Valhi, Inc. Experiences Revision in Its Stock Evaluation Amidst Competitive Market Dynamics

Valhi, Inc., a microcap player in the specialty chemicals sector, has recently undergone a valuation adjustment. The company currently exhibits a P/E ratio of 2, alongside a price-to-book value of 0.40. Its enterprise value to EBITDA stands at 2.83, while the EV to EBIT is recorded at 3.73. Notably, Valhi boasts a remarkable dividend yield of 211.95%, with a return on capital employed (ROCE) of 15.03% and a return on equity (ROE) of 16.41%.
In comparison to its peers, Valhi's valuation metrics present a mixed picture. For instance, Westlake Chemical Partners LP shows a P/E ratio of 2.42, while Kronos Worldwide, Inc. stands out with a significantly higher P/E of 10.01. TETRA Technologies, Inc. and Advansix, Inc. also demonstrate attractive valuations with P/E ratios of 5.29 and 8.36, respectively.

Despite the recent valuation adjustment, Valhi's performance indicators reflect a challenging landscape, particularly when compared to the S&P 500, where the company has experienced a notable decline over various time frames. This context highlights the competitive dynamics within the specialty chemicals industry.