Westlake (NYSE:WLK) Upgraded by Zacks Research to “Hold” Rating

Westlake (NYSE:WLK) was upgraded by analysts at Zacks Research from a “strong sell” rating to a “hold” rating in a research report issued to clients and investors on Tuesday,Zacks.com reports. Zacks Research also issued estimates for Westlake’s Q3 2026 earnings at $1.17 EPS, Q4 2026 earnings at $0.37 EPS, FY2026 earnings at $2.78 EPS, Q1 2027 earnings at $0.50 EPS, Q2 2027 earnings at $0.99 EPS, Q3 2027 earnings at $0.34 EPS, Q4 2027 earnings at $0.56 EPS, FY2027 earnings at $2.40 EPS, Q1 2028 earnings at ($0.37) EPS, Q2 2028 earnings at $0.65 EPS and FY2028 earnings at $1.60 EPS.

A number of other research analysts also recently issued reports on the stock. Citigroup dropped their price target on shares of Westlake from $95.00 to $85.00 and set a “neutral” rating on the stock in a research report on Wednesday, June 24th. JPMorgan Chase & Co. upgraded shares of Westlake from an “underweight” rating to a “neutral” rating and set a $90.00 price objective for the company in a research report on Monday, May 18th. Weiss Ratings restated a “sell (d)” rating on shares of Westlake in a report on Friday, July 17th. Truist Financial dropped their target price on shares of Westlake from $127.00 to $104.00 and set a “buy” rating on the stock in a report on Monday, July 20th. Finally, Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and set a $115.00 price target on shares of Westlake in a research report on Thursday, May 7th. Three equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Westlake currently has a consensus rating of “Hold” and a consensus target price of $93.92.

Westlake Price Performance

Shares of WLK opened at $74.46 on Tuesday. The business has a 50-day moving average of $76.30 and a 200-day moving average of $93.22. The company has a debt-to-equity ratio of 0.55, a current ratio of 2.45 and a quick ratio of 1.70. The company has a market capitalization of $9.52 billion, a price-to-earnings ratio of -7.77 and a beta of 0.63. Westlake has a 1 year low of $56.33 and a 1 year high of $124.23.

Westlake (NYSE:WLK) last announced its earnings results on Tuesday, August 4th. The specialty chemicals company reported $2.01 EPS for the quarter, beating the consensus estimate of $1.83 by $0.18. The business had revenue of $3.27 billion for the quarter, compared to analysts’ expectations of $3.24 billion. Westlake had a positive return on equity of 0.93% and a negative net margin of 10.94%.The firm’s revenue was up 10.8% on a year-over-year basis. During the same period in the prior year, the business posted ($1.11) earnings per share. As a group, equities research analysts anticipate that Westlake will post 3.35 earnings per share for the current year.

Insider Buying and Selling at Westlake

In other news, Chairman Albert Chao sold 38,873 shares of Westlake stock in a transaction on Tuesday, August 11th. The shares were sold at an average price of $80.28, for a total value of $3,120,724.44. Following the completion of the sale, the chairman owned 642,880 shares in the company, valued at $51,610,406.40. The trade was a 5.70% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 1.40% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Westlake

A number of large investors have recently bought and sold shares of WLK. California State Teachers Retirement System grew its holdings in Westlake by 5,958.8% in the second quarter. California State Teachers Retirement System now owns 2,693,700 shares of the specialty chemicals company’s stock worth $196,640,000 after purchasing an additional 2,649,241 shares during the period. HB Wealth Management LLC acquired a new position in shares of Westlake during the second quarter valued at about $202,000. AlphaGrep UK Ltd bought a new position in shares of Westlake during the 2nd quarter worth about $897,000. AXQ Capital LP bought a new position in shares of Westlake during the 2nd quarter worth about $3,755,000. Finally, Nykredit A S acquired a new stake in shares of Westlake in the 2nd quarter valued at about $69,000. 28.40% of the stock is currently owned by institutional investors and hedge funds.

Westlake News Summary

Here are the key news stories impacting Westlake this week:

• Positive Sentiment: Zacks raised its EPS forecasts for Q1 2027 to $0.50 from $0.43, Q2 2027 to $0.99 from $0.66, Q4 2027 to $0.56 from $0.14, and full-year 2027 to $2.40 from $1.96. The firm also increased its Q2 2028 estimate to $0.65 from $0.35. These revisions suggest some expected improvement in portions of Westlake’s specialty-chemicals business. Westlake analyst estimates
• Positive Sentiment: Recent coverage highlighted Westlake’s stronger quarterly results: the company reported adjusted EPS of $2.01, exceeding the $1.83 consensus estimate, while revenue of $3.27 billion also topped expectations and increased 10.8% year over year. Why Is Westlake in Focus After Stronger Results?
• Neutral Sentiment: Analysts collectively rate Westlake at “Hold,” indicating that improving results are offset by concerns about the broader earnings outlook. Westlake Receives Consensus Hold Recommendation
• Negative Sentiment: Zacks cut its Q3 2027 EPS forecast to $0.34 from $0.73, Q1 2028 to a loss of $0.37 from a loss of $0.02, and FY2028 to $1.60 from $2.00. Its FY2026 estimate of $2.78 is also below the broader full-year consensus of $3.43, reinforcing concerns about profitability.
• Negative Sentiment: Westlake’s valuation backdrop remains challenging: the company recently reported a negative net margin, and its shares remain well below their 200-day moving average. The combination of a “Strong Sell” rating, uneven forward estimates, and cyclical chemical-market risks is likely contributing to the stock’s weakness.

Westlake Company Profile

Westlake Corp. is a global manufacturer of petrochemicals, polymers and building products, serving customers across industrial and residential markets. The company’s core operations encompass the production of vinyls—primarily polyvinyl chloride (PVC) and its key feedstock vinyl chloride monomer (VCM)—as well as chlor-alkali products including caustic soda and chlorine. In addition, Westlake produces ethylene, propylene and specialty elastomers, along with construction-related materials such as vinyl siding, trim, windows and roofing systems.

Operating a network of vertically integrated plants and distribution centers, Westlake serves markets in North America, Europe and Asia.