Robotti Robert Takes $17.18 Million Position in Westlake Corporation $WLK

Key Points

• Robotti Robert acquired 235,379 Westlake shares worth approximately $17.18 million, making WLK about 2.8% of its portfolio and its eighth-largest holding.
• Westlake beat quarterly earnings and revenue expectations, reporting $2.01 EPS on $3.27 billion in revenue, with revenue up 10.8% year over year.
• The company raised its quarterly dividend to $0.533 per share, while analyst sentiment remains cautious: Westlake has an overall “Hold” rating and an average price target of $93.92.

Robotti Robert purchased a new position in shares of Westlake Corporation (NYSE:WLK - Free Report) in the second quarter, according to the company in its most recent disclosure with the SEC. The institutional investor purchased 235,379 shares of the specialty chemicals company's stock, valued at approximately $17,183,000. Westlake accounts for about 2.8% of Robotti Robert's portfolio, making the stock its 8th largest position. Robotti Robert owned approximately 0.18% of Westlake as of its most recent filing with the SEC.

Several other large investors have also made changes to their positions in the company. Caitong International Asset Management Co. Ltd acquired a new position in Westlake during the third quarter valued at approximately $28,000. Quarry LP acquired a new stake in shares of Westlake in the 4th quarter valued at $31,000. Fifth Third Bancorp boosted its holdings in shares of Westlake by 71.3% in the 4th quarter. Fifth Third Bancorp now owns 562 shares of the specialty chemicals company's stock valued at $42,000 after purchasing an additional 234 shares in the last quarter. CIBC Private Wealth Group LLC bought a new position in shares of Westlake in the 3rd quarter valued at $53,000. Finally, NewEdge Advisors LLC increased its stake in shares of Westlake by 49.6% in the 2nd quarter. NewEdge Advisors LLC now owns 745 shares of the specialty chemicals company's stock valued at $57,000 after purchasing an additional 247 shares during the last quarter. Institutional investors and hedge funds own 28.40% of the company's stock.

Westlake Stock Down 0.9%

Shares of WLK opened at $77.55 on Wednesday. The company has a debt-to-equity ratio of 0.55, a quick ratio of 1.70 and a current ratio of 2.45. Westlake Corporation has a 52 week low of $56.33 and a 52 week high of $124.23. The stock has a market capitalization of $9.91 billion, a price-to-earnings ratio of -8.09 and a beta of 0.63. The stock has a fifty day moving average of $77.40 and a 200-day moving average of $93.65.

Westlake (NYSE:WLK - Get Free Report) last issued its quarterly earnings data on Tuesday, August 4th. The specialty chemicals company reported $2.01 earnings per share for the quarter, topping analysts' consensus estimates of $1.83 by $0.18. Westlake had a positive return on equity of 0.93% and a negative net margin of 10.94%.The business had revenue of $3.27 billion for the quarter, compared to analyst estimates of $3.24 billion. During the same quarter in the previous year, the company posted ($1.11) EPS. Westlake's quarterly revenue was up 10.8% compared to the same quarter last year. As a group, sell-side analysts anticipate that Westlake Corporation will post 3.43 earnings per share for the current fiscal year.

Westlake Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Tuesday, August 25th will be issued a dividend of $0.533 per share. This represents a $2.13 annualized dividend and a dividend yield of 2.7%. This is an increase from Westlake's previous quarterly dividend of $0.53. The ex-dividend date is Tuesday, August 25th. Westlake's dividend payout ratio (DPR) is presently -22.13%.

Insider Buying and Selling at Westlake

In other news, Chairman Albert Chao sold 38,873 shares of the company's stock in a transaction that occurred on Tuesday, August 11th. The stock was sold at an average price of $80.28, for a total value of $3,120,724.44. Following the completion of the transaction, the chairman owned 642,880 shares of the company's stock, valued at $51,610,406.40. This represents a 5.70% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. Company insiders own 1.40% of the company's stock.

Analyst Ratings Changes

Several analysts recently weighed in on WLK shares. Citigroup dropped their price objective on Westlake from $95.00 to $85.00 and set a "neutral" rating for the company in a research report on Wednesday, June 24th. JPMorgan Chase & Co. upgraded Westlake from an "underweight" rating to a "neutral" rating and set a $90.00 target price on the stock in a research report on Monday, May 18th. Bank of America lowered their target price on Westlake from $104.00 to $85.00 and set a "neutral" rating for the company in a research note on Tuesday, June 30th. UBS Group reissued a "buy" rating and issued a $117.00 target price (down from $130.00) on shares of Westlake in a report on Friday, June 5th. Finally, The Goldman Sachs Group set a $85.00 price target on shares of Westlake in a research note on Thursday, July 16th. Three research analysts have rated the stock with a Buy rating, ten have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat.com, Westlake presently has an average rating of "Hold" and an average target price of $93.92.

About Westlake

Westlake Corp. is a global manufacturer of petrochemicals, polymers and building products, serving customers across industrial and residential markets. The company's core operations encompass the production of vinyls—primarily polyvinyl chloride (PVC) and its key feedstock vinyl chloride monomer (VCM)—as well as chlor-alkali products including caustic soda and chlorine. In addition, Westlake produces ethylene, propylene and specialty elastomers, along with construction-related materials such as vinyl siding, trim, windows and roofing systems.

Operating a network of vertically integrated plants and distribution centers, Westlake serves markets in North America, Europe and Asia.

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