Westlake Chemical EBITDA vs. Shares Owned By Insiders

WLKP Stock  USD 24.06  0.03  0.12%   
Taking into consideration Westlake Chemical's profitability measurements, Westlake Chemical's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Westlake Chemical's ability to earn profits and add value for shareholders.
 
EBITDA  
First Reported
2010-12-31
Previous Quarter
472.1 M
Current Value
436.1 M
Quarterly Volatility
149.2 M
 
Credit Downgrade
 
Yuan Drop
 
Covid
As of 12/11/2024, Price To Sales Ratio is likely to drop to 0.46. In addition to that, Days Sales Outstanding is likely to drop to 33.90. At this time, Westlake Chemical's Operating Income is relatively stable compared to the past year. As of 12/11/2024, Income Before Tax is likely to grow to about 349.8 M, while Net Income is likely to drop slightly above 51.6 M.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.270.3254
Significantly Down
Pretty Stable
Net Profit Margin0.04330.0456
Notably Down
Pretty Stable
Operating Profit Margin0.350.3004
Fairly Up
Pretty Stable
Pretax Profit Margin0.340.2817
Fairly Up
Pretty Stable
Return On Assets0.03920.0412
Notably Down
Slightly volatile
For Westlake Chemical profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Westlake Chemical to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Westlake Chemical Partners utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Westlake Chemical's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Westlake Chemical Partners over time as well as its relative position and ranking within its peers.
  
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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
0.373
Dividend Share
1.886
Earnings Share
1.75
Revenue Per Share
32.447
Quarterly Revenue Growth
(0.14)
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 Shares Owned By Insiders vs. EBITDA Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Westlake Chemical's current stock value. Our valuation model uses many indicators to compare Westlake Chemical value to that of its competitors to determine the firm's financial worth.
Westlake Chemical Partners is rated third in ebitda category among its peers. It is rated first in shares owned by insiders category among its peers . The ratio of EBITDA to Shares Owned By Insiders for Westlake Chemical Partners is about  10,531,854 . At this time, Westlake Chemical's EBITDA is relatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Westlake Chemical by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Westlake Shares Owned By Insiders vs. EBITDA

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.

Westlake Chemical

EBITDA

 = 

Revenue

-

Basic Expenses

 = 
472.14 M
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.

Westlake Chemical

Insiders Shares

 = 

Executives Shares

+

Employees

 = 
44.83 %
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.

Westlake Shares Owned By Insiders Comparison

Westlake Chemical is currently under evaluation in shares owned by insiders category among its peers.

Westlake Chemical Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Westlake Chemical, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Westlake Chemical will eventually generate negative long term returns. The profitability progress is the general direction of Westlake Chemical's change in net profit over the period of time. It can combine multiple indicators of Westlake Chemical, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-794.5 M-754.8 M
Operating Income357.7 M358.7 M
Income Before Tax335.4 M349.8 M
Total Other Income Expense Net-22.3 M-21.2 M
Net Income54.3 M51.6 M
Income Tax Expense813 K772.4 K
Net Income Applicable To Common Shares57.8 M54.9 M
Net Income From Continuing Ops338.8 M292 M
Non Operating Income Net Other1.4 M1.2 M
Interest Income22.6 M17.7 M
Net Interest Income-24.6 M-25.8 M
Change To Netincome5.8 M5.5 M
Net Income Per Share 1.54  1.46 
Income Quality 8.33  8.74 
Net Income Per E B T 0.16  0.15 

Westlake Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Westlake Chemical. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Westlake Chemical position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Westlake Chemical's important profitability drivers and their relationship over time.

Use Westlake Chemical in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Westlake Chemical position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Westlake Chemical will appreciate offsetting losses from the drop in the long position's value.

Westlake Chemical Pair Trading

Westlake Chemical Partners Pair Trading Analysis

The ability to find closely correlated positions to Westlake Chemical could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Westlake Chemical when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Westlake Chemical - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Westlake Chemical Partners to buy it.
The correlation of Westlake Chemical is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Westlake Chemical moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Westlake Chemical moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Westlake Chemical can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Westlake Chemical position

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Junk Bonds Funds
Junk Bonds Funds Theme
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You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Junk Bonds Funds Theme or any other thematic opportunities.
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Additional Tools for Westlake Stock Analysis

When running Westlake Chemical's price analysis, check to measure Westlake Chemical's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Westlake Chemical is operating at the current time. Most of Westlake Chemical's value examination focuses on studying past and present price action to predict the probability of Westlake Chemical's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Westlake Chemical's price. Additionally, you may evaluate how the addition of Westlake Chemical to your portfolios can decrease your overall portfolio volatility.