An Overview of Westlake's Earnings
Westlake (NYSE:WLK) will release its quarterly earnings report on Tuesday, 2025-08-05. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate Westlake to report an earnings per share (EPS) of $0.06.
The announcement from Westlake is eagerly anticipated, with investors seeking news of surpassing estimates and favorable guidance for the next quarter.
It's worth noting for new investors that guidance can be a key determinant of stock price movements.
Past Earnings Performance
Last quarter the company missed EPS by $0.96, which was followed by a 0.0% drop in the share price the next day.
Here's a look at Westlake's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 0.65 | 1.09 | 2.20 | 1.99 |
| EPS Actual | -0.31 | 0.06 | 1.41 | 2.40 |
| Price Change % | -13.0% | 2.0% | 3.0% | -0.0% |
Performance of Westlake Shares
Shares of Westlake were trading at $75.43 as of August 01. Over the last 52-week period, shares are down 46.94%. Given that these returns are generally negative, long-term shareholders are likely a little upset going into this earnings release.
Insights Shared by Analysts on Westlake
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Westlake.
A total of 21 analyst ratings have been received for Westlake, with the consensus rating being Neutral. The average one-year price target stands at $92.14, suggesting a potential 22.15% upside.
Comparing Ratings Among Industry Peers
The below comparison of the analyst ratings and average 1-year price targets of Dow, Hawkins and Olin, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Dow, with an average 1-year price target of $27.45, suggesting a potential 63.61% downside.
- Analysts currently favor an Buy trajectory for Hawkins, with an average 1-year price target of $180.0, suggesting a potential 138.63% upside.
- Analysts currently favor an Neutral trajectory for Olin, with an average 1-year price target of $23.73, suggesting a potential 68.54% downside.
Snapshot: Peer Analysis
Within the peer analysis summary, vital metrics for Dow, Hawkins and Olin are presented, shedding light on their respective standings within the industry and offering valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Westlake | Neutral | -4.34% | $232M | -0.38% |
| Dow | Neutral | -7.43% | $583M | -4.93% |
| Hawkins | Buy | 14.61% | $72.36M | 6.18% |
| Olin | Neutral | 6.95% | $138.10M | -0.07% |
Key Takeaway:
Westlake ranks at the bottom for Revenue Growth and Gross Profit among its peers. It is also at the bottom for Return on Equity. Overall, Westlake's performance is weaker compared to its peers in terms of these key financial metrics.
Get to Know Westlake Better
Westlake Corp is a manufacturer and supplier of chemicals, polymers, and building products. Its Performance and Essential Materials segment offers a wide range of essential building blocks for making products utilized in everyday living, including olefins, vinyl chemicals, polyethylene, and epoxies. Its Housing and Infrastructure Products segment produces key finished goods for building products, pipe and fittings, and global compounds businesses.
Breaking Down Westlake's Financial Performance
Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.
Revenue Challenges: Westlake's revenue growth over 3 months faced difficulties. As of 31 March, 2025, the company experienced a decline of approximately -4.34%. This indicates a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Materials sector.
Net Margin: Westlake's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of -1.41%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Westlake's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive -0.38% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Westlake's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of -0.19%, the company showcases efficient use of assets and strong financial health.
Debt Management: Westlake's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.53.
To track all earnings releases for Westlake visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
