WESTLAKE CHEMICAL PARTNERS L (WLKP) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:WLKP - US9604171036
18.96 USD
-0.1 (-0.52%)
Taking everything into account, WLKP scores 6 out of 10 in our fundamental rating. WLKP was compared to 81 industry peers in the Chemicals industry. While WLKP belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. WLKP has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
WLKP had positive earnings in the past year.
WLKP had a positive operating cash flow in the past year.
Each year in the past 5 years WLKP has been profitable.
In the past 5 years WLKP always reported a positive cash flow from operatings.
1.2 Ratios
WLKP's Return On Assets of 3.87% is fine compared to the rest of the industry. WLKP outperforms 72.84% of its industry peers.
WLKP's Return On Equity of 18.86% is amongst the best of the industry. WLKP outperforms 87.65% of its industry peers.
WLKP has a Return On Invested Capital of 20.90%. This is amongst the best in the industry. WLKP outperforms 100.00% of its industry peers.
WLKP had an Average Return On Invested Capital over the past 3 years of 22.83%. This is significantly above the industry average of 6.07%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.87% | ||
| ROE | 18.86% | ||
| ROIC | 20.9% |
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
Looking at the Profit Margin, with a value of 4.34%, WLKP is in the better half of the industry, outperforming 69.14% of the companies in the same industry.
In the last couple of years the Profit Margin of WLKP has remained more or less at the same level.
Looking at the Operating Margin, with a value of 28.39%, WLKP belongs to the top of the industry, outperforming 95.06% 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 (30.84%) is comparable to the rest of the industry.
WLKP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.39% | ||
| PM (TTM) | 4.34% | ||
| GM | 30.84% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), WLKP is creating value.
The number of shares outstanding for WLKP remains at a similar level compared to 1 year ago.
The number of shares outstanding for WLKP remains at a similar level compared to 5 years ago.
WLKP has a worse debt/assets ratio than last year.
2.2 Solvency
WLKP has a debt to FCF ratio of 1.91. This is a very positive value and a sign of high solvency as it would only need 1.91 years to pay back of all of its debts.
The Debt to FCF ratio of WLKP (1.91) is better than 90.12% of its industry peers.
A Debt/Equity ratio of 1.53 is on the high side and indicates that WLKP has dependencies on debt financing.
WLKP has a Debt to Equity ratio of 1.53. This is in the lower half of the industry: WLKP underperforms 75.31% of its industry peers.
Although WLKP does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.53 | ||
| Debt/FCF | 1.91 | ||
| Altman-Z | N/A |
ROIC/WACC2.43
WACC8.59%
2.3 Liquidity
WLKP has a Current Ratio of 2.37. This indicates that WLKP is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.37, WLKP is in the better half of the industry, outperforming 66.67% of the companies in the same industry.
WLKP has a Quick Ratio of 2.32. This indicates that WLKP is financially healthy and has no problem in meeting its short term obligations.
WLKP's Quick ratio of 2.32 is amongst the best of the industry. WLKP outperforms 87.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.37 | ||
| Quick Ratio | 2.32 |
3. Growth
3.1 Past
The earnings per share for WLKP have decreased strongly by -20.00% in the last year.
Measured over the past 5 years, WLKP shows a small growth in Earnings Per Share. The EPS has been growing by 0.11% on average per year.
The Revenue has decreased by -0.82% in the past year.
Measured over the past years, WLKP shows a small growth in Revenue. The Revenue has been growing by 0.79% on average per year.
EPS 1Y (TTM)-20%
EPS 3Y-8.89%
EPS 5Y0.11%
EPS Q2Q%-17.65%
Revenue 1Y (TTM)-0.82%
Revenue growth 3Y-2.22%
Revenue growth 5Y0.79%
Sales Q2Q%11.52%
3.2 Future
WLKP is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.96% yearly.
WLKP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.77% yearly.
EPS Next Y-21.34%
EPS Next 2Y7.36%
EPS Next 3Y3.97%
EPS Next 5YN/A
Revenue Next Year6.93%
Revenue Next 2Y10.4%
Revenue Next 3Y7.77%
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
The Price/Earnings ratio is 13.54, which indicates a correct valuation of WLKP.
Based on the Price/Earnings ratio, WLKP is valued a bit cheaper than the industry average as 72.84% of the companies are valued more expensively.
WLKP's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.31.
The Price/Forward Earnings ratio is 9.29, which indicates a very decent valuation of WLKP.
Based on the Price/Forward Earnings ratio, WLKP is valued cheaply inside the industry as 83.95% of the companies are valued more expensively.
WLKP's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.54 | ||
| Fwd PE | 9.29 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, WLKP is valued cheaper than 97.53% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, WLKP is valued cheaper than 96.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.2 | ||
| EV/EBITDA | 2.33 |
4.3 Compensation for Growth
The decent profitability rating of WLKP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)119.45
EPS Next 2Y7.36%
EPS Next 3Y3.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 10.00%, WLKP is a good candidate for dividend investing.
WLKP's Dividend Yield is rather good when compared to the industry average which is at 3.94. WLKP pays more dividend than 91.36% of the companies in the same industry.
WLKP's Dividend Yield is rather good when compared to the S&P500 average which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10% |
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
WLKP pays out 135.18% of its income as dividend. This is not a sustainable payout ratio.
The dividend of WLKP is growing, but earnings are growing more, so the dividend growth is sustainable.
DP135.18%
EPS Next 2Y7.36%
EPS Next 3Y3.97%
NYSE:WLKP (11/28/2025, 8:06:23 PM)
18.96
-0.1 (-0.52%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryChemicals
Earnings (Last)
Earnings (Next)
Inst Owners29.29%
Inst Owner Change-1.96%
Ins Owners1.31%
Ins Owner Change-0.04%
Market Cap668.34M
Revenue(TTM)1.13B
Net Income(TTM)49.16M
Analysts80
Price Target26.01 (37.18%)
Short Float %0.46%
Short Ratio1.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 10% |
Yearly Dividend1.89
Dividend Growth(5Y)0.46%
DP135.18%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-9.04%
Min EPS beat(2)-11.66%
Max EPS beat(2)-6.42%
EPS beat(4)1
Avg EPS beat(4)-16.56%
Min EPS beat(4)-62.4%
Max EPS beat(4)14.25%
EPS beat(8)2
Avg EPS beat(8)-8.25%
EPS beat(12)2
Avg EPS beat(12)-9.21%
EPS beat(16)3
Avg EPS beat(16)-3.4%
Revenue beat(2)0
Avg Revenue beat(2)-1.64%
Min Revenue beat(2)-3.22%
Max Revenue beat(2)-0.05%
Revenue beat(4)1
Avg Revenue beat(4)-4.01%
Min Revenue beat(4)-21.29%
Max Revenue beat(4)8.54%
Revenue beat(8)3
Avg Revenue beat(8)-1.29%
Revenue beat(12)3
Avg Revenue beat(12)-6.64%
Revenue beat(16)7
Avg Revenue beat(16)-1.09%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-1.23%
EPS NQ rev (3m)-6.98%
EPS NY rev (1m)0%
EPS NY rev (3m)-13.06%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-5.17%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.54 | ||
| Fwd PE | 9.29 | ||
| P/S | 0.59 | ||
| P/FCF | 3.2 | ||
| P/OCF | 2.28 | ||
| P/B | 2.56 | ||
| P/tB | 2.62 | ||
| EV/EBITDA | 2.33 |
EPS(TTM)1.4
EY7.38%
EPS(NY)2.04
Fwd EY10.76%
FCF(TTM)5.93
FCFY31.29%
OCF(TTM)8.3
OCFY43.77%
SpS32.16
BVpS7.39
TBVpS7.23
PEG (NY)N/A
PEG (5Y)119.45
Graham Number15.26
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.87% | ||
| ROE | 18.86% | ||
| ROCE | 26.46% | ||
| ROIC | 20.9% | ||
| ROICexc | 21.57% | ||
| ROICexgc | 21.68% | ||
| OM | 28.39% | ||
| PM (TTM) | 4.34% | ||
| GM | 30.84% | ||
| FCFM | 18.44% |
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)24.09%
ROICexgc(5y)23.57%
ROCE(3y)28.9%
ROCE(5y)28.68%
ROICexgc growth 3Y3.2%
ROICexgc growth 5Y4.87%
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-Score4
Asset Turnover0.89
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.53 | ||
| Debt/FCF | 1.91 | ||
| Debt/EBITDA | 0.9 | ||
| Cap/Depr | 69.03% | ||
| Cap/Sales | 7.36% | ||
| Interest Coverage | 13.43 | ||
| Cash Conversion | 66.08% | ||
| Profit Quality | 425.38% | ||
| Current Ratio | 2.37 | ||
| Quick Ratio | 2.32 | ||
| Altman-Z | N/A |
F-Score4
WACC8.59%
ROIC/WACC2.43
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)-20%
EPS 3Y-8.89%
EPS 5Y0.11%
EPS Q2Q%-17.65%
EPS Next Y-21.34%
EPS Next 2Y7.36%
EPS Next 3Y3.97%
EPS Next 5YN/A
Revenue 1Y (TTM)-0.82%
Revenue growth 3Y-2.22%
Revenue growth 5Y0.79%
Sales Q2Q%11.52%
Revenue Next Year6.93%
Revenue Next 2Y10.4%
Revenue Next 3Y7.77%
Revenue Next 5YN/A
EBIT growth 1Y-17.74%
EBIT growth 3Y-1.67%
EBIT growth 5Y2.2%
EBIT Next Year119.06%
EBIT Next 3Y34.31%
EBIT Next 5YN/A
FCF growth 1Y-50.71%
FCF growth 3Y10.04%
FCF growth 5Y1.38%
OCF growth 1Y-37.33%
OCF growth 3Y5.9%
OCF growth 5Y1.47%
WESTLAKE CHEMICAL PARTNERS L / WLKP FAQ
What is the fundamental rating for WLKP stock?
ChartMill assigns a fundamental rating of 6 / 10 to WLKP.
What is the valuation status for WLKP stock?
ChartMill assigns a valuation rating of 6 / 10 to WESTLAKE CHEMICAL PARTNERS L (WLKP). This can be considered as Fairly Valued.
How profitable is WESTLAKE CHEMICAL PARTNERS L (WLKP) stock?
WESTLAKE CHEMICAL PARTNERS L (WLKP) has a profitability rating of 7 / 10.
What is the earnings growth outlook for WESTLAKE CHEMICAL PARTNERS L?
The Earnings per Share (EPS) of WESTLAKE CHEMICAL PARTNERS L (WLKP) is expected to decline by -21.34% in the next year.
How sustainable is the dividend of WESTLAKE CHEMICAL PARTNERS L (WLKP) stock?
The dividend rating of WESTLAKE CHEMICAL PARTNERS L (WLKP) is 6 / 10 and the dividend payout ratio is 135.18%.