Tronox Inc. (TROX)

[pinkyringcapital]

everett7 all I'm trying to say is KRO just did a share offering with the stated intent of buying TiO2 production facilities. The stock had a major run to 40 where the offering was priced. Their sales are going to go up with the additional capacity they buy. This is likely already priced into their stock. I figure KRO is trading about 10x current EBITDA. After the increase in production that multiple will probably drop. For Tronox, 7 times EBITDA is probably more reasonable. Plus, remember, the idustry is at the top of it's cycle right now. Look at the Tronox projections for a couple years out, EBITDA drops from about 195m to 155m.

Once the "when issued" stock starts trading we'll have a much better idea how the market will value Tronox that's for sure.