Westlake (NYSE:WLK) Posts Quarterly Earnings Results, Beats Estimates By $0.18 EPS

Westlake (NYSE:WLK) issued its quarterly earnings data on Tuesday. The specialty chemicals company reported $2.01 EPS for the quarter, topping the consensus estimate of $1.83 by $0.18, FiscalAI reports. Westlake had a negative net margin of 14.91% and a negative return on equity of 1.89%. The firm had revenue of $3.27 billion for the quarter, compared to analyst estimates of $3.24 billion. During the same period in the prior year, the business posted ($1.11) EPS.

Westlake Trading Down 0.9%

NYSE:WLK opened at $69.85 on Tuesday. The stock has a 50-day simple moving average of $79.08 and a 200-day simple moving average of $94.18. The stock has a market cap of $8.95 billion, a P/E ratio of -5.50 and a beta of 0.63. Westlake has a 1 year low of $56.33 and a 1 year high of $124.23. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.56 and a current ratio of 2.17.

Westlake Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, June 11th. Shareholders of record on Wednesday, May 27th were issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date of this dividend was Wednesday, May 27th. Westlake’s payout ratio is -16.69%.

Analyst Upgrades and Downgrades

Several research analysts have recently commented on WLK shares. Morgan Stanley lowered their price objective on shares of Westlake from $106.00 to $92.00 and set an “equal weight” rating for the company in a research note on Thursday, July 2nd. Bank of America reduced their target price on shares of Westlake from $104.00 to $85.00 and set a “neutral” rating on the stock in a report on Tuesday, June 30th. The Goldman Sachs Group set a $85.00 price target on shares of Westlake in a research report on Thursday, July 16th. Wall Street Zen lowered Westlake from a “hold” rating to a “sell” rating in a research report on Sunday, May 3rd. Finally, BMO Capital Markets reiterated a “market perform” rating and issued a $96.00 price objective on shares of Westlake in a research note on Monday, July 6th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, ten have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, Westlake presently has an average rating of “Hold” and an average price target of $97.64.

Institutional Investors Weigh In On Westlake

Several institutional investors have recently added to or reduced their stakes in the business. Daiwa Securities Group Inc. boosted its stake in Westlake by 2.9% during the 4th quarter. Daiwa Securities Group Inc. now owns 4,108 shares of the specialty chemicals company’s stock valued at $304,000 after acquiring an additional 117 shares during the last quarter. The Manufacturers Life Insurance Company raised its stake in shares of Westlake by 0.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 28,134 shares of the specialty chemicals company’s stock valued at $2,136,000 after purchasing an additional 165 shares in the last quarter. Transamerica Financial Advisors LLC lifted its position in shares of Westlake by 37.4% during the fourth quarter. Transamerica Financial Advisors LLC now owns 805 shares of the specialty chemicals company’s stock worth $59,000 after purchasing an additional 219 shares during the last quarter. NewEdge Advisors LLC lifted its position in shares of Westlake by 49.6% during the second quarter. NewEdge Advisors LLC now owns 745 shares of the specialty chemicals company’s stock worth $57,000 after purchasing an additional 247 shares during the last quarter. Finally, Treasurer of the State of North Carolina grew its stake in Westlake by 1.7% in the second quarter. Treasurer of the State of North Carolina now owns 15,608 shares of the specialty chemicals company’s stock worth $1,185,000 after purchasing an additional 266 shares in the last quarter. Hedge funds and other institutional investors own 28.40% of the company’s stock.

About Westlake

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.