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Here's Why You Should Buy Kronos Worldwide Stock Right Now

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Key Takeaways

  • Kronos' TiO2 sales volumes rose 10% year over year in the first half of 2026.
  • Kronos lifted gross margin to 18% as restructuring, pricing and lower-cost inventory aided results.
  • EBITDA rose to $52.9 million, while operating cash flow improved to $2 million in the first half.

Kronos Worldwide, Inc.(KRO - Free Report) is benefiting from stronger titanium dioxide (TiO2) volumes, market share gains and improved pricing, supporting revenue growth. Restructuring savings, higher margins and improving cash flow further strengthen its recovery and long-term growth outlook. 

The company’s shares have gained 36.6% over a year compared with the industry’s 1.7% fall.

Zacks Investment ResearchImage Source: Zacks Investment Research

Let’s find out why KRO stock is worth buying at the moment. 

Kronos' TiO2 Demand and Market Share Gains Drive Growth

Kronos expects long-term TiO2 demand to grow 2-3% annually, supporting its exposure to coatings, plastics and other industrial applications. In the first six months of 2026, TiO2 sales volumes rose 10% year over year as the company gained share across all major markets amid changing competitive and supply conditions and anti-dumping duties in certain markets. Management expects full-year 2026 net sales to exceed 2025 levels. The volume gains and sales outlook support the company's long-term growth case.

Kronos benefits from established customer relationships and a broad international footprint across coatings, plastics and industrial end markets. In the first half of 2026, the company gained market share across all major markets, particularly Europe. Management continues to pursue targeted sales opportunities where changing supply conditions, logistics constraints and trade measures have reduced the competitiveness of certain imports, supporting customer-base expansion. 

Kronos' Restructuring and Pricing Gains Lift Margins  

The fourth-quarter 2025 restructuring is lowering production and unabsorbed fixed costs. Second-quarter 2026 gross margin rose to 18% from 13% a year earlier, while segment profit climbed to $41 million from $10.9 million. Management expects gross margin and operating income margins to exceed 2025 levels as lower-cost inventory and pricing contribute. 

KRO’s Improving Pricing and Cash Flow Strengthen the Recovery

Kronos is seeing improvement not only in volumes but also in pricing and cash generation. Average TiO2 selling prices increased 4% during the first six months of 2026, while the company implemented additional price increases and surcharges during the second quarter to offset higher operating costs. EBITDA rose to $52.9 million in the second quarter from $22.2 million a year earlier, while operating cash flow improved to $2 million in the first half of 2026 from cash usage of $81.7 million in the prior-year period. Inventory also declined to $498.3 million from $628.6 million at the end of 2025. 

Kronos Worldwide Inc Price and Consensus

KRO's Zacks Rank & Other Key Picks

KRO currently carries a Zacks Rank #2 (Buy). 

Other top-ranked stocks in the Basic Materials space include Intrepid Potash, Inc. (IPI - Free Report) , Innospec Inc. (IOSP - Free Report) and Avient Corporation (AVNT - Free Report) . IPI currently carries a Zacks Rank #1 (Strong Buy), while IOSP and AVNT carry a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here

The Zacks Consensus Estimate for IPI’s current-year earnings stands at $1.86 per share, implying a 29.2% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in three of the trailing four quarters and missed once, with the average surprise being 37.4%.

The Zacks Consensus Estimate for IOSP’s current-year earnings has increased by 3.9% over the past 60 days. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 12.9%.

The Zacks Consensus Estimate for AVNT’s current-year earnings is pegged at $3.2 per share, indicating a 13.5% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with the average surprise being 3.4%. 

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