Westlake Chemical Partners (NYSE:WLKP) Reaches New 12-Month Low - Should You Sell?

Key Points

• Westlake Chemical Partners' stock reached a new **12-month low**, trading as low as **$21.38**, raising concerns about potential selling pressure.
• The company reported **earnings per share of $0.41**, which **missed** the consensus estimate of $0.44, alongside a revenue of **$297.12 million**, below the expected $301 million.
• Despite recent challenges, Westlake announced a quarterly **dividend of $0.4714**, reflecting an annualized yield of **8.8%**, though its payout ratio stands at **126.85%**.

Westlake Chemical Partners LP (NYSE:WLKP - Get Free Report) reached a new 52-week low during trading on Thursday . The company traded as low as $21.38 and last traded at $21.43, with a volume of 28752 shares trading hands. The stock had previously closed at $21.58.

Wall Street Analyst Weigh In

WLKP has been the topic of a number of research analyst reports. Zacks Research upgraded shares of Westlake Chemical Partners to a "hold" rating in a research note on Thursday, August 28th. Wall Street Zen downgraded Westlake Chemical Partners from a "buy" rating to a "hold" rating in a research report on Friday, September 5th. One equities research analyst has rated the stock with a Hold rating, According to data from MarketBeat, the stock currently has a consensus rating of "Hold".

Westlake Chemical Partners Price Performance

The stock has a fifty day moving average price of $21.95 and a 200-day moving average price of $22.45. The company has a market cap of $743.92 million, a PE ratio of 14.19, a price-to-earnings-growth ratio of 2.66 and a beta of 0.76. The company has a debt-to-equity ratio of 0.48, a current ratio of 2.15 and a quick ratio of 2.10.

Westlake Chemical Partners (NYSE:WLKP - Get Free Report) last released its earnings results on Tuesday, August 5th. The basic materials company reported $0.41 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.44 by ($0.03). The business had revenue of $297.12 million during the quarter, compared to analysts' expectations of $301.00 million. Westlake Chemical Partners had a net margin of 4.78% and a return on equity of 6.38%. On average, equities analysts expect that Westlake Chemical Partners LP will post 1.55 earnings per share for the current year.

Westlake Chemical Partners Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, August 27th. Stockholders of record on Tuesday, August 12th were paid a $0.4714 dividend. The ex-dividend date of this dividend was Tuesday, August 12th. This represents a $1.89 dividend on an annualized basis and a dividend yield of 8.9%. Westlake Chemical Partners's dividend payout ratio is 126.85%.

Insider Buying and Selling at Westlake Chemical Partners

In related news, CEO Jean-Marc Gilson purchased 4,700 shares of the company's stock in a transaction dated Friday, August 15th. The shares were acquired at an average cost of $21.84 per share, with a total value of $102,648.00. Following the completion of the purchase, the chief executive officer owned 9,208 shares of the company's stock, valued at $201,102.72. The trade was a 104.26% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 1.10% of the company's stock.

Hedge Funds Weigh In On Westlake Chemical Partners

A number of hedge funds have recently modified their holdings of the stock. Energy Income Partners LLC increased its stake in shares of Westlake Chemical Partners by 1.4% in the second quarter. Energy Income Partners LLC now owns 1,774,544 shares of the basic materials company's stock worth $39,200,000 after acquiring an additional 24,459 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in Westlake Chemical Partners by 6.0% during the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 583,932 shares of the basic materials company's stock worth $12,899,000 after buying an additional 32,863 shares during the last quarter. Goldman Sachs Group Inc. increased its position in Westlake Chemical Partners by 3.8% during the first quarter. Goldman Sachs Group Inc. now owns 228,885 shares of the basic materials company's stock worth $5,285,000 after buying an additional 8,424 shares during the last quarter. Pathway Financial Advisers LLC increased its position in Westlake Chemical Partners by 2.4% during the second quarter. Pathway Financial Advisers LLC now owns 105,907 shares of the basic materials company's stock worth $2,339,000 after buying an additional 2,517 shares during the last quarter. Finally, Fractal Investments LLC acquired a new position in Westlake Chemical Partners during the first quarter worth $1,856,000. 78.28% of the stock is owned by institutional investors and hedge funds.

Westlake Chemical Partners Company Profile

Westlake Chemical Partners LP acquires, develops, and operates ethylene production facilities and related assets in the United States. The company's ethylene production facilities primarily convert ethane into ethylene. It also sells ethylene co-products, such as propylene, crude butadiene, pyrolysis gasoline, and hydrogen directly to third parties on either a spot or contract basis.