Tronox downgraded to Underperform from Market Perform at BMO Capital

BMO Capital analyst John McNulty downgraded Tronox (TROX) to Underperform from Market Perform with a price target of $3, down from $7. Due to weak U.S. housing, soft China construction markets, and listless demand in Europe, the demand environment remains challenged and pricing remains difficult even in tariff-protected areas owing to the soft demand and fierce competition, the analyst tells investors. High costs are moving more slowly through the company’s P&L, adds the analyst, who sees significant risk to earnings and cash flows in 2025 and 2026.