olivLaw · US equity research
Valhi, Inc. VHI
Industrial Inorganic Chemicals · SIC 2810 · Vertical: Industrial Inorganic Chemicals (SIC 2810)
Valhi is a holding company whose main engine is Kronos, a global producer of titanium dioxide, a white pigment used in paints, plastics and paper. In the second quarter of 2026 the chemicals segment recovered visibly, with net sales of 558.1 million USD, after a weak 2025 market.
At the close of 04 Nov 2026, Valhi, Inc. (VHI) stock was 15.21 USD (+4.11% on the day), with market capitalisation 430.8 m USD, dividend yield 2.10%, beta 0.85, 52-week range 11.55–18.69 USD. Latest reported quarter (Q2 2026): revenue of 606.1 m USD (+12.2% YoY), net income of 22.3 m USD (+2,377.8% YoY), diluted EPS 0.78 USD.
Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.
Price history
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Technical reading
- RSI (14)
- 55.5
- strong (55–70)
- Bollinger (20, 2)
- 13.75 – 15.03
- above the upper band · %B 1.14 · band width 8.9%
- SMA 50 / 200
- 15.90 / 14.75
- mixed trend
- MACD (12, 26, 9)
- -0.26 / -0.43
- MACD above signal
Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).
Performance
| Company | S&P 500 | vs S&P 500 | Vertical median | |
|---|---|---|---|---|
| 1 month | +3.1% | −1.1% | +4.2 pp | — |
| 3 months | +5.5% | −0.5% | +5.9 pp | — |
| 6 months | +3.4% | +4.4% | −1.0 pp | — |
| Year to date | +26.2% | +12.3% | +13.9 pp | — |
| 1 year | +20.6% | +13.5% | +7.1 pp | +22.1% |
| 3 years | +31.2% | +76.4% | −45.2 pp | +24.2% |
| 5 years | −38.4% | +63.7% | −102.1 pp | — |
Price returns, dividends excluded.
Quarterly results
Latest quarter: Q2 2026 · 30 Jun 2026
Quarterly margins
Quarterly statements · USD
| Fiscal year | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 533.6 m | 480.9 m | 538.6 m | 540.4 m | 503.5 m | 494.5 m | 560.1 m | 606.1 m |
| Cost of revenue | 417.3 m | 380.3 m | 416.1 m | 462.3 m | 442.9 m | 460.3 m | 457.1 m | 486.0 m |
| Gross profit | 116.3 m | 100.6 m | 122.5 m | 78.1 m | 60.6 m | 34.2 m | 103.0 m | 120.1 m |
| SG&A | 74.2 m | 38.5 m | 78.5 m | 79.2 m | 77.6 m | 77.0 m | 77.5 m | 78.8 m |
| Operating income | 67.7 m | 56.7 m | 50.1 m | 35.5 m | 8.6 m | -30.9 m | 32.9 m | 67.7 m |
| Depreciation & amortisation | 18.8 m | 15.5 m | 15.4 m | 16.5 m | 17.1 m | 17.4 m | 16.9 m | 17.1 m |
| Interest expense | 13.4 m | 13.3 m | 13.2 m | 13.8 m | 14.9 m | 15.2 m | 14.7 m | 14.7 m |
| Pre-tax income | 119.9 m | 68.7 m | 30.8 m | 15.5 m | -7.6 m | -81.7 m | 14.1 m | 47.3 m |
| Income tax | 34.3 m | 36.3 m | 8.0 m | 8.0 m | 14.3 m | -18.4 m | 6.3 m | 11.8 m |
| Net income | 57.5 m | 22.8 m | 16.9 m | 900.0 k | -22.2 m | -53.2 m | 2.0 m | 22.3 m |
| Diluted EPS | 2.01 | — | 0.59 | 0.03 | -0.78 | — | 0.07 | 0.78 |
| Operating cash flow | 13.5 m ≈ | 45.8 m | -155.9 m | 21.7 m ≈ | -1.9 m ≈ | 100.6 m | -46.1 m | 59.1 m ≈ |
| Capex | 9.6 m ≈ | 12.5 m | 12.8 m | 12.6 m ≈ | 10.4 m ≈ | 10.8 m | 10.6 m | 17.2 m ≈ |
| Dividends paid | 2.3 m ≈ | 2.3 m | 2.3 m | 2.2 m ≈ | 2.3 m ≈ | 2.3 m | 2.3 m | 2.2 m ≈ |
| Share repurchases | 0 ≈ | — | — | — | — | — | — | — |
≈ derived quarter (cumulative difference / share-days average)
E/P over time
E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.
Fiscal years
| Fiscal year | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 1.8 bn | 1.9 bn | 1.8 bn | 2.3 bn | 2.2 bn | 1.9 bn | 2.1 bn | 2.1 bn |
| Revenue YoY | −3.2% | +4.3% | −2.5% | +24.1% | −3.2% | −13.5% | +9.5% | −1.3% |
| Net income | 262.2 m | 49.2 m | 55.2 m | 127.2 m | 87.2 m | -9.9 m | 108.0 m | -57.6 m |
| Net income YoY | +26.4% | −81.2% | +12.2% | +130.4% | −31.4% | −111.4% | unavailable | −153.3% |
| Diluted EPS | unavailable | 1.73 | 1.94 | 4.46 | 3.06 | -0.35 | 3.79 | -2.02 |
| Diluted EPS YoY | unavailable | unavailable | +12.1% | +129.9% | −31.4% | −111.4% | unavailable | −153.3% |
| net % | 14.4% | 2.6% | 3.0% | 5.5% | 3.9% | -0.5% | 5.1% | -2.8% |
| Free cash flow | 104.1 m | 117.3 m | 86.7 m | 395.6 m | -32.7 m | -44.6 m | 13.1 m | -82.1 m |
Reported results vs expectations
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Balance sheet & financial health
Fiscal year 2025 · 31 Dec 2025
- Cash
- 214.0 m USD
- Financial debt
- 800.0 k USD
- Net debt
- -213.2 m USD
- Equity
- 1.4 bn USD
- Total assets
- 2.6 bn USD
- Debt / equity
- 0.00x
- Current ratio
- 2.80x
- ROE
- -4.2%
- ROA
- -2.1%
- FCF margin
- -4.0%
Financial statements (source on every figure)
Revenue and net income (USD)
Margins
Income statement · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Revenue | 1.8 bn | 2.3 bn | 2.2 bn | 1.9 bn | 2.1 bn | 2.1 bn | SEC (XBRL)· 10 Mar 2026verified |
| Cost of revenue | 1.4 bn | 1.7 bn | 1.7 bn | 1.7 bn | 1.7 bn | 1.8 bn | SEC (XBRL)· 10 Mar 2026verified |
| Gross profit | 412.1 m | 580.2 m | 490.4 m | 245.2 m | 424.5 m | 295.4 m | SEC (XBRL)· 10 Mar 2026verified |
| Research & development | 16.0 m | 17.0 m | 16.0 m | 18.0 m | 14.0 m | 17.0 m | SEC (XBRL)· 10 Mar 2026verified |
| SG&A | 283.6 m | 311.9 m | 304.0 m | 277.4 m | 256.2 m | 312.3 m | SEC (XBRL)· 10 Mar 2026verified |
| Operating income | 186.1 m | 318.6 m | 239.4 m | 34.2 m | 210.7 m | 63.3 m | SEC (XBRL)· 10 Mar 2026verified |
| Depreciation & amortisation | 68.5 m | 59.3 m | 58.5 m | 54.1 m | 66.7 m | 66.4 m | SEC (XBRL)· 10 Mar 2026verified |
| EBITDA | 254.6 m ≈ | 377.9 m ≈ | 297.9 m ≈ | 88.3 m ≈ | 277.4 m ≈ | 129.7 m ≈ | SEC (XBRL)· 10 Mar 2026derived |
| Interest expense | 36.2 m | 32.5 m | 27.9 m | 28.3 m | 49.9 m | 57.1 m | SEC (XBRL)· 10 Mar 2026verified |
| Pre-tax income | 100.6 m | 257.8 m | 169.9 m | -19.5 m | 244.2 m | -43.0 m | SEC (XBRL)· 10 Mar 2026verified |
| Income tax | 15.9 m | 60.1 m | 36.8 m | -24.6 m | 82.9 m | 11.9 m | SEC (XBRL)· 10 Mar 2026verified |
| Net income | 55.2 m | 127.2 m | 87.2 m | -9.9 m | 108.0 m | -57.6 m | SEC (XBRL)· 10 Mar 2026verified |
| Diluted EPS | 1.94 | 4.46 | 3.06 | -0.35 | 3.79 | -2.02 | SEC (XBRL)· 10 Mar 2026verified |
| Weighted average diluted shares | 28.5 m | 28.5 m | 29 | 29 | 29 | 29 | SEC (XBRL)· 10 Mar 2026verified |
| Dividend per share | 0.48 | 0.32 | 0.32 | 0.32 | 0.32 | 0.32 | SEC (XBRL)· 10 Mar 2026verified |
≈ computed by olivLaw from the reported lines of the same year: Operating income + Depreciation & amortisation.
Balance sheet · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Cash | 518.6 m | 698.4 m | 478.5 m | 407.0 m | 348.3 m | 214.0 m | SEC (XBRL)· 10 Mar 2026verified |
| Inventories | 538.2 m | 458.7 m | 640.8 m | 596.1 m | 685.8 m | 659.8 m | SEC (XBRL)· 10 Mar 2026verified |
| Current assets | 1.5 bn | 1.7 bn | 1.6 bn | 1.5 bn | 1.5 bn | 1.3 bn | SEC (XBRL)· 10 Mar 2026verified |
| Property, plant & equipment, net | 590.4 m | 563.6 m | 523.8 m | 517.3 m | 723.4 m | 751.6 m | SEC (XBRL)· 10 Mar 2026verified |
| Goodwill | 379.7 m | 379.7 m | 379.7 m | 379.7 m | 382.3 m | 382.3 m | SEC (XBRL)· 10 Mar 2026verified |
| Total assets | 2.9 bn | 3.0 bn | 2.8 bn | 2.7 bn | 2.8 bn | 2.6 bn | SEC (XBRL)· 10 Mar 2026verified |
| Accounts payable | 117.6 m | 152.7 m | 199.4 m | 228.5 m | 250.0 m | 231.3 m | SEC (XBRL)· 10 Mar 2026verified |
| Short-term debt | 2.4 m | 3.1 m | 1.8 m | 700.0 k | 79.0 m | 800.0 k | SEC (XBRL)· 10 Mar 2026verified |
| Current liabilities | 318.1 m | 463.5 m | 492.8 m | 507.1 m | 643.8 m | 449.3 m | SEC (XBRL)· 10 Mar 2026verified |
| Equity | 1.0 bn | 1.2 bn | 1.3 bn | 1.3 bn | 1.4 bn | 1.4 bn | SEC (XBRL)· 10 Mar 2026verified |
Cash flow · USD
| Line | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | Source (latest year) |
|---|---|---|---|---|---|---|---|
| Operating cash flow | 152.2 m | 459.7 m | 34.9 m | 3.9 m | 44.0 m | -35.5 m | SEC (XBRL)· 10 Mar 2026verified |
| Capex | 65.5 m | 64.1 m | 67.6 m | 48.5 m | 30.9 m | 46.6 m | SEC (XBRL)· 10 Mar 2026verified |
| Free cash flow | 86.7 m ≈ | 395.6 m ≈ | -32.7 m ≈ | -44.6 m ≈ | 13.1 m ≈ | -82.1 m ≈ | SEC (XBRL)· 10 Mar 2026derived |
| Investing cash flow | -57.0 m | -37.4 m | -146.7 m | -29.0 m | -125.0 m | -47.8 m | SEC (XBRL)· 10 Mar 2026verified |
| Financing cash flow | -122.5 m | -189.1 m | -114.0 m | -75.9 m | -2.3 m | -71.1 m | SEC (XBRL)· 10 Mar 2026verified |
| Dividends paid | 13.6 m | 9.0 m | 9.0 m | 9.1 m | 9.1 m | 9.1 m | SEC (XBRL)· 10 Mar 2026verified |
| Share repurchases | 1.0 m | 1.5 m | 4.0 m | 2.9 m | — | — | SEC (XBRL)· 07 Mar 2024verified |
≈ computed by olivLaw from the reported lines of the same year: Operating cash flow − Capex.
Computed indicators
Growth
Profitability
Returns
Balance sheet
Liquidity
Cash
Efficiency
Market and valuation
Risk
Valuation
olivLaw classification
Score: 65 / 100
A scoring methodology on indicators and valuation, not investment advice.
Closing price
04 Nov 2026Source: olivLaw, closing series
Market cap: 430.8 m USD
Key indicators
Coverage and freshness
Score by group
- Valuation100
- Balance sheet70
- Quality54
- Growth0
- Returns58
Estimated value range
The combined range = the median of the valid methods' low, central and high values; it is not a probability interval and does not cover every result. Envelope of all methods: 4.21 – 93.83 USD.
Valuation assumptions are editorial choices, not measured; beta is not measured.
Method ranges (USD per share)
— — Mid · ▏ Price
Valuation methods
- DCF (discounted cash flow)52.20 – 75.12 (Mid 61.15)WACC 9.3% · starting FCFF 112.7 m USD · terminal value share of EV 72%The WACC × g sensitivity gives the method's bounds; these are not probabilities.Reverse DCF: no growth between −30% and +40% justifies the price
- Peers: EV/EBITDA42.06 – 93.83 (Mid 66.42)4 companies used · median multiple 11.4x · quartiles 6.7x – 16.7xLIN, LXFR, LXU, TROX
- Peers: P/Eunavailable · the base of the ratio is not positive
- Dividend discount (DDM)4.21 – 5.66 (Mid 4.82)
Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.
Assumptions (illustrative, editorial)
- Risk-free rate
- 4.3%
- Equity risk premium
- 5.0%
- Beta (default)
- 1.00
- Cost of equity
- 9.3%
- Terminal growth
- 2.5%
Factor scorecard
Neutral profile · Score 65/100
| Factor | Value | Score | Weight used |
|---|---|---|---|
| ROIC · Quality | 5.2% | 57 (vs peers) | 14% |
| Net margin · Quality | -2.4% | 50 (vs peers) | 8% |
| FCF conversion · Quality | unavailable | unavailable | — |
| Revenue CAGR 3Y · Growth | -2.2% | 0 (on a fixed band) | 11% |
| EPS CAGR 3Y · Growth | unavailable | unavailable | — |
| Net debt / EBITDA · Balance sheet | -1.4x | 100 (vs peers) | 14% |
| Interest coverage · Balance sheet | 1.3x | 0 (on a fixed band) | 8% |
| Current ratio · Balance sheet | 3.4x | 100 (on a fixed band) | 6% |
| P/E (TTM) · Valuation | unavailable | unavailable | — |
| EV/EBITDA · Valuation | 1.5x | 100 (vs peers) | 14% |
| FCF yield · Valuation | 14.6% | 100 (on a fixed band) | 11% |
| Shareholder yield (distributions) · Returns | 2.1% | 30 (on a fixed band) | 8% |
| Payout ratio (FCF) · Returns | 14.5% | 100 (on a fixed band) | 6% |
Factors without a value were dropped; the remaining weights were renormalised.
Score groups
- Balance sheet70/100 · 3/3 factors with a value
- Growth· partial0/100 · 1/2 factors with a value
- Quality54/100 · 2/3 factors with a value
- Returns58/100 · 2/2 factors with a value
- Valuation100/100 · 2/3 factors with a value
A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.
Memo
VALHI, INC. (VHI). Latest full fiscal year: 2025; data up to 2026-06-30.
Figures computed from the financial statements: revenue 2.1 bn USD in 2025; YoY growth -1.3%; net margin -2.4%; ROE -4.8%; net debt/EBITDA -1.4x.
The estimated value range is 42.06–75.12 USD per share (median of 3 methods, agreement: medium); assumptions are illustrative. Against the central value of 61.15 USD, the price of 15.21 USD leaves a potential of 302.0% (value / price − 1) and a margin of safety of 75.1% (1 − price / value). The range is the median of the methods' low, central and high values, not a probability interval.
olivLaw score 65/100, methodological classification: neutral profile (score, margin of safety and method agreement together; not a judgement of the right price). Groups assessed only in part: growth. Not investment advice.
Text generated deterministically from the figures shown; no language model. Not investment advice.
What supports the thesis
- Net debt / EBITDA: -1.4x
- Current ratio: 3.4x
- EV/EBITDA: 1.5x
- FCF yield: 14.6%
- Payout ratio (FCF): 14.5%
- The price is below the estimated value range
What contradicts it
- Revenue CAGR 3Y: -2.2%
- Interest coverage: 1.3x
Not assessed (insufficient data or a ratio without meaning): FCF conversion, EPS CAGR 3Y, P/E (TTM).
Versus the vertical median
Industrial Inorganic Chemicals (SIC 2810) · same industry (4-digit SIC) · compared with 9 companies
Multiples and returns vs the median
Price rebased to 100 (monthly, 5 years)
Companies in the vertical
| Market cap | P/E | ROE | Net margin | Revenue YoY | 1A / 3A | |
|---|---|---|---|---|---|---|
| LINLinde plc | 240.9 bn | 34.9 | 18.0% | 19.3% | +3.0% | +28% / +27% |
| APDAir Products And Chemicals, Inc. | 71.0 bn | — | -0.3% | -0.4% | −0.5% | +22% / +18% |
| MTXMinerals Technologies Inc. | 2.0 bn | — | -4.1% | -3.1% | −2.2% | +12% / +5% |
| KROKronos Worldwide, Inc. | 890.9 m | — | -13.7% | -5.6% | −1.5% | +53% / −11% |
| LXULSB Industries, Inc. | 766.1 m | 17.1 | 8.7% | 7.0% | +17.8% | +19% / +24% |
| TROXTronox Holdings PLC | 566.9 m | — | -39.1% | -18.0% | −5.7% | −14% / −72% |
| LXFRLuxfer Holdings PLC | 463.2 m | 76.3 | 2.7% | 1.7% | −1.9% | +38% / +110% |
| VHIValhi, Inc. | 430.8 m | — | -4.8% | -2.4% | −1.3% | +21% / +31% |
| NLNli Holdings, Inc. | 359.9 m | — | -6.7% | -15.8% | +8.5% | +30% / +44% |
| LTBRLightbridge Corporation | 172.9 m | — | -14.1% | — | unavailable | −73% / +39% |
1- and 3-year price returns: for VHI from daily closes (the same as the performance table), for the other companies from month-end closes.
olivLaw engine forecast
The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.
The engine has no published run for this company yet.
Valuation scenarios (editable assumptions)
Illustrative scenarios
Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.
Estimated price (USD)
| Estimated price | Bear | Base | Bull |
|---|---|---|---|
| 1 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 3 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
| 5 years | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable | insufficient data Total return unavailable · Per year unavailable |
AI analysis
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
In brief
Valhi is a holding company whose main engine is Kronos, a global producer of titanium dioxide, a white pigment used in paints, plastics and paper 1. In the second quarter of 2026 the chemicals segment recovered visibly, with net sales of 558.1 million USD 3, after a weak 2025 market 1.
SWOT
Strengths
- Kronos holds a strong position in the European and North American TiO2 markets, with market share rising in both regions 1.
- Diversification into security and marine components brings revenue that follows different cycles than pigments 1.
- The company implemented cost reduction initiatives in the fourth quarter of 2025 that improved the chemicals cost structure 3.
Weaknesses
- The chemicals segment depends heavily on one product, TiO2, which makes profitability sensitive to price cycles 1.
- Major component customers can negotiate better prices or reduce orders, and orders are not backed by long-term contracts 1.
- Results in 2025 included charges for restructuring, pension settlement and German tax adjustments, showing exposure to unexpected shocks 1.
Opportunities
- If the recovery in TiO2 prices is sustained, chemicals results could grow beyond what was seen in 2025 3.
- Rising demand in emerging economies could support long-term sales as living standards improve 1.
- Completing real estate development could release capital from remaining land if saleable parcels remain 1.
Risks
- Cyclical TiO2 pricinghigh
Chemicals margins depend on the balance of supply and demand, and a fall in demand can lead to operating losses 1.
- Chinese competitionhigh
Chinese producers with lower costs could push prices down in markets served by Kronos 1.
- Raw materials and energymedium
Availability and cost of titanium feedstock and energy can affect margins, and some contracts require minimum purchases 1.
- Major component customersmedium
Loss or reduction of orders from a major component customer could weigh on CompX sales 1.
- Litigation and environmental rulesmedium
Lead pigment and environmental proceedings linked to the former operations of NL Industries, along with new regulations, could generate unexpected costs 1.
Investment thesis
What would need to be true (bull case)
- If TiO2 price increases and capacity reductions hold, the chemicals segment could keep improving after a solid second quarter 3.
- Diversification into security and marine components provides a revenue stream that is relatively steady compared with pigments 1.
- Kronos' position in Europe and North America, with rising market shares, supports the case for an advantaged player in its key markets 1.
What would break the thesis
- The TiO2 market remains cyclical, and prices fell 10% by the end of 2025, showing how quickly results can change 1.
- Asian competition and pricing pressure could limit margin gains even if demand recovers 1.
- Dependence on a single product and on the exchange rate makes profitability sensitive to outside shocks 13.
What to watch
- Trend in average TiO2 prices and capacity utilization at Kronos plantsQ3 2026
- Effects of tariffs and trade policy on demand and costs2026
- Results of the real estate segment after Cadence development is completednext 10-Q
- Pace of cost reductions and restructuring results in the chemicals segmentnext 10-K
Products, market & competition
AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.
The business
Valhi, Inc. (NYSE: VHI) is primarily a holding company operating through wholly-owned and majority-owned subsidiaries, among them NL Industries, Kronos Worldwide, CompX International, Basic Management and The LandWell Company 1. The company has three reportable segments: chemicals, component products, and real estate management and development 1. In fiscal 2025 the chemicals segment generated 1859.4 million USD of net sales 1, while the rest of the business comprises CompX and real estate activities in Henderson, Nevada 1.
Segments
Component Products (CompX)
CompX manufactures security products for furniture, postal, transportation and tool storage markets, along with marine components made from stainless steel and aluminum 1. Sales are concentrated among large customers, with the ten largest accounting for about 52% of consolidated sales in 2025 1. Sales rose in the second quarter of 2026 compared with the prior year 3.
Market context
Demand for TiO2 is linked to global GDP and rising living standards, and consumption has grown at a compound annual rate of about 2-3% since 2000 1. The market is concentrated, with the top four producers accounting for about 42% of world capacity 1, and Chinese competition with lower costs and less stringent rules pressures prices 1. After capacity closures in 2025, Kronos' capacity utilization averaged 77% for the year 1.
Security and marine component markets are mature and highly competitive, with price as a key factor 1. Meanwhile, firmer demand in healthcare and transportation supported CompX sales in 2026 3.
Trends
- TiO2 price recoverymixed
Average TiO2 prices rose 4% in the first six months of 2026, after ending 2025 with prices 10% lower, and the company announced price increases and surcharges in the second quarter 3. If this trend holds, margins in the chemicals segment could keep improving 3. Competitive pressure nonetheless remains high 1.
- Capacity closures in Europetailwind
Producers reduced capacity, particularly in Europe, and closures in the fourth quarter of 2025 helped reduce inventories 1. The effect on market balance could continue if the reductions prove permanent 1.
- Trade uncertainty and tariffsheadwind
U.S. trade policy, tariffs and geopolitical tensions have weighed on demand and added uncertainty for customers in paint and plastics 1. Tariffs could also raise the cost of components imported for CompX 1.
Competitive position
Kronos competes with other global TiO2 producers, and Chinese competitors with lower operating costs can drive prices down 1. Competitors with vertically integrated raw materials or greater financial resources can better withstand periods of weak demand 1.
In components, competition comes from lower-cost producers in Asia and from rivals that can innovate faster 1. The company focuses on the middle and high end of the market, where design and durability matter 1.
- Chinese TiO2 producers
Chinese producers have large sulfate-process capacity and lower costs, and their exports have drawn anti-dumping duties in the European Union and other jurisdictions 1.
- Leading global TiO2 producers
The top four global producers control a significant share of capacity, and some may have greater resources than Kronos 1.
- Asian component manufacturers
Asian rivals can offer lower prices on security and marine components, forcing CompX to keep reducing its costs 1.
- Security component competitors
Several competitors offer similar products in mature markets, and consolidation among them or among customers could reduce demand 1.
Links, dependencies and risks
Who the company is tied to, from its own SEC filings (customers, suppliers, production, partners, competitors, countries, regulation), from the 5 %+ holders' statements (13D/13G) and from what other companies say about it. Click a node for its evidence; on a listed company the graph moves to it.
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News & filings
In the press
No news in our archive over the last 180 days.
SEC filings
- Current report06 Aug 2026Results of operations · Regulation FD disclosure · Financial statements and exhibits
- Quarterly report06 Aug 2026
- Current report22 Jun 2026Departure or appointment of officers
- Current report21 May 2026Departure or appointment of officers · Shareholder vote · Regulation FD disclosure · Financial statements and exhibits
- Current report07 May 2026Results of operations · Financial statements and exhibits
- Quarterly report07 May 2026
- Proxy statement01 Apr 2026
- Current report10 Mar 2026Results of operations · Financial statements and exhibits
- Annual report10 Mar 2026
- Current report05 Mar 2026Regulation FD disclosure · Financial statements and exhibits
Sources
- [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / Valhi, Inc. · 10 Mar 2026
- [2] Form 10-Q, quarter ended 2026-06-30 · SEC / Valhi, Inc. · 06 Aug 2026
- [3] Form 8-K, results release (exhibit 99.1) · SEC / Valhi, Inc. · 06 Aug 2026
Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.