Westlake Chemical Stock Market Value
| WLK Stock | USD 129.16 1.25 0.98% |
| Symbol | Westlake |
Westlake Chemical Price To Book Ratio
Is Commodity Chemicals space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Westlake Chemical. If investors know Westlake will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Westlake Chemical listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.62) | Dividend Share 2.05 | Earnings Share 0.72 | Revenue Per Share 94.405 | Quarterly Revenue Growth 0.001 |
The market value of Westlake Chemical is measured differently than its book value, which is the value of Westlake that is recorded on the company's balance sheet. Investors also form their own opinion of Westlake Chemical's value that differs from its market value or its book value, called intrinsic value, which is Westlake Chemical's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Westlake Chemical's market value can be influenced by many factors that don't directly affect Westlake Chemical's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Westlake Chemical's value and its price as these two are different measures arrived at by different means. Investors typically determine if Westlake Chemical is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Westlake Chemical's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Westlake Chemical 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Westlake Chemical's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Westlake Chemical.
| 10/23/2024 |
| 11/22/2024 |
If you would invest 0.00 in Westlake Chemical on October 23, 2024 and sell it all today you would earn a total of 0.00 from holding Westlake Chemical or generate 0.0% return on investment in Westlake Chemical over 30 days. Westlake Chemical is related to or competes with Sensient Technologies, Innospec, Minerals Technologies, Oil Dri, H B, Quaker Chemical, and Cabot. Westlake Corporation manufactures and supplies petrochemicals, polymers, and building products worldwide More
Westlake Chemical Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Westlake Chemical's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Westlake Chemical upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.18) | |||
| Maximum Drawdown | 8.54 | |||
| Value At Risk | (2.32) | |||
| Potential Upside | 2.03 |
Westlake Chemical Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Westlake Chemical's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Westlake Chemical's standard deviation. In reality, there are many statistical measures that can use Westlake Chemical historical prices to predict the future Westlake Chemical's volatility.| Risk Adjusted Performance | (0.08) | |||
| Jensen Alpha | (0.31) | |||
| Total Risk Alpha | (0.38) | |||
| Treynor Ratio | (0.14) |
Westlake Chemical Backtested Returns
Westlake Chemical shows Sharpe Ratio of -0.16, which attests that the company had a -0.16% return per unit of risk over the last 3 months. Westlake Chemical exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check out Westlake Chemical's Mean Deviation of 1.16, market risk adjusted performance of (0.13), and Standard Deviation of 1.52 to validate the risk estimate we provide. The firm maintains a market beta of 1.33, which attests to a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Westlake Chemical will likely underperform. At this point, Westlake Chemical has a negative expected return of -0.23%. Please make sure to check out Westlake Chemical's value at risk, daily balance of power, as well as the relationship between the Daily Balance Of Power and price action indicator , to decide if Westlake Chemical performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.58 |
Modest predictability
Westlake Chemical has modest predictability. Overlapping area represents the amount of predictability between Westlake Chemical time series from 23rd of October 2024 to 7th of November 2024 and 7th of November 2024 to 22nd of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Westlake Chemical price movement. The serial correlation of 0.58 indicates that roughly 58.0% of current Westlake Chemical price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.58 | |
| Spearman Rank Test | -0.61 | |
| Residual Average | 0.0 | |
| Price Variance | 7.3 |
Westlake Chemical lagged returns against current returns
Autocorrelation, which is Westlake Chemical stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Westlake Chemical's stock expected returns. We can calculate the autocorrelation of Westlake Chemical returns to help us make a trade decision. For example, suppose you find that Westlake Chemical has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Westlake Chemical regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Westlake Chemical stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Westlake Chemical stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Westlake Chemical stock over time.
Current vs Lagged Prices |
| Timeline |
Westlake Chemical Lagged Returns
When evaluating Westlake Chemical's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Westlake Chemical stock have on its future price. Westlake Chemical autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Westlake Chemical autocorrelation shows the relationship between Westlake Chemical stock current value and its past values and can show if there is a momentum factor associated with investing in Westlake Chemical.
Regressed Prices |
| Timeline |
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Westlake Chemical technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.