Westlake Chemical (WLK) PT Lowered to $170 at Piper Sandler

Piper Sandler analyst Charles Neivert lowered the price target on Westlake Chemical (NYSE: WLK) to $170.00 (from $180.00) while maintaining a Overweight rating.

The analyst commented, "We have updated our WLK model based on the release of 2Q24 earnings, updated guidance and our own recent channel checks. Given the new data and channel information we are maintaining our OW rating but reducing our PT to $170 (prior $180). Valuation is based on a multiple of 8.8x (prior 8.9x) on 2025 EV/EBITDA. We see earnings growth that may exceed a number of peers based on the company’s ability to gain share in building products markets, despite some weakness in the overall housing market. However, the challenging economic conditions in the EU and the very weak growth prospects in China should be a drag on the company’s ability to raise prices and margins, especially in the vinyl chain which is tied to both the housing market and the sizable production capabilities in that chain."

You May Also Be Interested In

• JD.com (JD) Reiterated at Buy by Benchmark Amid Earnings Recovery
• SVB & T Corporation (SVBT) Tops Q2 EPS by 275c
• Freedom Broker Upgrades Serve Robotics (SERV) to Buy