Tronox (NYSE:TROX) Releases Earnings Results, Misses Expectations By $0.13 EPS

Key Points

• Tronox reported a quarterly loss of $0.51 per share, missing analyst expectations by $0.13. Revenue increased 18.7% year over year, but the company posted a negative net margin and return on equity.
• The stock fell to $5.89, near its 12-month low, while leverage remained elevated with a debt-to-equity ratio of 2.36. Analysts’ consensus rating was “Reduce,” with an average price target of $6.79.
• Tronox declared a quarterly dividend of $0.05 per share, equivalent to $0.20 annually and a 3.4% yield. Institutional investors and hedge funds collectively own 73.36% of the company.

Tronox (NYSE:TROX - Get Free Report) issued its quarterly earnings data on Wednesday. The company reported ($0.51) earnings per share for the quarter, missing the consensus estimate of ($0.38) by ($0.13), Zacks reports. Tronox had a negative net margin of 15.82% and a negative return on equity of 19.93%. The company's revenue for the quarter was up 18.7% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.28) earnings per share.

Tronox Price Performance

Tronox stock traded down $0.05 during midday trading on Wednesday, hitting $5.89. The company's stock had a trading volume of 4,586,492 shares, compared to its average volume of 3,352,622. The company has a quick ratio of 0.66, a current ratio of 2.42 and a debt-to-equity ratio of 2.36. The stock's 50-day moving average price is $6.79 and its 200-day moving average price is $7.55. Tronox has a 12 month low of $2.86 and a 12 month high of $10.59. The company has a market capitalization of $939.41 million, a PE ratio of -2.02 and a beta of 0.82.

Tronox Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 9th. Investors of record on Monday, August 10th will be issued a dividend of $0.05 per share. This represents a $0.20 dividend on an annualized basis and a yield of 3.4%. The ex-dividend date of this dividend is Monday, August 10th. Tronox's payout ratio is presently -6.85%.

Hedge Funds Weigh In On Tronox

Several hedge funds have recently made changes to their positions in TROX. PNC Financial Services Group Inc. lifted its stake in Tronox by 292.2% during the fourth quarter. PNC Financial Services Group Inc. now owns 8,715 shares of the company's stock valued at $36,000 after purchasing an additional 6,493 shares during the last quarter. Caitong International Asset Management Co. Ltd acquired a new position in Tronox in the third quarter worth approximately $37,000. Headlands Technologies LLC bought a new position in shares of Tronox in the second quarter valued at $38,000. Aigen Investment Management LP bought a new position in shares of Tronox in the fourth quarter valued at $43,000. Finally, Vise Technologies Inc. acquired a new stake in shares of Tronox during the 4th quarter valued at $47,000. Institutional investors and hedge funds own 73.36% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have commented on the stock. Deutsche Bank Aktiengesellschaft set a $10.00 price target on shares of Tronox in a research note on Wednesday, May 20th. The Goldman Sachs Group decreased their price objective on Tronox from $9.00 to $6.50 and set a "sell" rating for the company in a report on Wednesday, July 22nd. Truist Financial upgraded Tronox from a "sell" rating to a "hold" rating and set a $7.00 target price on the stock in a research report on Thursday, June 11th. UBS Group lifted their target price on Tronox from $7.50 to $9.00 and gave the company a "neutral" rating in a research note on Thursday, April 9th. Finally, Weiss Ratings lowered Tronox from a "sell (d)" rating to a "sell (d-)" rating in a research report on Monday, May 11th. Two research analysts have rated the stock with a Buy rating, six have issued a Hold rating and three have given a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Reduce" and a consensus price target of $6.79.

About Tronox

Tronox Holdings plc is a vertically integrated global producer of titanium dioxide (TiO₂) pigment and specialty materials. The company's operations encompass the full supply chain for TiO₂, from mining and processing titanium-bearing ores—such as ilmenite and rutile—to the production of high-purity pigment for use in paints, coatings, plastics, paper and other industrial applications. In addition to TiO₂, Tronox's product portfolio includes zircon, rare earth byproducts and other specialty minerals that serve a range of industrial markets.

Tronox operates a network of mines, processing facilities and pigment plants located across North America, Europe, the Middle East, Australia and South Africa.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source