11 Best Small Cap Chemical Stocks to Buy According to Hedge Funds

3. Tronox Holdings plc (NYSE:TROX)

Market Capitalization: $1.9 Billion

Number of Hedge Fund Holders: 24

Tronox Holdings plc (NYSE:TROX) is an American chemical company and a major player in the titanium products sector, specializing in the mining and processing of titanium ore and zircon. The company produces titanium dioxide pigment, specialty titanium products, and high-purity titanium chemicals. These products are essential for enhancing brightness and durability in a wide range of applications, including paints, coatings, and plastics.

In the third quarter of 2024, Tronox Holdings plc (NYSE:TROX) reported strong financial performance with revenues reaching $804 million, marking a 21% increase from the previous year. This growth was largely driven by higher sales volumes of titanium dioxide and zircon. Additionally, the company invested $101 million in capital expenditures during the quarter, focusing on expanding mining operations in South Africa.

Tronox Holdings plc’s (NYSE:TROX) adjusted EBITDA for the quarter was $143 million, reflecting a 23% increase due to improved sales and production efficiencies. Tronox Holdings plc (NYSE:TROX) has also returned $61 million to shareholders through dividends in the first nine months of 2024, demonstrating its commitment to shareholder value.

Looking ahead, Tronox Holdings plc (NYSE:TROX) plans to invest approximately $130 million in its South African mining projects to maintain a competitive edge in feedstock production. The company is also committed to innovation through ongoing research and development efforts and also exploring opportunities in the rare earth market. TROX ranks among the best chemical stocks to buy. With its solid financial results, strategic investments, and focus on innovation, Tronox Holdings plc (NYSE:TROX) presents a compelling investment opportunity.