
Westlake Chemical (WLK) Stock Forecast & Price Target
Westlake Chemical (WLK) Analyst Ratings
Bulls say
Westlake Corp is poised for growth due to a modest increase in US housing starts, which supports demand for its building products and positions the company favorably within the market. The company's solid margin of 23.7% surpasses expectations, indicating effective management performance, particularly in the context of a competitive pricing environment amid elevated industry inventory levels. Additionally, Westlake's strategic focus on accretive mergers and acquisitions in its Housing and Infrastructure Products segment is expected to unlock significant value, potentially driving future EBITDA growth toward $2.3 billion by 2026.
Bears say
Westlake Corp's latest financial results indicate a declining trend in profitability, evidenced by a 19.7% EBITDA margin, which reflects a 4.2% year-over-year decrease attributed to a shift toward lower price and margin products. Additionally, weakened housing market conditions are a significant concern, as U.S. housing starts fell 7% year-over-year in August, particularly impacting single-family home construction. The company's exposure to volatile crude prices and a challenging European market further exacerbate the risks to its financial performance, suggesting an unfavorable outlook for the stock.
This aggregate rating is based on analysts' research of Westlake Chemical and is not a guaranteed prediction by Public.com or investment advice.
Westlake Chemical (WLK) Analyst Forecast & Price Prediction
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