive operating cash flow.
1.2 Ratios
KRO's Return On Assets of -2.16% is on the low side compared to the rest of the industry. KRO is outperformed by 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.
The Operating Margin of KRO (2.97%) is worse than 68.67% of its industry peers.
In the last couple of years the Operating Margin of KRO has declined.
The Gross Margin of KRO (16.25%) is worse than 72.29% of its industry peers.
KRO's Gross Margin has declined in the last couple of years.
| 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), KRO is destroying value.
The number of shares outstanding for KRO remains at a similar level compared to 1 year ago.
The number of shares outstanding for KRO has been reduced compared to 5 years ago.
The debt/assets ratio for KRO is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.71, we must say that KRO is in the distress zone and has some risk of bankruptcy.
KRO has a Altman-Z score of 1.71. 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.
The Debt to Equity ratio of KRO (0.78) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.78 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.71 |
ROIC/WACC0.23
WACC11.68%
2.3 Liquidity
A Current Ratio of 3.83 indicates that KRO has no problem at all paying its short term obligations.
With an excellent Current ratio value of 3.83, KRO belongs to the best of the industry, outperforming 89.16% of the companies in the same industry.
A Quick Ratio of 1.47 indicates that KRO should not have too much problems paying its short term obligations.
KRO's Quick ratio of 1.47 is in line compared to the rest of the industry. KRO outperforms 59.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.83 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
KRO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -244.00%.
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
KRO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 39.61% yearly.
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
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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.
A Price/Forward Earnings ratio of 16.49 indicates a correct valuation of KRO.
The rest of the industry has a similar Price/Forward Earnings ratio as KRO.
KRO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.88, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 16.49 |
4.2 Price Multiples
KRO's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 10.92 |
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 3.83%. Purely for dividend investing, there may be better candidates out there.
KRO's Dividend Yield is rather good when compared to the industry average which is at 2.36. KRO pays more dividend than 86.75% of the companies in the same industry.
KRO's Dividend Yield is rather good when compared to the S&P500 average which is at 1.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
5.2 History
The dividend of KRO decreases each year by -7.80%.
KRO has been paying a dividend for at least 10 years, so it has 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%
5.33
+0.11 (+2.11%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners16.83%
Inst Owner Change0%
Ins Owners0.17%
Ins Owner Change0.09%
Market Cap613.22M
Revenue(TTM)1.86B
Net Income(TTM)-41.30M
Analysts46.67
Price Target5.61 (5.25%)
Short Float %8.12%
Short Ratio5.07
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
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)-8.33%
PT rev (3m)-31.25%
EPS NQ rev (1m)-75%
EPS NQ rev (3m)-644.44%
EPS NY rev (1m)-1300%
EPS NY rev (3m)-235.48%
Revenue NQ rev (1m)-3.82%
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 | 16.49 | ||
| P/S | 0.33 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.76 | ||
| P/tB | 0.76 | ||
| EV/EBITDA | 10.92 |
EPS(TTM)-0.36
EYN/A
EPS(NY)0.32
Fwd EY6.06%
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 | 1.71 |
F-Score3
WACC11.68%
ROIC/WACC0.23
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.