Key Points
- Albert Chao sold 40,836 Westlake shares on Dec. 22 at an average of $73.57, totaling about $3.00 million and reducing his ownership by 6.11% to 627,722 shares (SEC filing).
- Westlake reported a quarterly EPS miss of ($0.29) versus $0.18 expected and revenue fell 9% year-over-year to $2.84 billion, leaving the company with a negative net margin and negative return on equity.
- Analysts show a consensus rating of Moderate Buy with a $86.60 average price target, and the company pays a $0.53 quarterly dividend (about a 2.9% yield).
Westlake Corporation (NYSE:WLK - Get Free Report) Chairman Albert Chao sold 40,836 shares of the business's stock in a transaction dated Monday, December 22nd. The stock was sold at an average price of $73.57, for a total transaction of $3,004,304.52. Following the completion of the sale, the chairman owned 627,722 shares in the company, valued at $46,181,507.54. This represents a 6.11% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website.
Westlake Price Performance
Shares of NYSE WLK opened at $73.25 on Wednesday. The company has a current ratio of 1.99, a quick ratio of 1.39 and a debt-to-equity ratio of 0.39. The company's 50-day moving average price is $69.06 and its 200 day moving average price is $77.19. Westlake Corporation has a 52 week low of $56.33 and a 52 week high of $119.86. The stock has a market cap of $9.40 billion, a price-to-earnings ratio of -9.87 and a beta of 0.94.
Westlake (NYSE:WLK - Get Free Report) last announced its quarterly earnings results on Thursday, October 30th. The specialty chemicals company reported ($0.29) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.18 by ($0.47). The business had revenue of $2.84 billion during the quarter, compared to analysts' expectations of $2.97 billion. Westlake had a negative net margin of 8.34% and a negative return on equity of 0.78%. The firm's revenue for the quarter was down 9.0% on a year-over-year basis. During the same period last year, the company earned $1.41 EPS. As a group, research analysts forecast that Westlake Corporation will post 6.48 earnings per share for the current fiscal year.
Westlake Announces Dividend
The business also recently announced a quarterly dividend, which was paid on Thursday, December 11th. Investors of record on Tuesday, November 25th were paid a $0.53 dividend. The ex-dividend date of this dividend was Tuesday, November 25th. This represents a $2.12 dividend on an annualized basis and a yield of 2.9%. Westlake's dividend payout ratio is presently -28.57%.
Institutional Inflows and Outflows
A number of institutional investors and hedge funds have recently modified their holdings of the stock. Norges Bank acquired a new stake in Westlake in the second quarter valued at approximately $104,314,000. Brandes Investment Partners LP boosted its stake in shares of Westlake by 246.0% in the second quarter. Brandes Investment Partners LP now owns 1,456,871 shares of the specialty chemicals company's stock valued at $110,621,000 after purchasing an additional 1,035,851 shares during the period. ANTIPODES PARTNERS Ltd acquired a new stake in Westlake during the 2nd quarter valued at $62,508,000. Millennium Management LLC increased its stake in Westlake by 366.7% during the 1st quarter. Millennium Management LLC now owns 901,229 shares of the specialty chemicals company's stock worth $90,150,000 after buying an additional 708,142 shares during the period. Finally, Holocene Advisors LP increased its stake in Westlake by 440.1% during the 3rd quarter. Holocene Advisors LP now owns 854,184 shares of the specialty chemicals company's stock worth $65,823,000 after buying an additional 696,029 shares during the period. Institutional investors and hedge funds own 28.40% of the company's stock.
Analyst Ratings Changes
A number of equities analysts have recently weighed in on WLK shares. JPMorgan Chase & Co. boosted their price target on Westlake from $73.00 to $78.00 and gave the stock a "neutral" rating in a report on Thursday, September 25th. Alembic Global Advisors set a $80.00 target price on shares of Westlake in a research note on Monday, November 17th. Bank of America upgraded shares of Westlake from a "neutral" rating to a "buy" rating and reduced their target price for the company from $87.00 to $84.00 in a report on Monday, November 3rd. Weiss Ratings reiterated a "sell (d)" rating on shares of Westlake in a report on Wednesday, October 8th. Finally, Truist Financial set a $90.00 price objective on shares of Westlake and gave the company a "buy" rating in a research note on Monday, October 13th. One investment analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, Westlake has a consensus rating of "Moderate Buy" and a consensus price target of $86.60.
Get Our Latest Report on WLK
Westlake Company Profile
(
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Westlake Corp. is a global manufacturer of petrochemicals, polymers and building products, serving customers across industrial and residential markets. The company's core operations encompass the production of vinyls—primarily polyvinyl chloride (PVC) and its key feedstock vinyl chloride monomer (VCM)—as well as chlor-alkali products including caustic soda and chlorine. In addition, Westlake produces ethylene, propylene and specialty elastomers, along with construction-related materials such as vinyl siding, trim, windows and roofing systems.
Operating a network of vertically integrated plants and distribution centers, Westlake serves markets in North America, Europe and Asia.
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