Kronos Worldwide (KRO) AI Stock Analysis

• Market Cap: $587.92M
• Dividend Yield: 4.39%
• Average Volume (3M): 313.34K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.46
• Revenue Growth: <0.01%
• EPS Growth: -143.88%
• Country: US
• Employees: 2,524
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Chemicals - Specialty
• EPS (TTM): -0.72
• Shares Outstanding: 115,053,116
• 10 Day Avg. Volume: 406,604
• 30 Day Avg. Volume: 313,341
• PEG Ratio: 0.02
• Price to Book (P/B): 0.68
• Price to Sales (P/S): 0.27
• P/FCF Ratio: -12.58
• Enterprise Value/Market Cap: 1.92
• Enterprise Value/Revenue: 0.61
• Enterprise Value/Gross Profit: 5.30
• Enterprise Value/Ebitda: 29.69
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 0.07
• Revenue Forecast (FY): $1.90B

• Rating: 46 Neutral
• Price Target: $5.50 ▲(6.59% Upside)
• Action: Reiterated Date: 03/10/26
• Date: Action: Reiterated 03/10/26

The score is primarily weighed down by weak and volatile financial performance, including a 2025 swing to a net loss and materially worse cash flow, alongside rising leverage. Technical signals also point to weak momentum. The dividend yield and a smooth CEO transition provide partial offsets but are not enough to overcome the recent deterioration.

Positive Factors

Leading global TiO2 producer (scale & market position)

Kronos's position as a leading global TiO2 producer provides durable advantages: scale, established customer relationships and broad geographic reach. These attributes support procurement leverage, distribution efficiency and resilience through industry cycles, aiding long-term competitiveness.

Product breadth, long-term contracts and partnerships

The firm supplies both standard and specialty TiO2 grades and cites long-term contracts plus strategic partnerships. Specialty products and contract-backed volumes create more predictable revenue and higher switching costs versus spot sales, supporting steadier cash flow across cycles.

Orderly CEO succession and maintained dividend policy

An internal CEO appointment preserves institutional knowledge and lowers transition risk, while continuing the $0.05 quarterly dividend signals management commitment to shareholder returns and confidence in multi‑period cash generation capacity despite recent headwinds.

Negative Factors

Highly cyclical, volatile earnings performance

The company's earnings are materially cyclical: a sharp 2025 revenue drop and swing to a net loss highlight volatility. Such pattern undermines predictability of profits and planning, increases exposure to end‑market downturns, and complicates consistent reinvestment and returns.

Weakened cash generation; negative free cash flow

Operating cash flow collapsed and free cash flow was about -$40M in 2025. Recurrent negative FCF during downturns limits internal funding for capex, working capital or dividends, forcing reliance on external financing and reducing financial resilience over medium term.

Rising leverage and declining equity base

Debt-to-equity increased and equity fell following the 2025 loss. Higher leverage reduces financial flexibility, raises interest burden and magnifies downside risk in weak cycles, constraining the firm's ability to fund growth or absorb further demand shocks long term.

Kronos Worldwide Business Overview & Revenue Model

Company Description

Kronos Worldwide, Inc. produces and markets titanium dioxide pigments (TiO2) in Europe, North America, the Asia Pacific, and internationally. The company produces TiO2 in two crystalline forms, rutile and anatase to impart whiteness, brightness, opacity, and durability for various products, including paints, coatings, plastics, paper, fibers, and ceramics, as well as for various specialty products, such as inks, foods, and cosmetics. It also produces ilmenite, a raw material used directly as a feedstock by sulfate-process TiO2 plants; iron-based chemicals, which are used as treatment and conditioning agents for industrial effluents and municipal wastewater, as well as in the manufacture of iron pigments, cement, and agricultural products; specialty chemicals for use in the formulation of pearlescent pigments, and production of electroceramic capacitors for cell phones and other electronic devices, as well as for use in pearlescent pigments, natural gas pipe, and other specialty applications. In addition, the company provides technical services for its products. It sells its products under the KRONOS brand through agents and distributors to paint, plastics, decorative laminate, and paper manufacturers. The company was founded in 1916 and is headquartered in Dallas, Texas. Kronos Worldwide, Inc. operates as a subsidiary of Valhi, Inc.

How the Company Makes Money

Kronos Worldwide generates revenue primarily through the production and sale of titanium dioxide pigment. The company's revenue model is heavily reliant on the volume of TiO2 sold and the pricing dynamics of the commodity market. Key revenue streams include sales to manufacturers in the coatings, plastics, and paper industries, with a significant focus on both domestic and international markets. Additionally, Kronos benefits from long-term contracts with major clients, which provide a stable income source. The company also engages in strategic partnerships and joint ventures that enhance its production capabilities and market reach, contributing further to its earnings. Fluctuations in raw material costs, particularly for feedstocks like ilmenite and rutile, as well as changes in demand across various sectors, are significant factors that influence its revenue and profitability.

Kronos Worldwide Financial Statement Overview

Summary

Financial results are highly cyclical and recently weakened sharply: 2025 revenue fell ~26% YoY with a swing to a sizable net loss (net margin ~-6%) and weaker gross margin (~11% vs ~19% in 2024). Cash generation deteriorated materially (operating cash flow ~$2.5M; free cash flow about -$40M). The balance sheet remains manageable but leverage is rising (debt-to-equity ~0.76 vs ~0.65) and equity declined, increasing risk in downcycles.

Income Statement

Results have been volatile. After a profitable 2024 (about $1.89B revenue with ~4.6% net margin), performance deteriorated sharply in 2025 with revenue down ~26% year over year and a swing to a sizable net loss (net margin ~-6.0%) alongside weaker gross margin (~11% vs ~19% in 2024). Longer-term trends also show cyclicality, with losses in 2023 followed by recovery in 2024, then another downturn in 2025—limiting confidence in earnings stability.

Balance Sheet

Leverage appears manageable but is moving in the wrong direction. Debt-to-equity rose to ~0.76 in 2025 from ~0.65 in 2024, while equity declined—consistent with the 2025 loss (return on equity ~-14.8%). That said, prior profitable years (2020–2022 and 2024) indicate the company can generate adequate returns in stronger cycles, and leverage is not extreme for the sector based on the provided debt-to-equity levels.

Cash Flow

Cash generation weakened materially in 2025. Operating cash flow fell to ~$2.5M and free cash flow turned more negative (about -$40M), following negative free cash flow in 2023 as well. In contrast, 2021–2022 and 2024 showed solid positive operating and free cash flow, but the recent pattern suggests elevated cash flow risk during downcycles and reduced internal funding capacity.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.86B	1.89B	1.67B	1.93B	1.94B
Gross Profit	213.00M	359.30M	164.90M	391.10M	446.20M
EBITDA	33.20M	256.90M	-2.70M	207.00M	230.90M
Net Income	-110.90M	86.20M	-49.10M	104.50M	112.90M
Balance Sheet
Total Assets	1.82B	1.91B	1.84B	1.93B	2.01B
Cash, Cash Equivalents and Short-Term Investments	37.00M	106.70M	194.70M	327.80M	406.00M
Total Debt	577.30M	528.00M	463.40M	446.40M	470.70M
Total Liabilities	1.07B	1.10B	1.03B	977.20M	1.14B
Stockholders Equity	751.10M	817.00M	808.30M	957.20M	870.20M
Cash Flow
Free Cash Flow	-40.40M	43.00M	-41.90M	18.50M	147.90M
Operating Cash Flow	2.50M	72.50M	5.50M	81.70M	206.50M
Investing Cash Flow	-42.90M	-186.30M	-47.40M	-63.10M	-58.60M
Financing Cash Flow	-36.30M	26.50M	-91.60M	-91.50M	-86.70M

Kronos Worldwide Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 5.16
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

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 5.16 is below the 20-day moving average (MA) of 5.62, below the 50-day MA of 5.56, and below the 200-day MA of 5.48, indicating a bearish trend. The MACD of -0.17 indicates Positive momentum. The RSI at 40.61 is Neutral, neither overbought nor oversold. The STOCH value of 20.81 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KRO.

Kronos Worldwide Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IOSP	73 Outperform	$1.69B	16.33	9.01%	2.19%	-4.49%	-100.80%
SXT	65 Neutral	$3.76B	29.50	11.63%	1.70%	4.25%	56.51%
MTX	63 Neutral	$2.15B	12.77	-1.11%	0.74%	-2.53%	-100.23%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
AVNT	59 Neutral	$3.15B	34.90	3.48%	3.48%	1.03%	-24.57%
CC	51 Neutral	$2.65B	-4.59	-113.20%	4.37%	2.12%	-579.74%
KRO	46 Neutral	$587.92M	-4.58	-13.65%	4.39%	<0.01%	-143.88%

Kronos Worldwide Corporate Events

Kronos Worldwide Announces CEO Transition and Dividend Declaration

Kronos Worldwide, Inc., a major international producer of titanium dioxide products, operates in the chemicals sector supplying key pigment materials to global coatings, plastics and paper manufacturers. Its market position depends heavily on industrial demand cycles and long-term relationships with large downstream customers.

On February 20, 2026, chief executive officer and director James M. Buch notified Kronos Worldwide that he will retire from both roles effective February 27, 2026, and will also retire the same day as an officer of parent company Contran Corporation. Following his notice, the board elected long-time executive Brian W. Christian, currently president and a veteran of multiple senior roles at Kronos and Contran, to assume the positions of director, president and chief executive officer on February 27, 2026, ensuring leadership continuity under the existing intercorporate services framework.

In a separate move underscoring its ongoing capital return policy, Kronos Worldwide announced on February 25, 2026 that its board declared a regular quarterly dividend of $0.05 per share on common stock, payable on March 19, 2026 to shareholders of record as of March 10, 2026. The dividend decision signals continued willingness to distribute cash to investors despite the leadership transition and reflects confidence in the company’s financial position.

The most recent analyst rating on (KRO) stock is a Hold with a $5.00 price target. To see the full list of analyst forecasts on Kronos Worldwide stock, see the KRO Stock Forecast page.