Westlake Chemical Stock Current Valuation
| WLK Stock | USD 148.37 1.53 1.02% |
Valuation analysis of Westlake Chemical helps investors to measure Westlake Chemical's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. Enterprise Value is expected to rise to about 20.5 B this year, although Enterprise Value Over EBITDA will most likely fall to 7.80. Fundamental drivers impacting Westlake Chemical's valuation include:
Price Book 1.9257 | Enterprise Value 22.1 B | Enterprise Value Ebitda 11.1796 | Price Sales 1.5717 | Forward PE 20.4499 |
Overvalued
Today
Please note that Westlake Chemical's price fluctuation is very steady at this time. Calculation of the real value of Westlake Chemical is based on 3 months time horizon. Increasing Westlake Chemical's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Westlake Chemical is useful when determining the fair value of the Westlake stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Westlake Chemical. Since Westlake Chemical is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Westlake Stock. However, Westlake Chemical's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 148.37 | Real 129.41 | Target 134.71 | Hype 148.26 | Naive 146.55 |
The real value of Westlake Stock, also known as its intrinsic value, is the underlying worth of Westlake Chemical Company, which is reflected in its stock price. It is based on Westlake Chemical's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Westlake Chemical's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Westlake Chemical's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Westlake Chemical helps investors to forecast how Westlake stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Westlake Chemical more accurately as focusing exclusively on Westlake Chemical's fundamentals will not take into account other important factors: Westlake Chemical Company Current Valuation Analysis
Westlake Chemical's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Westlake Chemical Current Valuation | 22.08 B |
Most of Westlake Chemical's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Westlake Chemical is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Westlake Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Westlake Chemical is extremely important. It helps to project a fair market value of Westlake Stock properly, considering its historical fundamentals such as Current Valuation. Since Westlake Chemical's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Westlake Chemical's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Westlake Chemical's interrelated accounts and indicators.
Click cells to compare fundamentals
Westlake Current Valuation Historical Pattern
Today, most investors in Westlake Chemical Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Westlake Chemical's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's current valuation growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Westlake Chemical current valuation as a starting point in their analysis.
Westlake Chemical Current Valuation |
| Timeline |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Westlake Chemical has a Current Valuation of 22.08 B. This is 93.52% higher than that of the Chemicals sector and 28.33% lower than that of the Materials industry. The current valuation for all United States stocks is 32.82% lower than that of the firm.
Westlake Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Westlake Chemical's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Westlake Chemical could also be used in its relative valuation, which is a method of valuing Westlake Chemical by comparing valuation metrics of similar companies.Westlake Chemical is currently under evaluation in current valuation category among related companies.
Westlake Chemical Current Valuation Drivers
We derive many important indicators used in calculating different scores of Westlake Chemical from analyzing Westlake Chemical's financial statements. These drivers represent accounts that assess Westlake Chemical's ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of Westlake Chemical's important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 9.0B | 10.4B | 12.4B | 13.1B | 17.9B | 18.8B | |
| Enterprise Value | 11.7B | 12.7B | 15.7B | 15.8B | 19.5B | 20.5B |
Westlake Chemical ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Westlake Chemical's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Westlake Chemical's managers, analysts, and investors.Environment Score | Governance Score | Social Score |
Westlake Fundamentals
| Return On Equity | 0.0492 | ||||
| Return On Asset | 0.037 | ||||
| Profit Margin | 0.04 % | ||||
| Operating Margin | (0.02) % | ||||
| Current Valuation | 22.08 B | ||||
| Shares Outstanding | 128.51 M | ||||
| Shares Owned By Insiders | 73.46 % | ||||
| Shares Owned By Institutions | 28.45 % | ||||
| Number Of Shares Shorted | 1.51 M | ||||
| Price To Earning | 4.53 X | ||||
| Price To Book | 1.93 X | ||||
| Price To Sales | 1.57 X | ||||
| Revenue | 12.55 B | ||||
| Gross Profit | 4.07 B | ||||
| EBITDA | 2.33 B | ||||
| Net Income | 479 M | ||||
| Cash And Equivalents | 2.23 B | ||||
| Cash Per Share | 13.94 X | ||||
| Total Debt | 4.91 B | ||||
| Debt To Equity | 0.52 % | ||||
| Current Ratio | 2.48 X | ||||
| Book Value Per Share | 79.88 X | ||||
| Cash Flow From Operations | 2.34 B | ||||
| Short Ratio | 3.91 X | ||||
| Earnings Per Share | 3.70 X | ||||
| Price To Earnings To Growth | 1.59 X | ||||
| Target Price | 153.39 | ||||
| Number Of Employees | 15.52 K | ||||
| Beta | 1.31 | ||||
| Market Capitalization | 19.26 B | ||||
| Total Asset | 21.04 B | ||||
| Retained Earnings | 10.14 B | ||||
| Working Capital | 3.82 B | ||||
| Current Asset | 2.18 B | ||||
| Current Liabilities | 522.64 M | ||||
| Annual Yield | 0.01 % | ||||
| Five Year Return | 1.32 % | ||||
| Net Asset | 21.04 B | ||||
| Last Dividend Paid | 1.71 |
About Westlake Chemical Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Westlake Chemical's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Westlake Chemical using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Westlake Chemical based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Westlake Chemical Investors Sentiment
The influence of Westlake Chemical's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Westlake. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.
Investor biases related to Westlake Chemical's public news can be used to forecast risks associated with an investment in Westlake. The trend in average sentiment can be used to explain how an investor holding Westlake can time the market purely based on public headlines and social activities around Westlake Chemical. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Westlake Chemical's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Westlake Chemical's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Westlake Chemical's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Westlake Chemical.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Westlake Chemical in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Westlake Chemical's short interest history, or implied volatility extrapolated from Westlake Chemical options trading.
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether Westlake Chemical is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Westlake Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Westlake Chemical Stock. Highlighted below are key reports to facilitate an investment decision about Westlake Chemical Stock:Check out Westlake Chemical Piotroski F Score and Westlake Chemical Altman Z Score analysis. For more information on how to buy Westlake Stock please use our How to buy in Westlake Stock guide.You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Complementary Tools for Westlake Stock analysis
When running Westlake Chemical's price analysis, check to measure Westlake Chemical's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Westlake Chemical is operating at the current time. Most of Westlake Chemical's value examination focuses on studying past and present price action to predict the probability of Westlake Chemical's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Westlake Chemical's price. Additionally, you may evaluate how the addition of Westlake Chemical to your portfolios can decrease your overall portfolio volatility.
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Is Westlake Chemical's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Westlake Chemical. If investors know Westlake will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Westlake Chemical listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.29) | Dividend Share 1.714 | Earnings Share 3.7 | Revenue Per Share 98.18 | Quarterly Revenue Growth (0.14) |
The market value of Westlake Chemical is measured differently than its book value, which is the value of Westlake that is recorded on the company's balance sheet. Investors also form their own opinion of Westlake Chemical's value that differs from its market value or its book value, called intrinsic value, which is Westlake Chemical's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Westlake Chemical's market value can be influenced by many factors that don't directly affect Westlake Chemical's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Westlake Chemical's value and its price as these two are different measures arrived at by different means. Investors typically determine if Westlake Chemical is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Westlake Chemical's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.