ValueSlant Posted September 28, 2011 Share Posted September 28, 2011 From intro to my writeup on KRO Kronos Worldwide (KRO) offers a timely investment opportunity in an oligopoly industry experiencing extremely favorable pricing dynamics for the foreseeable future. A structural supply/demand imbalance in the industry should lead to quickly growing margins, earnings, and cash flow for at least the next several years. KRO currently trades at just 3.9X my estimate of 2011 EBITDA, while comps in the chemicals space trade between 6-8X. In my 2012 base scenario EBITDA and earnings will rise another ~50%. At the current share price KRO offers over 100% upside potential in the next 18 months. Rest of it here: http://valueslant.com/2011/09/27/kronos-worldwide-kro-strength-titanium/ TiO2 industry has some very positive things going own and seems like market is overlooking it. TROX also seems very interesting in light of recent deal. Link to comment Share on other sites More sharing options...
beerbaron Posted September 28, 2011 Share Posted September 28, 2011 Good analisys. I'll try to digest all this over the weekend and maybe come back with some questions. BeerBaron Link to comment Share on other sites More sharing options...
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