Westlake Corporation (WLK)

Over the last 12 months, Westlake's stock price has decreased, but it has seen an increase in the past month and year-to-date. Key events impacting the stock in the past six months include the Q3 2025 earnings report, which missed analysts' expectations, and the annual revenue and loss report, which led investors to reassess the company's valuation. The Q4 2024 earnings report, while outside the six-month window, provided context for the start of the period, reflecting increased sales volume offset by declining average sales prices. The Q2 2025 earnings report showed an improvement from Q1 2025, attributed to seasonally higher sales volume and margins in the HIP segment, partially offset by lower sales volume in the PEM segment.

Westlake Corporation experiences demand seasonality, particularly in its Housing and Infrastructure Products (HIP) segment. The company's EBITDA saw an increase in the second quarter of 2025, primarily driven by seasonal demand in the HIP segment. Sequential improvement in net income from Q1 to Q2 2025 was attributed to increased sales volumes and margins in the HIP segment, partially offset by issues in the PEM segment.

Westlake Corporation is a global diversified industrial company that manufactures and supplies essential petrochemicals, polymers, and fabricated building products, serving a wide range of consumer and industrial markets. The company operates primarily within the Basic Materials sector, specifically in the Chemicals and Building Products industry. Westlake's operations are divided into two main segments: Performance and Essential Materials (PEM) and Housing and Infrastructure Products (HIP). The PEM segment provides foundational materials, while the HIP segment focuses on finished goods and key materials used in construction and infrastructure development.

Westlake Corporation has a global presence with approximately 16,000 employees and operations worldwide, maintaining a strong foothold in North America, Europe, and Asia. Specific locations include facilities in China, South Korea, Mexico, Portugal, Romania, Tunisia, Taiwan, and Vietnam, in addition to its North American operations.

Westlake Corporation has been actively working to enhance its ESG profile through strategic initiatives, such as investing in advanced recycling techniques for carbon fiber. However, the company's reputation has also been affected by operational challenges, including a net loss in the first quarter of 2025 due to higher feedstock costs, winter storms, and unplanned operational outages.

Westlake Corporation has 659 institutional owners and shareholders holding a total of 50,865,121 shares. Major institutional owners include TTWF LP, Orbis Allan Gray Ltd, Vanguard Group Inc, BlackRock, Inc., Victory Capital Management Inc, Price T Rowe Associates Inc /md/, Brandes Investment Partners, Lp, UBS Asset Management AG, Norges Bank Investment Management, and Dimensional Fund Advisors Lp.