WESTLAKE CHEMICAL PARTNERS L (WLKP) Stock Fundamental Analysis
NYSE:WLKP - New York Stock Exchange, Inc. - US9604171036 - Currency: USD
Taking everything into account, WLKP scores 7 out of 10 in our fundamental rating. WLKP was compared to 85 industry peers in the Chemicals industry. WLKP has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. WLKP has a decent growth rate and is not valued too expensively. This makes WLKP very considerable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year WLKP was profitable.
In the past year WLKP had a positive cash flow from operations.
WLKP had positive earnings in each of the past 5 years.
In the past 5 years WLKP always reported a positive cash flow from operatings.
1.2 Ratios
WLKP's Return On Assets of 4.84% is fine compared to the rest of the industry. WLKP outperforms 69.88% of its industry peers.
WLKP has a Return On Equity of 22.60%. This is amongst the best in the industry. WLKP outperforms 90.36% of its industry peers.
The Return On Invested Capital of WLKP (25.02%) is better than 100.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WLKP is significantly above the industry average of 6.82%.
The 3 year average ROIC (22.83%) for WLKP is below the current ROIC(25.02%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.84% | ||
| ROE | 22.6% | ||
| ROIC | 25.02% |
ROA(3y)4.55%
ROA(5y)4.82%
ROE(3y)21.33%
ROE(5y)23.18%
ROIC(3y)22.83%
ROIC(5y)22.66%
1.3 Margins
The Profit Margin of WLKP (5.49%) is better than 68.67% of its industry peers.
In the last couple of years the Profit Margin of WLKP has remained more or less at the same level.
With an excellent Operating Margin value of 34.37%, WLKP belongs to the best of the industry, outperforming 95.18% of the companies in the same industry.
In the last couple of years the Operating Margin of WLKP has remained more or less at the same level.
The Gross Margin of WLKP (36.88%) is better than 73.49% of its industry peers.
In the last couple of years the Gross Margin of WLKP has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 34.37% | ||
| PM (TTM) | 5.49% | ||
| GM | 36.88% |
OM growth 3Y0.56%
OM growth 5Y1.4%
PM growth 3Y-6.83%
PM growth 5Y-0.34%
GM growth 3Y0.48%
GM growth 5Y1.2%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so WLKP is creating value.
Compared to 1 year ago, WLKP has about the same amount of shares outstanding.
WLKP has about the same amout of shares outstanding than it did 5 years ago.
WLKP has a worse debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of WLKP is 0.92, which is an excellent value as it means it would take WLKP, only 0.92 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WLKP (0.92) is better than 93.98% of its industry peers.
WLKP has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.45, WLKP is doing worse than 77.11% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for WLKP, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 0.92 | ||
| Altman-Z | N/A |
ROIC/WACC2.97
WACC8.43%
2.3 Liquidity
A Current Ratio of 4.35 indicates that WLKP has no problem at all paying its short term obligations.
The Current ratio of WLKP (4.35) is better than 90.36% of its industry peers.
WLKP has a Quick Ratio of 4.28. This indicates that WLKP is financially healthy and has no problem in meeting its short term obligations.
WLKP has a Quick ratio of 4.28. This is amongst the best in the industry. WLKP outperforms 92.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.35 | ||
| Quick Ratio | 4.28 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.94% over the past year.
The Earnings Per Share has been growing slightly by 0.11% on average over the past years.
Looking at the last year, WLKP shows a decrease in Revenue. The Revenue has decreased by -4.62% in the last year.
WLKP shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.79% yearly.
EPS 1Y (TTM)14.94%
EPS 3Y-8.89%
EPS 5Y0.11%
EPS Q2Q%4.88%
Revenue 1Y (TTM)-4.62%
Revenue growth 3Y-2.22%
Revenue growth 5Y0.79%
Sales Q2Q%-2.43%
3.2 Future
WLKP is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.66% yearly.
WLKP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.82% yearly.
EPS Next Y-2.71%
EPS Next 2Y9.66%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.56%
Revenue Next 2Y9.82%
Revenue Next 3YN/A
Revenue Next 5YN/A
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 accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.36, WLKP is valued correctly.
73.49% of the companies in the same industry are more expensive than WLKP, based on the Price/Earnings ratio.
WLKP's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.75.
WLKP is valuated correctly with a Price/Forward Earnings ratio of 13.73.
62.65% of the companies in the same industry are more expensive than WLKP, based on the Price/Forward Earnings ratio.
WLKP is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.36 | ||
| Fwd PE | 13.73 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WLKP is valued cheaply inside the industry as 97.59% of the companies are valued more expensively.
100.00% of the companies in the same industry are more expensive than WLKP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.91 | ||
| EV/EBITDA | 2.35 |
4.3 Compensation for Growth
WLKP has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)117.85
EPS Next 2Y9.66%
EPS Next 3YN/A
5. Dividend
5.1 Amount
WLKP has a Yearly Dividend Yield of 7.86%, which is a nice return.
Compared to an average industry Dividend Yield of 3.38, WLKP pays a better dividend. On top of this WLKP pays more dividend than 95.18% of the companies listed in the same industry.
WLKP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.86% |
5.2 History
The dividend of WLKP has a limited annual growth rate of 0.46%.
WLKP has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of WLKP decreased in the last 3 years.
Dividend Growth(5Y)0.46%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
106.48% of the earnings are spent on dividend by WLKP. This is not a sustainable payout ratio.
The dividend of WLKP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP106.48%
EPS Next 2Y9.66%
EPS Next 3YN/A
NYSE:WLKP (3/4/2025, 12:38:09 PM)
23.65
-0.23 (-0.96%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners34.26%
Inst Owner Change-15.38%
Ins Owners1.27%
Ins Owner Change0%
Market Cap833.43M
Analysts78
Price Target26.18 (10.7%)
Short Float %0.64%
Short Ratio2.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 7.86% |
Yearly Dividend1.89
Dividend Growth(5Y)0.46%
DP106.48%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)19.73%
Min EPS beat(2)14.25%
Max EPS beat(2)25.21%
EPS beat(4)2
Avg EPS beat(4)6.03%
Min EPS beat(4)-7.74%
Max EPS beat(4)25.21%
EPS beat(8)2
Avg EPS beat(8)-3.61%
EPS beat(12)2
Avg EPS beat(12)-5.97%
EPS beat(16)4
Avg EPS beat(16)0.34%
Revenue beat(2)2
Avg Revenue beat(2)9.92%
Min Revenue beat(2)8.54%
Max Revenue beat(2)11.3%
Revenue beat(4)3
Avg Revenue beat(4)5.59%
Min Revenue beat(4)-0.68%
Max Revenue beat(4)11.3%
Revenue beat(8)3
Avg Revenue beat(8)-5.69%
Revenue beat(12)6
Avg Revenue beat(12)-1.08%
Revenue beat(16)9
Avg Revenue beat(16)0.38%
PT rev (1m)0%
PT rev (3m)4.61%
EPS NQ rev (1m)-5.26%
EPS NQ rev (3m)-5.26%
EPS NY rev (1m)0%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.36 | ||
| Fwd PE | 13.73 | ||
| P/S | 0.73 | ||
| P/FCF | 1.91 | ||
| P/OCF | 1.72 | ||
| P/B | 3.02 | ||
| P/tB | 3.02 | ||
| EV/EBITDA | 2.35 |
EPS(TTM)1.77
EY7.48%
EPS(NY)1.72
Fwd EY7.28%
FCF(TTM)12.37
FCFY52.32%
OCF(TTM)13.76
OCFY58.19%
SpS32.23
BVpS7.84
TBVpS7.84
PEG (NY)N/A
PEG (5Y)117.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.84% | ||
| ROE | 22.6% | ||
| ROCE | 31.68% | ||
| ROIC | 25.02% | ||
| ROICexc | 26.27% | ||
| ROICexgc | 26.27% | ||
| OM | 34.37% | ||
| PM (TTM) | 5.49% | ||
| GM | 36.88% | ||
| FCFM | 38.39% |
ROA(3y)4.55%
ROA(5y)4.82%
ROE(3y)21.33%
ROE(5y)23.18%
ROIC(3y)22.83%
ROIC(5y)22.66%
ROICexc(3y)23.98%
ROICexc(5y)23.46%
ROICexgc(3y)24.05%
ROICexgc(5y)23.54%
ROCE(3y)28.9%
ROCE(5y)28.68%
ROICexcg growth 3Y3.03%
ROICexcg growth 5Y4.76%
ROICexc growth 3Y3.18%
ROICexc growth 5Y4.85%
OM growth 3Y0.56%
OM growth 5Y1.4%
PM growth 3Y-6.83%
PM growth 5Y-0.34%
GM growth 3Y0.48%
GM growth 5Y1.2%
F-Score6
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 0.92 | ||
| Debt/EBITDA | 0.8 | ||
| Cap/Depr | 43.76% | ||
| Cap/Sales | 4.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.55% | ||
| Profit Quality | 698.86% | ||
| Current Ratio | 4.35 | ||
| Quick Ratio | 4.28 | ||
| Altman-Z | N/A |
F-Score6
WACC8.43%
ROIC/WACC2.97
Cap/Depr(3y)43.64%
Cap/Depr(5y)48.28%
Cap/Sales(3y)3.88%
Cap/Sales(5y)4.43%
Profit Quality(3y)694.43%
Profit Quality(5y)597.61%
High Growth Momentum
Growth
EPS 1Y (TTM)14.94%
EPS 3Y-8.89%
EPS 5Y0.11%
EPS Q2Q%4.88%
EPS Next Y-2.71%
EPS Next 2Y9.66%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-4.62%
Revenue growth 3Y-2.22%
Revenue growth 5Y0.79%
Sales Q2Q%-2.43%
Revenue Next Year5.56%
Revenue Next 2Y9.82%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y9.15%
EBIT growth 3Y-1.67%
EBIT growth 5Y2.2%
EBIT Next Year69.21%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y7.61%
FCF growth 3Y10.04%
FCF growth 5Y1.38%
OCF growth 1Y7.3%
OCF growth 3Y5.9%
OCF growth 5Y1.47%