Replies to post #5897 on Tronox Inc. (TROX)

[mr_herzog]

I have to admit, if you use KRO as a comp, it's hard to get a $782 million market cap for Tronox. Can KRO's market cap be nearly three times Tronox's? KRO is thinly traded but the recent capital raise confirmed current valuation.

One could argue that KRO is considerably overvalued but a comp is a comp.

Tronox has some nice qualitative factors as well: clean of environmental issues, Asian proximity, etc...

[thewind]

How does the FCF change the estimated PPS and EV? Could you show the equation please?


your knowns are here with 1.3b ev in the plan. They say high end, but come on....

slight growth say 11 percent puts you into the strike price.

Kronos IS the closest comp with 180 percent growth in 6 months.
yes KRO makes more, but they have a inferior process and dont have the same distribution.

they went up almost 7 percent on Friday and have been making a new high about once a month for the past 6


Are they using the numbers "Stresstest" put up here to come up with the EV of 1.3b?

If so I say we are set for a rocket ride.

The shares also seem low...any thoughts on the reason to cut by a third?

if anyone could help much appreciated