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Westlake Corporation (WLK) Stock Analysis

Range Bound setup

SellModerate Confidence

Basic Materials · Specialty Chemicals

Earnings in 4 days (2026-05-05). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Sell if holding. Engine safety override at $113.77: Quality below floor (2.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.6/10. Specifically: High short interest: 10%; Below-average business quality.

Westlake Corporation is a vertically integrated global manufacturer of housing and infrastructure products (HIP segment: PVC pipe, building products) and performance and essential materials (PEM segment: ethylene, PVC, polyethylene, epoxy). Operations span North America, Europe,... Read more

$113.77+7.4% A.UpsideScore 4.6/10#29 of 36 Specialty Chemicals
Stop $105.87Target $121.75(resistance)A.R:R -0.9:1
Analyst target$121.29+6.6%14 analysts
$121.75our TP
$113.77price
$121.29mean
$80
$145

Sell if holding. Engine safety override at $113.77: Quality below floor (2.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.6/10. Specifically: High short interest: 10%; Below-average business quality. Chart setup: RSI 41 mid-range, Bollinger mid-band. Score 4.6/10, moderate confidence.

Passes 4/7 gates (clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and earnings proximity 4d<=7d. Suitability: moderate.

Thesis

Rewards
No bull case signals
Risks
Target reached (-6.9% upside)
Quality below floor (2.3 < 4.0)

Key Metrics

P/E (TTM)
P/E (Fwd)26.6
Mkt Cap$14.3B
EV/EBITDA21.9
Profit Mgn-13.5%
ROE-14.5%
Rev Growth-10.9%
Beta0.75
Dividend1.90%
Rating analysts21

Quality Signals

Piotroski F5/9

Options Flow

P/C0.18bullish
IV74%elevated

Concentration Risks(10-K Item 1A)

  • MEDIUMSupplierethane feedstock and natural gas
    10-K Item 1A: 'We purchase significant amounts of ethane feedstock, natural gas, ethylene and salt to produce several basic chemicals.'
  • MEDIUMGeographicEuropean Union PVC duties
    10-K Item 1A: 'the European Union had imposed a tariff margin of 58.0%, the United Kingdom had imposed a duty of 56.01% and Brazil had imposed a duty of 43.7%'

Material Events(8-K, last 90d)

  • 2026-04-20Item 5.02MEDIUM
    On April 15, 2026, Jonathan Baksht (age 51) appointed SVP and CFO effective June 15, 2026, succeeding Steven Bender who transitions to Special Advisor. Baksht previously CFO of Fortune Brands Innovations and Pactiv Evergreen.
    SEC filing →
  • 2026-04-06Item 1.02MEDIUM
    On April 2, 2026, Westlake terminated its previous 1.5 billion dollar revolving credit agreement (dated June 9, 2022) with JPMorgan Chase, replaced by a new Credit Agreement with same principal amount maturing April 2, 2031.
    SEC filing →
  • 2026-04-02Item 5.02LOW
    On March 30, 2026, Robert Buesinger (EVP, PEM Segment Head) transitioned to Special Advisor; Brian Powers appointed SVP, PEM Segment Head effective April 2, 2026. No reason cited for Buesinger transition.
    SEC filing →
  • 2026-02-23Item 5.02HIGH
    On February 19, 2026, CFO M. Steven Bender notified of intention to retire, effective upon appointment of his successor. No successor named at time of filing. Board also expanded to 14 with two new directors.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
0.9
Quality Rank
1.0
Value Rank
5.7

Cyclical trough — margins compressed or negative. Profitability typically recovers with the cycle, but floor fires on current data.static

Roe
0.0
Roa
0.0
Gross Margin
0.0
Operating Margin
0.0
Net Margin
0.0
Moat
5.0
Piotroski F
5.6
Current Ratio
7.7
No competitive moatQuality concerns
GatesMomentum 4.3<4.5A.R:R -0.9=NEGATIVEEARNINGS PROXIMITY 4d<=7dInsider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARRange BoundSuitability: Moderate
RSI
41 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $109.14Resistance $124.23

Price Targets

$106
$122
A.Upside+7.0%
A.R:R-0.9:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-6.9% upside)
! Quality below floor (2.3 < 4.0)
! Momentum score 4.3/10 — below 4.5 minimum

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-05-05 (4d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is WLK stock a buy right now?

Sell if holding. Engine safety override at $113.77: Quality below floor (2.3 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.6/10. Specifically: High short interest: 10%; Below-average business quality. Chart setup: RSI 41 mid-range, Bollinger mid-band. Prior stop was $105.87. Score 4.6/10, moderate confidence.

What is the WLK stock price target?

Take-profit target: $121.75 (+7.4% upside). Prior stop was $105.87. Stop-loss: $105.87.

What are the risks of investing in WLK?

Target reached (-6.9% upside); Quality below floor (2.3 < 4.0).

Is WLK overvalued or undervalued?

Westlake Corporation trades at a P/E of N/A (forward 26.6). TrendMatrix value score: 5.6/10. Verdict: Sell.

What do analysts say about WLK?

21 analysts cover WLK with a consensus score of 3.7/5. Average price target: $121.

What does Westlake Corporation do?Westlake Corporation is a vertically integrated global manufacturer of housing and infrastructure products (HIP...

Westlake Corporation is a vertically integrated global manufacturer of housing and infrastructure products (HIP segment: PVC pipe, building products) and performance and essential materials (PEM segment: ethylene, PVC, polyethylene, epoxy). Operations span North America, Europe, and Asia. Acquired ACI/Perplastic Group specialty compounding business in January 2026.

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