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Kronos Worldwide Inc (KRO)
NYSE:KRO

Kronos Worldwide (KRO) AI Stock Analysis

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Kronos Worldwide

(NYSE:KRO)

61Neutral
Kronos Worldwide's stock scores a 61, driven by strong financial recovery and attractive valuation. Despite these strengths, technical indicators point towards negative market sentiment with the stock trending below key moving averages. The high beta also suggests potential volatility. The stock is suitable for investors seeking income through dividends, but caution is advised due to technical weaknesses and potential debt-related risks.

Kronos Worldwide (KRO) vs. S&P 500 (SPY)

Kronos Worldwide Business Overview & Revenue Model

Company DescriptionKronos Worldwide, Inc. is a global leader in the production and marketing of titanium dioxide pigments, a key ingredient used to impart whiteness, brightness, and opacity to a wide range of products. Operating within the chemicals sector, the company serves various industries including coatings, plastics, paper, and inks. With production facilities across North America and Europe, Kronos Worldwide leverages its extensive experience and technical expertise to deliver high-quality products to its diverse customer base.
How the Company Makes MoneyKronos Worldwide generates revenue primarily through the manufacture and sale of titanium dioxide pigments. The company's key revenue streams are derived from its diverse customer base across industries such as coatings, plastics, paper, and inks, which use titanium dioxide for its whitening and opacifying properties. Revenue is influenced by factors such as global demand for titanium dioxide, production capacity, and pricing strategies. Additionally, the company may engage in strategic partnerships and long-term contracts with key customers to ensure consistent revenue flow. External factors, such as raw material costs and regulatory changes, can also impact the company's financial performance.

Kronos Worldwide Financial Statement Overview

Summary
Kronos Worldwide exhibits a positive financial trajectory with revenue and profitability recovery, improved cash flow management, and a balanced capital structure. However, increased leverage could pose risks if not managed prudently. The company shows strong potential for growth with careful attention to maintaining profit margins and reducing debt.
Income Statement
72
Positive
Kronos Worldwide has shown a solid recovery with a revenue growth rate of 13.26% in 2024 compared to 2023. The gross profit margin improved from 9.89% in 2023 to 19.04% in 2024, indicating better cost management. However, the EBIT margin is 6.51%, reflecting moderate operational efficiency. The net profit margin of 4.57% in 2024 shows improvement but remains relatively low, suggesting room for further profitability enhancement.
Balance Sheet
68
Positive
The company's debt-to-equity ratio increased to 0.64 in 2024, indicating higher leverage. Return on equity improved slightly to 10.55%, demonstrating better profitability from shareholders' equity. The equity ratio stands at 44.94%, showing a balanced capital structure but with potential risks due to rising debt levels.
Cash Flow
75
Positive
Operating cash flow increased significantly to $72.5 million in 2024, improving the operating cash flow to net income ratio to 0.84. Free cash flow grew healthily, turning positive to $43 million, with a substantial free cash flow to net income ratio of 0.50, indicating stronger cash management and liquidity.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
1.89B1.67B1.93B1.94B1.64B
Gross Profit
359.30M164.90M391.10M446.20M351.20M
EBIT
122.90M-56.00M84.10M111.50M38.00M
EBITDA
256.90M-2.70M207.00M230.90M163.60M
Net Income Common Stockholders
86.20M-49.10M104.50M112.90M63.90M
Balance SheetCash, Cash Equivalents and Short-Term Investments
106.70M194.70M327.80M406.00M355.30M
Total Assets
1.91B1.84B1.93B2.01B2.04B
Total Debt
528.00M463.40M446.40M470.70M512.90M
Net Debt
421.30M268.70M118.60M64.70M157.60M
Total Liabilities
1.10B1.03B977.20M1.14B1.24B
Stockholders Equity
817.00M808.30M957.20M870.20M796.50M
Cash FlowFree Cash Flow
43.00M-41.90M18.50M147.90M39.70M
Operating Cash Flow
72.50M5.50M81.70M206.50M102.50M
Investing Cash Flow
-186.30M-47.40M-63.10M-58.60M-61.30M
Financing Cash Flow
26.50M-91.60M-91.50M-86.70M-85.30M

Kronos Worldwide Technical Analysis

Technical Analysis Sentiment
Negative
Last Price7.56
Price Trends
50DMA
9.09
Negative
100DMA
10.06
Negative
200DMA
10.98
Negative
Market Momentum
MACD
-0.45
Positive
RSI
28.84
Positive
STOCH
15.63
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KRO, the sentiment is Negative. The current price of 7.56 is below the 20-day moving average (MA) of 8.53, below the 50-day MA of 9.09, and below the 200-day MA of 10.98, indicating a bearish trend. The MACD of -0.45 indicates Positive momentum. The RSI at 28.84 is Positive, neither overbought nor oversold. The STOCH value of 15.63 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KRO.

Kronos Worldwide Risk Analysis

Kronos Worldwide disclosed 13 risk factors in its most recent earnings report. Kronos Worldwide reported the most risks in the “Legal & Regulatory” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Kronos Worldwide Peers Comparison

Overall Rating
UnderperformOutperform
Sector (47)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
EMEMN
75
Outperform
$10.89B12.3216.11%3.45%1.91%2.94%
KRKRO
61
Neutral
$875.42M10.1510.61%6.31%13.24%
WLWLK
59
Neutral
$13.93B23.805.76%1.89%-3.24%24.29%
ASASH
57
Neutral
$2.70B21.030.18%2.83%-4.35%-115.63%
CCCC
53
Neutral
$2.04B23.4912.98%7.32%-4.05%
HUHUN
50
Neutral
$3.01B-5.22%5.74%-1.23%-277.52%
47
Neutral
$2.64B-3.82-29.05%3.32%2.72%-29.50%
* Basic Materials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
KRO
Kronos Worldwide
7.56
-3.32
-30.51%
ASH
Ashland
56.74
-37.45
-39.76%
EMN
Eastman Chemical
92.41
3.41
3.83%
HUN
Huntsman
16.52
-7.80
-32.07%
WLK
Westlake Chemical
106.96
-33.35
-23.77%
CC
Chemours Company
13.96
-11.34
-44.82%

Kronos Worldwide Corporate Events

Dividends
Kronos Worldwide Declares Quarterly Dividend for 2024
Neutral
Oct 30, 2024

Kronos Worldwide, Inc., a leading global producer of titanium dioxide products, has declared a regular quarterly dividend of $0.05 per share, payable on December 12, 2024, to shareholders on record by November 29, 2024. This announcement could be of interest to investors tracking dividend-yielding stocks.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.