|Bid||0.00 x 900|
|Ask||75.43 x 800|
|Day's Range||74.16 - 76.14|
|52 Week Range||59.78 - 124.30|
|Beta (3Y Monthly)||1.15|
|PE Ratio (TTM)||9.92|
|Earnings Date||May 1, 2019 - May 6, 2019|
|Forward Dividend & Yield||1.00 (1.47%)|
|1y Target Est||85.58|
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Westlake Chemical Corporation (NYSE:WLK) as an investment opportunity by taking the expected future cash flows and discounting them to...
Westlake Chemical Corporation will release its 2019 first quarter earnings prior to the market opening on Thursday, May 2, 2019. The company will host a conference call at 11:00 a.m.
Shares of the now-independent Dow Inc (NYSE:DOW) declined on Friday for the first time since the company was spun off . The Midland, Michigan-based manufacturer of chemicals saw its stock fall on a bearish initiation by an analyst. After Dow Inc stock rose for three straight days, investors may have had good reasons to doubt the shares.Source: Shutterstock But investors should remember that the initiation contrasts with the analyses of numerous others on the Street. And while it remains unclear how the bearish evaluation will affect DOW stock in the longer run, the note should remind investors to compare Dow Inc stock to its peers. The InitiationDow Inc stock fell by $2.47 per share to $57.24 per share on Friday, representing a 4.14% decline for the day. At that point, Dow stock had only traded four days since completing its spinoff from DowDuPont (NYSE:DWDP).InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Dow Jones Stocks Holding the Blue Chip Index Back Shares fell after JPMorgan analyst Jeffrey Zekauskas started Dow Inc stock with an "underweight" rating. He set a $49 price target on Dow Inc stock, which would represent a discount of around 12.5% from its current levels. The stock has now received a rating from 17 analysts, and Zekauskas became the first analyst to make a bearish call on DOW stock.In his report, he noted that DOW has a higher dividend than its peers. According to Zekauskas, DOW's 2019 dividend will be equal to 25% of its EBITDA. That implies a yield of about 4.7%. Dow's peers, LyondellBasell Industries (NYSE:LYB) and Westlake Chemical (NYSE:WLK), have lower yields, he wrote. Dow Inc Stock Trades at a Higher Multiple Than Its PeersIt remains unclear whether Dow Inc stock will fall to the $49-per-share level. Still, Zekaukas makes some important points in his report. The forward earnings multiple of Dow Inc stock, based on analysts' average 2019 EPS estimate, is 9.9. LYB stock trades at around 7.8 times its estimated forward earnings, while the forward PE of WLK stock stands at about 8.9.Moreover, Dow Inc stock has returned to trading as an independent company after briefly teaming up with DuPont. At this point, I think traders need more time to fully assess DOW stock. Dividend DangersTraders might overlook these concerns due to Dow's high dividend yield. Unfortunately, investors have good reason to hold doubts about the payout.DowDuPont slashed its dividends in 2017 and 2018 after increasing them annually for years. Conversely, after Abbott Laboratories (NYSE:ABT) and AbbVie (NYSE:ABBV) broke up, they continued their decades-long tradition of yearly payout hikes. As a result , Dow Inc stock will not have a "dividend aristocrat" streak (meaning 25 or more years of annual dividend increases) that it can use to attract investors.For this reason, investors in the chemicals space might see better returns from LyondellBasell stock. LYB trades at a substantially lower forward PE ratio than Dow Inc stock. And despite the fact that LYB's 4.4% dividend yield is slightly lower than that of DOW, LYB has increased its annual payouts for seven straight years. So the outlook of LYB stock's dividends is more certain at this time. Concluding Thoughts on Dow Inc StockThe analyst's initiation has reminded investors to compare Dow Inc stock to its peers before buying DOW stock. But Zekauskas' bearish initiation goes against the grain. For this reason, investors should not simply assume that DOW will fall to $49 per share.However, the analyst argument that DOW may not compare well to its peers is solid. Moreover, DOW stock has only traded for a few days since it again became an independent company. Investors may need more time to develop a deeper understanding of DOW stock before buying the shares. Until the path pf Dow Inc stock becomes clearer, investors should probably look to other equities in the chemicals space.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Medical Marijuana Stocks to Cure Your Portfolio * 8 Best Stocks to Buy for an April Rally * Top 20 Stocks to Buy for 20-Somethings! Compare Brokers The post Analyst Note Fosters Doubts About Dow Inc Stock appeared first on InvestorPlace.
Before we spend days researching a stock idea we'd like to take a look at how hedge funds and billionaire investors recently traded that stock. S&P 500 Index ETF (SPY) lost 13.5% in the fourth quarter. Seven out of 11 industry groups in the S&P 500 Index were down more than 20% from their 52-week […]
Westlake Chemical Corp NYSE:WLKView full report here! Summary * ETFs holding this stock are seeing positive inflows * Bearish sentiment is low * Economic output in this company's sector is contracting Bearish sentimentShort interest | PositiveShort interest is extremely low for WLK with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting WLK. Money flowETF/Index ownership | NegativeETF activity is negative and may be weakening. The net inflows of $1.34 billion over the last one-month into ETFs that hold WLK are among the lowest of the last year and appear to be slowing. Economic sentimentPMI by IHS Markit | NegativeAccording to the latest IHS Markit Purchasing Managersâ€™ Index (PMI) data, output in the Basic Materialsis falling. The rate of decline is significant relative to the trend shown over the past year. Credit worthinessCredit default swapCDS data is not available for this security.Please send all inquiries related to the report to firstname.lastname@example.org.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Celanese and PPG Industries Announced New AppointmentsCelanese’s leadership changesIn a press release on April 8, Celanese (CE) announced changes in its top leadership. Celanese said that Mark Rohr, its chairman and CEO, will be the
Chemical Companies: Key Highlights Last Week(Continued from Prior Part)Convertible special stock dividendIn a press on April 3, A. Schulman, LyondellBasell’s (LYB) subsidiary, declared a quarterly dividend of $15.00 per share for the holders of
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Shares of Dow Inc. fell 0.9% in premarket trade Friday, after J.P. Morgan analyst Jeffrey Zekauskas took a bearish stance on the newly-independent materials science company citing relative valuation concerns. Zekauskas initiated coverage with an underweight rating and stock price target of $49, which is 18% below Thursday's closing price of $59.71, which makes him the only analyst of the 17 covering the company that is bearish, according to FactSet. Dow, which was spun off from DowDuPont Inc. and became a Dow Jones Industrial Average component this week. Zekauskas said he believes Dow trades at a premium to its peers, which he sees as LyondellBasel Industries N.V. and Westlake Chemical Corp. , because of its larger dividend. "We do not believe that that Dow would maintain its multiple premium versus other North American petrochemical companies were the possibility of a recession meaningful," Zekauskas wrote in a note to clients. "The risk to the Dow share price is, for this reason, larger than that of the price risk of the other petrochemical companies as Dow could well lose the dividend premium it receives currently."
Houston-based Westlake Chemical Partners LP (NYSE: WLKP) is planning to raise $62.5 million in a private placement of the company’s stock to help fund a $200 million deal. The proceeds of the placement will go toward the purchase of additional interest in the subsidiary that holds Westlake Partners’ operating assets, called Westlake Chemical OpCo LP. Westlake Partners has reached a deal to buy another 4.5 percent interest in Westlake OpCo from its other owner, Westlake Chemical Corp. (NYSE: WLK), for about $201.4 million, according to a filing with the U.S. Securities and Exchange Commission.
Westlake Chemical Corporation (WLK), today announced the company has joined the Alliance to End Plastic Waste (AEPW), an organization launched in January 2019 to advance solutions to eliminate plastic waste in the environment, especially in the ocean. “Westlake is pleased to have joined the Alliance to End Plastic Waste as part of our long-standing commitment to sustainability,” said Albert Chao, President and Chief Executive Officer, Westlake Chemical Corporation.
Eastman Chemical: New Client Order for Its Tritan CopolyesterTritan gets a new order In a press release on March 21, Eastman Chemical (EMN) announced that Tritan will collaborate with Skullcandy—known for its lifestyle headphones. Skullcandy has
Westlake (WLK) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
Celanese Increases Acetyl Intermediate PricesAcetyl intermediate prices In a press release on March 20, Celanese (CE) announced a price increase on several acetyl intermediate products. The price increase will be effective immediately or as
DowDuPont Subsidiary Confirms Share BuyBack after SeparationDow confirms stock repurchase after separationIn a press release on March 18, 2019, Dow, which is set to be separated from DowDuPont (DWDP), announced that it had confirmed the adoption of
Chemical Companies: Analyzing Key Updates Last Week(Continued from Prior Part)Price increaseIn a press release on March 13, Celanese (CE) announced that it would increase the price of its ATEVA EVA polymers. The company increased the price by $80
In December 2018, Westlake Chemical Corporation (NYSE:WLK) released its most recent earnings announcement, which signalled that the business faced a major headwind with earnings deteriorating by -24%. Below, I've laidRead More...
Chemical Companies: How Did They Perform Last Week?(Continued from Prior Part)Westlake ChemicalOn February 19, Westlake Chemical (WLK) announced its fourth-quarter earnings. The company reported an adjusted EPS of $0.95—compared to $1.62 in
Chemical Companies: How Did They Perform Last Week?(Continued from Prior Part)Acetyl intermediates On February 20, Celanese (CE) announced higher prices for acetyl intermediate products. The price increase is seen across different regions as
Chemical Companies: How Did They Perform Last Week?(Continued from Prior Part)LyondellBasell declared its first-quarter dividendIn a press release on February 22, LyondellBasell (LYB) announced its first-quarter dividend. To be eligible for the
Chemical Companies: How Did They Perform Last Week?(Continued from Prior Part)EU product authorizationOn February 20, Eastman Chemical (EMN) announced that Cedroz, its crop protection innovation, received authorization from the Regulatory Affairs
NEW YORK, Feb. 22, 2019 -- In new independent research reports released early this morning, Market Source Research released its latest key findings for all current investors,.