WLK stock: buy or sell?
September 20th, 2019
Westlake Chemical Corporation manufactures and markets basic chemicals, vinyls, polymers, and building products primarily in North America and Europe.
Should I buy WLK stock?Trading stocks requires experience and discipline, and your buying and selling decisions must come following a methodology. Following a trading plan helps to make decisions easier, quicker and with less hesitations. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
None of our preferred buy setups matches with Westlake Chemical stock situation right now, therefore this is not a suitable entry point.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Westlake Chemical stock a buy?
Financial institutions and banks post stock ratings everyday.At Stocks2.com, we detected 15 ratings published for WLK stock in the last month.
|Date||Analyst / Broker||Previous rating||Current rating|
|2019-8-9||BMO Capital Markets||n/a||Market Perform|
|2019-8-16||Bank of America||Buy||Underperform|
|2019-5-15||Goldman Sachs Group||Neutral||Buy|
|2019-5-13||Royal Bank of Canada||n/a||Sector Perform|
|2019-2-25||Cowen||Market Perform||Market Perform|
|2019-1-8||Bank of America||Underperform||Buy|
WLK stock analysis
Shares of Westlake Chemical closed today at $65.09 and depreciated a lame -0.93%.
Westlake Chemical depreciated a lame -0.93% and closed at $65.09. WLK is retaking the upward trend marking a new rising bottom heading to break out over $71.13. Since SMA50d and SMA100d crossed up on Sep/13, WLK price climbed $0.83 per share (1.29%).
After boosting an exceptional 8.04% in a week last week, Westlake Chemical closed this week at $65.09 and slightly fell an unpleasant -1.23%. By mid August WLK plummed a hair-raising -7.42% in just one week.
Since late July, when WLK stock price broke down the 40-weeks moving avarage line, it slid $-3.55 per share (-5.17%). Stocks under the 40-weeks moving average line are usually not recommended for average traders.
WLK stock price history
WLK IPO was on August 12th, 2004 at $5.91 per share1. Since then, WLK stock surged a 1,001.40%, with an average of 66.80% per year. If you had invested $1,000 in WLK stock in 2004, it would worth $10,014.00 today.
1: Adjusted price after possible price splits or reverse-splits.
WLK stock historical price chart
WLK stock reached 52-week highs on September at $86.27, and all-time highs 2018-05-22 with a price of 121.82.
WLK stock price target is $69.50Nobody can reliably foresee how stock prices may evolve in the future. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. We found 11 price predictions for WLK stock posted in the last 30 days:
|Date||Analyst / Broker||Action||Previous target||Current target||Diff|
|2019-8-9||BMO Capital Markets||Lowers Target||$75.00||$71.00||-5.3%|
|2019-5-13||Royal Bank of Canada||Lowers Target||n/a||$62.00||-|
Financials and fundamental analysis
Earnings date and Earnings per ShareOn February, Westlake Chemical missed the expectations of the experts and reported a spooky EPS of $1.02 per share when experts were expecting $1.72.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsCompared to 2017, last anual revenues report draw a great gain of 7.39% to $8,635.00 million USD. Nonetheless, its profit margin (compared to revenues) decreased to 11.53%, that is $996.00 million.
|2013||$3,760 M||-||$608 M16.2%||-|
|2014||$4,415 M||17.43%||$679 M15.4%||11.62%|
|2015||$4,463 M||1.09%||$646 M14.5%||-4.79%|
|2016||$5,075 M||13.71%||$399 M7.9%||-38.26%|
|2017||$8,041 M||58.43%||$1,304 M16.2%||226.93%|
|2018||$8,635 M||7.39%||$996 M11.5%||-23.62%|
Quarterly financial resultsWestlake Chemical posted $1,995.00 million in revenues for 2018-Q4, a -11.53% less compared to previous quarter. Reported quarter earnings marked $123.00 M with a profit margin of 6.17%. Profit margin fell a -7.49% compared to previous quarter when profit margin was 13.66%. When comparing turnover to same quarter last year, Westlake Chemical sales marked an ugly movement and stayed constant a -0.75%.
|2017-Q2||$1,980 M||-||$152 M7.7%||-|
|2017-Q3||$2,109 M||6.51%||$211 M10.0%||38.70%|
|2017-Q4||$2,010 M||-4.69%||$802 M39.9%||280.40%|
|2018-Q1||$2,150 M||6.97%||$287 M13.3%||-64.21%|
|2018-Q2||$2,235 M||3.95%||$278 M12.4%||-3.14%|
|2018-Q3||$2,255 M||0.89%||$308 M13.7%||10.79%|
|2018-Q4||$1,995 M||-11.53%||$123 M6.2%||-60.06%|
|2019-Q1||$2,025 M||1.50%||$72 M3.6%||-41.46%|
Westlake Chemical ownershipWhen you are planning to invest in a stock, it's worth to overview its ownership structure.
Westlake Chemical shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 72.14% of all shares.
In case of Westlake Chemical stock, 28.58% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for WLK stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Westlake Chemical:
|Market cap||$8.3 B||$7.2 B||$15.2 B||$9.9 B||$121.2 B|
|Total shares||128.3 M||106.0 M||123.7 M||137.0 M||719.5 M|
|Float shares||34.9 M||105.3 M||122.9 M||136.2 M||687.1 M|
|- Institutional holdings (%)||28.6%||98.6%||105.7%||85.6%||77.1%|
|- Insider holdings (%)||72.1%||0.5%||0.6%||0.4%||0.4%|
|Shares in short selling||0.0%||0.0%||0.0%||0.0%||0.0%|
|Friday, September 20th, 2019|
|Day range||$64.76 - $66.66|
|Average true range||$2.77|
|50d mov avg||$63.49|
|100d mov avg||$63.41|
|200d mov avg||$67.08|
Westlake Chemical performanceStocks performance is always measured in comparision to the market or competitors and related stocks in the same industry. We selected Albemarle, Celanese, Eastman Chemical, Honeywell International, Huntsman, Olin, PolyOne and Exxon Mobil as the bechmarking frame for Westlake Chemical stock.
Westlake Chemical competitorsWe chose a few stocks to conform a list of Westlake Chemical competitors to check if you are interested in investing in WLK:
- Albemarle (ALB)
- Celanese (CE)
- Eastman Chemical (EMN)
- Honeywell International (HON)
- Huntsman (HUN)
- Olin (OLN)
- PolyOne (POL)
- Exxon Mobil (XOM)
Latest WLK stock news
- Seeking AlphaWestlake Chemical: A Financially Strong Company Trading At A Reasonable PriceApril 16, 2019
- Seeking AlphaTake Advantage Of Westlake Chemical's Depressed ValuationMarch 19, 2019
- Seeking AlphaWestlake Chemical: 8.0x Forward P/E And 52-Week LowsDecember 20, 2018
- Seeking AlphaWestlake Chemical: China Driven Sell-Off Overdone?October 16, 2018