Westlake (NYSE:WLK) Releases Earnings Results, Misses Expectations By $0.80 EPS

Westlake (NYSE:WLK) issued its earnings results on Tuesday. The specialty chemicals company reported $1.41 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $2.21 by ($0.80), Briefing.com reports. The firm had revenue of $3.12 billion during the quarter, compared to the consensus estimate of $3.31 billion. Westlake had a net margin of 2.27% and a return on equity of 7.84%. The firm’s revenue for the quarter was up .1% compared to the same quarter last year. During the same period in the previous year, the company posted $2.20 earnings per share.

Westlake Stock Up 3.0 %

Westlake stock traded up $4.02 during midday trading on Wednesday, hitting $136.57. 880,525 shares of the stock were exchanged, compared to its average volume of 439,684. Westlake has a 52-week low of $118.64 and a 52-week high of $162.64. The stock has a market capitalization of $17.56 billion, a price-to-earnings ratio of 65.59, a price-to-earnings-growth ratio of 1.83 and a beta of 1.19. The business’s 50-day moving average price is $140.85 and its 200-day moving average price is $146.37. The company has a quick ratio of 1.94, a current ratio of 2.61 and a debt-to-equity ratio of 0.41.

Westlake Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, September 5th. Investors of record on Tuesday, August 20th were issued a dividend of $0.525 per share. The ex-dividend date was Tuesday, August 20th. This is a boost from Westlake’s previous quarterly dividend of $0.50. This represents a $2.10 annualized dividend and a yield of 1.54%. Westlake’s payout ratio is 100.96%.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the stock. StockNews.com lowered shares of Westlake from a “hold” rating to a “sell” rating in a research report on Thursday, September 19th. Wells Fargo & Company reduced their price target on shares of Westlake from $180.00 to $160.00 and set an “overweight” rating on the stock in a research report on Wednesday. Bank of America upgraded shares of Westlake from an “underperform” rating to a “neutral” rating and increased their price target for the stock from $151.00 to $159.00 in a research report on Wednesday, October 16th. Mizuho assumed coverage on shares of Westlake in a research report on Thursday, August 8th. They set an “outperform” rating and a $170.00 price target on the stock. Finally, JPMorgan Chase & Co. increased their price target on shares of Westlake from $123.00 to $135.00 and gave the stock an “underweight” rating in a research report on Thursday, August 15th. Two investment analysts have rated the stock with a sell rating, six have assigned a hold rating and six have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, Westlake has an average rating of “Hold” and a consensus price target of $162.92.

About Westlake

Westlake Corporation engages in the manufacture and marketing of performance and essential materials, and housing and infrastructure products in the United States, Canada, Germany, China, Mexico, Brazil, France, Italy, Taiwan, and internationally. The company operates through two segments: Performance and Essential Materials and Housing and Infrastructure Products.