Kronos Worldwide, Inc.

KRO

Basic MaterialsChemicals - SpecialtyNYSE

$7.29

Market Cap: $838.74M

Kronos Worldwide, Inc. (KRO) Valuation Summary

Updated May 11, 2026 20:06

Model	Range	Fair Value	Upside
▸ Discounted Cash Flow
Revenue DCF 5Y	$1.73 – $32.39	$7.10	-2.5%
Revenue DCF 10Y	$0.21 – $27.26	$5.19	-28.8%
▸ Trading Multiples
EV/Revenue	$7.64 – $21.65	$10.44	+43.2%

Valuation History

DCF Analysis

Kronos Worldwide, Inc. (KRO) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$5.19

Market Price

$7.29

Upside / Downside

-28.8%

Verdict

Overvalued

Using a Revenue DCF model with operating margin convergence from -2.3% to a target of 13.1% over 5 years, discounted at a WACC of 9.1%, Kronos Worldwide, Inc. (KRO) has an intrinsic value of $5.19 per share (range: $0.21 – $27.26).

Key Assumptions

Current Operating Margin

-2.3%

Target Operating Margin

13.1%

WACC

9.1%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

2.6%

Target CapEx/Rev

6.0%

D&A/Revenue

3.2%

Tax Rate

30.3%

Operating margin fades linearly from the current level to the industry target over the 5-year projection. CapEx intensity fades from the historical average to a maintenance level (D&A × 1.5). Tax is only applied when operating income is positive (NOL shield).

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	2,024	8.8%	0.8%	17	12	65	(60)	547	-530	-508
2027	2,062	1.9%	3.9%	80	56	66	(68)	11	43	37
2028	2,205	6.9%	7.0%	154	107	70	(80)	43	55	44
2029	2,182	-1.1%	10.0%	219	153	70	(86)	-7	143	105
2030	2,159	-1.1%	13.1%	283	197	69	(93)	-7	180	122
2031	2,151	-0.4%	13.1%	282	197	69	(100)	-2	168	104
2032	2,157	0.3%	13.1%	283	197	69	(107)	2	157	89
2033	2,179	1.0%	13.1%	286	199	70	(116)	6	147	76
2034	2,215	1.7%	13.1%	290	202	71	(125)	11	137	65
2035	2,266	2.3%	13.1%	297	207	72	(136)	16	128	56

Enterprise Value Bridge

Sum of PV(FCFF)192

Terminal Value (Gordon Growth at 3.0%)2,162

PV of Terminal Value945

Enterprise Value1,137

(–) Net Debt540

Equity Value597

(÷) Shares Outstanding115

Fair Value per Share$5.19

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.1%	10.1%	13.1%	16.1%	19.1%
7.1%	$-3	$5	$12	$20	$27
8.1%	$-4	$2	$8	$14	$20
9.1%	$-5	$0	$5	$10	$15
10.1%	$-5	$-1	$3	$7	$12
11.1%	$-6	$-2	$2	$5	$9

Current price: $7.29. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.2% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Kronos Worldwide, Inc. (KRO) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$7.10

Market Price

$7.29

Upside / Downside

-2.5%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-2.3%

Target Operating Margin

13.1%

WACC

9.1%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

2.6%

Target CapEx/Rev

6.0%

D&A/Revenue

3.2%

Tax Rate

30.3%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	2,024	8.8%	0.8%	17	12	65	(66)	547	-537	-514
2027	2,062	1.9%	3.9%	80	56	66	(82)	11	29	25
2028	2,205	6.9%	7.0%	154	107	70	(102)	43	32	26
2029	2,182	-1.1%	10.0%	219	153	70	(116)	-7	113	84
2030	2,159	-1.1%	13.1%	283	197	69	(130)	-7	144	97

Enterprise Value Bridge

Sum of PV(FCFF)-283

Terminal Value (Gordon Growth at 3.0%)2,427

PV of Terminal Value1,640

Enterprise Value1,357

(–) Net Debt540

Equity Value817

(÷) Shares Outstanding115

Fair Value per Share$7.10

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.1%	10.1%	13.1%	16.1%	19.1%
7.1%	$-0	$8	$16	$24	$32
8.1%	$-2	$4	$11	$17	$24
9.1%	$-4	$2	$7	$12	$18
10.1%	$-5	$-0	$5	$9	$14
11.1%	$-5	$-1	$3	$7	$11

Current price: $7.29. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.2% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$10.44

Market Price

$7.29

Upside / Downside

+43.2%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Kronos Worldwide, Inc. (KRO) has a fair value of $10.44 based on 9 comparable companies in the Chemicals - Specialty industry.

EV/Revenue Valuation — Chemicals - Specialty

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Kronos Worldwide, Inc.KRO	838	0.7x	0.7x
Tronox Holdings plcTROX	1,343	1.6x	1.5x
Green Plains Inc.GPRE	1,270	0.8x	0.7x
LSB Industries, Inc.LXU	1,000	2.4x	2.1x
Cementos Pacasmayo S.A.A.CPAC	920	1.1x	1.1x
Koppers Holdings Inc.KOP	851	1.0x	0.9x
AdvanSix Inc.ASIX	546	0.6x	0.6x
Mativ Holdings, Inc.MATV	506	0.8x	0.8x
Gevo, Inc.GEVO	444	3.8x	3.3x
Valhi, Inc.VHI	412	0.4x	0.4x
Industry Median		1.0x	0.9x
(*) Revenue		1,859	1,928
= Enterprise Value		1,816	1,665
(-) Net Debt		540	540
Equity Value		1,275	1,125
(/) Outstanding shares		115	115
Fair Price		$11	$10

Selected Fair Value (avg of trailing + forward)

$10.44

+43.2%

Disclaimer: Sweet Value Lab provides estimated intrinsic values for informational purposes only. This is not financial advice. All models rely on assumptions that may not reflect future performance. Always do your own research before making investment decisions.

Model

Range

Fair Value

Upside

▸ Discounted Cash Flow

Revenue DCF 5Y

$1.73 – $32.39

$7.10

-2.5%

Revenue DCF 10Y

$0.21 – $27.26

$5.19

-28.8%

▸ Trading Multiples

EV/Revenue

$7.64 – $21.65

$10.44

+43.2%

DCF Analysis

Kronos Worldwide, Inc. (KRO) Revenue DCF (5Y)

REVENUE DCF FAIR VALUE

$5.19

Market Price

$7.29

Upside / Downside

-28.8%

Verdict

Overvalued

Key Assumptions

Current Operating Margin

-2.3%

Target Operating Margin

13.1%

WACC

9.1%

Terminal Growth Rate

3.0%

Historical CapEx/Rev

2.6%

Target CapEx/Rev

6.0%

D&A/Revenue

3.2%

Tax Rate

30.3%

Margin Convergence Projection

USD in millions. Mid-year discounting convention.

Year	Revenue	Growth	Op Margin	Op Income	NOPAT	D&A	CapEx	ΔNWC	FCFF	PV(FCFF)
2026	2,024	8.8%	0.8%	17	12	65	(60)	547	-530	-508
2027	2,062	1.9%	3.9%	80	56	66	(68)	11	43	37
2028	2,205	6.9%	7.0%	154	107	70	(80)	43	55	44
2029	2,182	-1.1%	10.0%	219	153	70	(86)	-7	143	105
2030	2,159	-1.1%	13.1%	283	197	69	(93)	-7	180	122
2031	2,151	-0.4%	13.1%	282	197	69	(100)	-2	168	104
2032	2,157	0.3%	13.1%	283	197	69	(107)	2	157	89
2033	2,179	1.0%	13.1%	286	199	70	(116)	6	147	76
2034	2,215	1.7%	13.1%	290	202	71	(125)	11	137	65
2035	2,266	2.3%	13.1%	297	207	72	(136)	16	128	56

Enterprise Value Bridge

Sum of PV(FCFF)192

Terminal Value (Gordon Growth at 3.0%)2,162

PV of Terminal Value945

Enterprise Value1,137

(–) Net Debt540

Equity Value597

(÷) Shares Outstanding115

Fair Value per Share$5.19

Sensitivity Analysis — WACC × Target Operating Margin

WACC \ Target Op. Margin	7.1%	10.1%	13.1%	16.1%	19.1%
7.1%	$-3	$5	$12	$20	$27
8.1%	$-4	$2	$8	$14	$20
9.1%	$-5	$0	$5	$10	$15
10.1%	$-5	$-1	$3	$7	$12
11.1%	$-6	$-2	$2	$5	$9

Current price: $7.29. Green = undervalued, Red = overvalued.

Working Capital Assumption

Net Working Capital is modeled at 30.2% of revenue (historical average of receivables + inventory − payables). Changes in NWC (ΔNWC) are computed year-over-year and subtracted from free cash flow.

Trading Multiples

Fair Value

$10.44

Market Price

$7.29

Upside / Downside

+43.2%

Verdict

Undervalued

Using the industry peer median EV/Revenue multiple (trailing + forward), Kronos Worldwide, Inc. (KRO) has a fair value of $10.44 based on 9 comparable companies in the Chemicals - Specialty industry.

EV/Revenue Valuation — Chemicals - Specialty

USD in millions except Fair Price. Subject company highlighted.

	Mkt Cap ($M)	Trailing EV/Revenue	Forward EV/Revenue
Kronos Worldwide, Inc.KRO	838	0.7x	0.7x
Tronox Holdings plcTROX	1,343	1.6x	1.5x
Green Plains Inc.GPRE	1,270	0.8x	0.7x
LSB Industries, Inc.LXU	1,000	2.4x	2.1x
Cementos Pacasmayo S.A.A.CPAC	920	1.1x	1.1x
Koppers Holdings Inc.KOP	851	1.0x	0.9x
AdvanSix Inc.ASIX	546	0.6x	0.6x
Mativ Holdings, Inc.MATV	506	0.8x	0.8x
Gevo, Inc.GEVO	444	3.8x	3.3x
Valhi, Inc.VHI	412	0.4x	0.4x
Industry Median		1.0x	0.9x
(*) Revenue		1,859	1,928
= Enterprise Value		1,816	1,665
(-) Net Debt		540	540
Equity Value		1,275	1,125
(/) Outstanding shares		115	115
Fair Price		$11	$10

Selected Fair Value (avg of trailing + forward)

$10.44

+43.2%