WESTLAKE CORP (WLK) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WLK - US9604131022 - Common Stock
87.87 USD
-0.43 (-0.49%)
87.87 USD
0 (0%)
Taking everything into account, WLK scores 3 out of 10 in our fundamental rating. WLK was compared to 82 industry peers in the Chemicals industry. WLK scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. WLK is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
- WLK had negative earnings in the past year.
- WLK had a positive operating cash flow in the past year.
- WLK had positive earnings in each of the past 5 years.
- Each year in the past 5 years WLK had a positive operating cash flow.
1.2 Ratios
- WLK has a Return On Assets of -4.80%. This is in the lower half of the industry: WLK underperforms 73.17% of its industry peers.
- Looking at the Return On Equity, with a value of -10.10%, WLK is doing worse than 65.85% of the companies in the same industry.
- The Return On Invested Capital of WLK (0.14%) is worse than 81.71% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for WLK is in line with the industry average of 6.11%.
- The last Return On Invested Capital (0.14%) for WLK is well below the 3 year average (6.90%), which needs to be investigated, but indicates that WLK had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.8% | ||
| ROE | -10.1% | ||
| ROIC | 0.14% |
ROA(3y)5.34%
ROA(5y)5.85%
ROE(3y)10.95%
ROE(5y)12.7%
ROIC(3y)6.9%
ROIC(5y)7.19%
1.3 Margins
- In the last couple of years the Profit Margin of WLK has remained more or less at the same level.
- The Operating Margin of WLK (0.29%) is worse than 82.93% of its industry peers.
- WLK's Operating Margin has been stable in the last couple of years.
- WLK has a worse Gross Margin (9.18%) than 85.37% of its industry peers.
- In the last couple of years the Gross Margin of WLK has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.29% | ||
| PM (TTM) | N/A | ||
| GM | 9.18% |
OM growth 3Y-30.74%
OM growth 5Y-1.4%
PM growth 3Y-33.82%
PM growth 5Y-0.9%
GM growth 3Y-18.41%
GM growth 5Y0.76%
2. Health
2.1 Basic Checks
- WLK has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- WLK has about the same amout of shares outstanding than it did 1 year ago.
- Compared to 5 years ago, WLK has about the same amount of shares outstanding.
- The debt/assets ratio for WLK has been reduced compared to a year ago.
2.2 Solvency
- WLK has an Altman-Z score of 2.07. This is not the best score and indicates that WLK is in the grey zone with still only limited risk for bankruptcy at the moment.
- WLK's Altman-Z score of 2.07 is in line compared to the rest of the industry. WLK outperforms 57.32% of its industry peers.
- A Debt/Equity ratio of 0.41 indicates that WLK is not too dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.41, WLK is in the better half of the industry, outperforming 69.51% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.07 |
ROIC/WACC0.01
WACC11.83%
2.3 Liquidity
- A Current Ratio of 1.99 indicates that WLK should not have too much problems paying its short term obligations.
- WLK has a Current ratio of 1.99. This is comparable to the rest of the industry: WLK outperforms 51.22% of its industry peers.
- A Quick Ratio of 1.39 indicates that WLK should not have too much problems paying its short term obligations.
- WLK's Quick ratio of 1.39 is in line compared to the rest of the industry. WLK outperforms 54.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.39 |
3. Growth
3.1 Past
- The earnings per share for WLK have decreased strongly by -110.73% in the last year.
- Measured over the past years, WLK shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.83% on average per year.
- Looking at the last year, WLK shows a decrease in Revenue. The Revenue has decreased by -5.32% in the last year.
- WLK shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.38% yearly.
EPS 1Y (TTM)-110.73%
EPS 3Y-30.59%
EPS 5Y9.83%
EPS Q2Q%-120.57%
Revenue 1Y (TTM)-5.32%
Revenue growth 3Y1.02%
Revenue growth 5Y8.38%
Sales Q2Q%-8.95%
3.2 Future
- WLK is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -8.41% yearly.
- The Revenue is expected to grow by 2.01% on average over the next years.
EPS Next Y-138.43%
EPS Next 2Y-55.17%
EPS Next 3Y-22%
EPS Next 5Y-8.41%
Revenue Next Year-8.06%
Revenue Next 2Y-3.83%
Revenue Next 3Y-1.46%
Revenue Next 5Y2.01%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings Ratio is negative for WLK. In the last year negative earnings were reported.
- Based on the Price/Forward Earnings ratio of 83.91, the valuation of WLK can be described as expensive.
- 67.07% of the companies in the same industry are cheaper than WLK, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. WLK is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 83.91 |
4.2 Price Multiples
- WLK's Enterprise Value to EBITDA is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 11.4 |
4.3 Compensation for Growth
- A cheap valuation may be justified as WLK's earnings are expected to decrease with -22.00% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-55.17%
EPS Next 3Y-22%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 2.50%, WLK has a reasonable but not impressive dividend return.
- WLK's Dividend Yield is a higher than the industry average which is at 2.28.
- WLK's Dividend Yield is a higher than the S&P500 average which is at 1.85.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.5% |
5.2 History
- The dividend of WLK is nicely growing with an annual growth rate of 14.83%!
- WLK has been paying a dividend for at least 10 years, so it has a reliable track record.
- WLK has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)14.83%
Div Incr Years20
Div Non Decr Years20
5.3 Sustainability
- The earnings of WLK are negative and hence is the payout ratio. WLK will probably not be able to sustain this dividend level.
DP-28.47%
EPS Next 2Y-55.17%
EPS Next 3Y-22%
87.87
-0.43 (-0.49%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)10-30 2025-10-30/bmo
Earnings (Next)02-23 2026-02-23/amc
Inst Owners34.07%
Inst Owner Change-0.06%
Ins Owners1.3%
Ins Owner Change1.63%
Market Cap11.27B
Revenue(TTM)11.48B
Net Income(TTM)-952.00M
Analysts73.64
Price Target83.77 (-4.67%)
Short Float %16.5%
Short Ratio3.55
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.5% |
Yearly Dividend2.06
Dividend Growth(5Y)14.83%
DP-28.47%
Div Incr Years20
Div Non Decr Years20
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-202.92%
Min EPS beat(2)-213.97%
Max EPS beat(2)-191.86%
EPS beat(4)0
Avg EPS beat(4)-161.94%
Min EPS beat(4)-213.97%
Max EPS beat(4)-94.57%
EPS beat(8)2
Avg EPS beat(8)-82.02%
EPS beat(12)4
Avg EPS beat(12)-54.05%
EPS beat(16)7
Avg EPS beat(16)-39.53%
Revenue beat(2)0
Avg Revenue beat(2)-3.8%
Min Revenue beat(2)-4.44%
Max Revenue beat(2)-3.15%
Revenue beat(4)0
Avg Revenue beat(4)-4.08%
Min Revenue beat(4)-4.46%
Max Revenue beat(4)-3.15%
Revenue beat(8)1
Avg Revenue beat(8)-3.3%
Revenue beat(12)1
Avg Revenue beat(12)-3.8%
Revenue beat(16)4
Avg Revenue beat(16)-0.58%
PT rev (1m)1.02%
PT rev (3m)-9.65%
EPS NQ rev (1m)-155.92%
EPS NQ rev (3m)-4007.21%
EPS NY rev (1m)-60.67%
EPS NY rev (3m)-2216.43%
Revenue NQ rev (1m)-2.3%
Revenue NQ rev (3m)-6.69%
Revenue NY rev (1m)-0.59%
Revenue NY rev (3m)-2.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 83.91 | ||
| P/S | 0.98 | ||
| P/FCF | N/A | ||
| P/OCF | 16.72 | ||
| P/B | 1.2 | ||
| P/tB | 1.63 | ||
| EV/EBITDA | 11.4 |
EPS(TTM)-0.63
EYN/A
EPS(NY)1.05
Fwd EY1.19%
FCF(TTM)-2.85
FCFYN/A
OCF(TTM)5.25
OCFY5.98%
SpS89.5
BVpS73.49
TBVpS53.82
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.8% | ||
| ROE | -10.1% | ||
| ROCE | 0.2% | ||
| ROIC | 0.14% | ||
| ROICexc | 0.16% | ||
| ROICexgc | 0.19% | ||
| OM | 0.29% | ||
| PM (TTM) | N/A | ||
| GM | 9.18% | ||
| FCFM | N/A |
ROA(3y)5.34%
ROA(5y)5.85%
ROE(3y)10.95%
ROE(5y)12.7%
ROIC(3y)6.9%
ROIC(5y)7.19%
ROICexc(3y)8.06%
ROICexc(5y)8.28%
ROICexgc(3y)10.44%
ROICexgc(5y)10.79%
ROCE(3y)9.62%
ROCE(5y)10.02%
ROICexgc growth 3Y-33.41%
ROICexgc growth 5Y1.51%
ROICexc growth 3Y-32.2%
ROICexc growth 5Y0.16%
OM growth 3Y-30.74%
OM growth 5Y-1.4%
PM growth 3Y-33.82%
PM growth 5Y-0.9%
GM growth 3Y-18.41%
GM growth 5Y0.76%
F-Score5
Asset Turnover0.58
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 3.27 | ||
| Cap/Depr | 89.41% | ||
| Cap/Sales | 9.05% | ||
| Interest Coverage | 0.21 | ||
| Cash Conversion | 56.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.99 | ||
| Quick Ratio | 1.39 | ||
| Altman-Z | 2.07 |
F-Score5
WACC11.83%
ROIC/WACC0.01
Cap/Depr(3y)96.56%
Cap/Depr(5y)87.18%
Cap/Sales(3y)7.85%
Cap/Sales(5y)7.23%
Profit Quality(3y)142.31%
Profit Quality(5y)149.64%
High Growth Momentum
Growth
EPS 1Y (TTM)-110.73%
EPS 3Y-30.59%
EPS 5Y9.83%
EPS Q2Q%-120.57%
EPS Next Y-138.43%
EPS Next 2Y-55.17%
EPS Next 3Y-22%
EPS Next 5Y-8.41%
Revenue 1Y (TTM)-5.32%
Revenue growth 3Y1.02%
Revenue growth 5Y8.38%
Sales Q2Q%-8.95%
Revenue Next Year-8.06%
Revenue Next 2Y-3.83%
Revenue Next 3Y-1.46%
Revenue Next 5Y2.01%
EBIT growth 1Y-96.06%
EBIT growth 3Y-30.04%
EBIT growth 5Y6.87%
EBIT Next Year-7.82%
EBIT Next 3Y16.07%
EBIT Next 5Y15.07%
FCF growth 1Y-123.56%
FCF growth 3Y-43.93%
FCF growth 5Y-9.85%
OCF growth 1Y-74.06%
OCF growth 3Y-18.12%
OCF growth 5Y0.2%
WESTLAKE CORP / WLK FAQ
What is the fundamental rating for WLK stock?
ChartMill assigns a fundamental rating of 3 / 10 to WLK.
What is the valuation status of WESTLAKE CORP (WLK) stock?
ChartMill assigns a valuation rating of 0 / 10 to WESTLAKE CORP (WLK). This can be considered as Overvalued.
What is the profitability of WLK stock?
WESTLAKE CORP (WLK) has a profitability rating of 3 / 10.
Can you provide the financial health for WLK stock?
The financial health rating of WESTLAKE CORP (WLK) is 4 / 10.