Kronos Worldwide Inc (KRO, Financial) has recently experienced a notable uptick in its stock performance, with a market capitalization now standing at $1.16 billion. The current price of KRO stock is $10.09, reflecting a significant 13.34% gain over the past week and a 23.09% gain over the past three months. When compared to the GF Value of $11.75, Kronos Worldwide Inc is currently considered modestly undervalued, a status that has been consistent since the past GF Value of $12.2. This valuation suggests that investors may still have an opportunity to invest in KRO at a price less than its intrinsic value.
Introduction to Kronos Worldwide Inc
Kronos Worldwide Inc, operating within the chemicals industry, is a key player in the manufacturing and selling of titanium dioxide pigments. These pigments are essential components in a wide array of products, particularly in coatings for various vehicles and appliances, as well as in plastics used for packaging and consumer goods. With the majority of its revenue generated from the United States, Kronos Worldwide Inc has established a strong presence in its market segment. 
Assessing Kronos Worldwide Inc's Profitability
With a Profitability Rank of 6/10, Kronos Worldwide Inc demonstrates a fair level of profitability within its industry. The company's operating margin stands at -3.79%, which is more favorable than 14.79% of 1,535 companies in the same sector. Additionally, the company's return on equity (ROE) is -5.60%, surpassing 16.23% of its peers. The return on assets (ROA) at -2.70% and return on invested capital (ROIC) at -3.15% also indicate that Kronos Worldwide Inc is performing better than a significant portion of its competitors. Over the past decade, the company has maintained profitability for 8 years, which is commendable given the competitive nature of the industry. 
Growth Trajectory of Kronos Worldwide Inc
Despite its solid profitability, Kronos Worldwide Inc's growth prospects appear limited, with a Growth Rank of 1/10. The company's 3-year revenue growth rate per share is a modest 0.70%, and the 5-year revenue growth rate per share is slightly higher at 1.60%. These figures indicate that while Kronos Worldwide Inc has managed to increase its revenue over time, the pace of growth is slower than the majority of its industry counterparts. 
Key Shareholders in Kronos Worldwide Inc
Notable investors have taken an interest in Kronos Worldwide Inc, with Jim Simons (Trades, Portfolio) holding 693,000 shares, representing a 0.6% stake in the company. Another prominent investor, Paul Tudor Jones (Trades, Portfolio), holds 59,378 shares, accounting for a 0.05% share. The involvement of these investors signals a level of confidence in the company's future performance and strategic direction.
Competitive Landscape
When examining Kronos Worldwide Inc's position in the market, it is essential to consider its competitors. Koppers Holdings Inc (KOP, Financial) with a market cap of $1.11 billion, Select Water Solutions Inc (WTTR, Financial) valued at $863.458 million, and Mativ Holdings Inc (MATV, Financial) with a market cap of $985.558 million, are companies within the same industry and market cap range. These competitors represent the competitive environment in which Kronos Worldwide Inc operates and the benchmarks against which its performance is measured.
Conclusion
In summary, Kronos Worldwide Inc has shown a robust stock performance in recent months, with its valuation indicating that it is modestly undervalued. The company's profitability metrics are relatively strong, although its growth rates suggest a slower expansion compared to industry peers. The presence of significant shareholders like Jim Simons (Trades, Portfolio) and Paul Tudor Jones (Trades, Portfolio) adds a layer of investor confidence. Finally, when compared to its closest competitors, Kronos Worldwide Inc holds its own in the market, maintaining a competitive stance within the chemicals industry.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
