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Westlake Corporation (WLK) Fair Value & Analysis

Basic Materials · US · Market cap $9.9B

WC Westlake Corporation logo Westlake Corporation WLK · US
Price$77.47
Fair Value$87.62
Upside+13.1%
Quality36/100
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Expensive Growth
Loss-making · -14.9% net margin
Moderate debt · negative free cash flow
2.74% dividend yield
Trails peers (4/13)
Narrow moat 14/100
Evidence: Low Range $40.50 – $145.74 Share as image

Fair value as of: Jul 18, 2026

From 3 valuation models · updated 20 days ago

Fair value updated Jul 18, 2026, revised from $46.85 to $87.62 (+87.0%) since Jun 25, 2026. Share price +1.6% over the past month.

Below-average quality, screening 13% undervalued on our models.

What matters now

  • The model range is unusually wide ($40.50 to $145.74). The outcome hinges heavily on assumptions, so read the point estimate with caution.
  • Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.
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Price vs Fair Value (5 years)

$154.42 $55.28 Fair Value $87.62 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range $55.28 – $154.42 · fair‑value band $40.50 – $145.74 · the $77.47 price screens below the $87.62 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

Westlake Corporation (WLK) currently trades at $77.47, while our model-based Fair Value estimate is $87.62, implying the stock looks roughly 13.1% undervalued today. We read business quality at 36/100 (below-average quality), in the Basic Materials sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: low), always confirm before acting.

Over the trailing twelve months, Westlake Corporation generated revenue of $11.0B at a net margin of -14.9%. Revenue declined 6.8% year over year. It earns a return on equity of -16.0%. Net debt stands at $3.7B. Fundamentals as of Jul 18, 2026

Our scenario range runs from $40.50 (bear case) to $145.74 (bull case); at $77.47, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 37% below its 52-week high and 40% above its 52-week low, currently below its 200-day average. For context, the median of 10 Basic Materials peers we cover trades at -58% fair-value upside, at 13%, WLK screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Gordon GGM $18.65 $37.15 $56.26 70
DDM Multi-Stage $18.65 $32.11 $39.22 61
NCAV (Graham) $34.31 $45.98 $68.62 50
All 3 models by family
Dividend Discount
Gordon GGM $18.65 $37.15 $56.26 70
DDM Multi-Stage $18.65 $32.11 $39.22 61
Asset-Based
NCAV (Graham) $34.31 $45.98 $68.62 50

Widest divergence: Asset-Based ($45.98) versus Dividend Discount ($32.11). Highest evidence: Gordon GGM (70).

Key figures & financial health

Revenue (TTM) $11.0B
Revenue growth (YoY) -6.8%
Net margin -14.9%
Return on equity -16.0%
Free cash flow −$530M FY2025
Operating margin -5.8%
More key figures
EPS (TTM) $-12.70
Dividend yield 2.7%
EPS growth (YoY) -62.3%
Net debt $3.7B FY2025

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 36/100

Of which business quality 36 · Market factors (momentum, volatility) 38

Profitability 8
Margins and returns on capital today
Quality Growth 7
Are margins and returns improving?
Cashflow 9
Earnings quality: real cash, not paper profit
Fin. Strength 52
Balance sheet, leverage, solvency risk
Investment 87
Disciplined investing over empire-building
Low Volatility 61
Calm price path (market factor)
Momentum 25
Price trend over the last 3–12 months (market factor)
52W Momentum 36
Distance to the 52-week high (market factor)
Net Issuance 83
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Westlake Corporation manufactures and markets performance and essential materials, and housing and infrastructure products in the United States, Canada, Germany, China, Mexico, Brazil, France, Italy, and internationally. It operates through two segments, Performance and Essential Materials and The Housing and Infrastructure Products.

Full company description

Westlake Corporation manufactures and markets performance and essential materials, and housing and infrastructure products in the United States, Canada, Germany, China, Mexico, Brazil, France, Italy, and internationally. It operates through two segments, Performance and Essential Materials and The Housing and Infrastructure Products. The Performance and Essential Materials segment offers ethylene, polyethylene, chlor-alkali, chlorinated derivative products, ethylene dichloride, vinyl chloride monomer, polyvinyl chloride (PVC), epoxy specialty resins, and base epoxy resins and intermediaries. The Housing and Infrastructure Products segment provides residential PVC sidings; PVC trim and mouldings; architectural stone veneers; windows; PVC decking; polymer composite and cement roof tiles; PVC pipes and fittings for various water, sewer, electrical, and industrial applications; and PVC compounds for various housing, medical, and automobile products. This segment also offers consumer and commercial products, such as landscape edging; industrial, home, and office matting; marine dock edging; and masonry joint controls. It offers its products to chemical processors; plastics fabricators; small construction contractors; municipalities; and supply warehouses for use in various consumer and industrial markets, including residential construction, flexible and rigid packaging, automotive products, healthcare products, water treatment, wind turbines, and coatings, as well as other durable and non-durable goods. The company was formerly known as Westlake Chemical Corporation and changed its name to Westlake Corporation in February 2022. Westlake Corporation was founded in 1986 and is headquartered in Houston, Texas. Westlake Corporation is a subsidiary of TTWF LP.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Westlake Corporation reported revenue of $11.2B in FY2025 versus $11.8B in FY2021, a compound −1.3%/yr. Reported net income was −$1.5B in FY2025.

Growth Quality 25/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
$11.2B
Latest YoY
−8.0%
Avg. growth/yr (3Y)
−10.9%
Avg. growth/yr (5Y)
+8.3%
Avg. growth/yr (26Y)
+9.5%
Revenue −1.3%/yr
FY21 $11.8B
FY22 $15.8B
FY23 $12.5B
FY24 $12.1B
FY25 $11.2B
Net income
FY21 $2.0B
FY22 $2.2B
FY23 $479M
FY24 $602M
FY25 −$1.5B

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Cite: Fair Value Calculator (2026). "Westlake Corporation Fair Value". https://www.fairvalue-calculator.com/stock/WLK

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

Peer Group

Specialty Chemicals · 680 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 36 · Bottom 25%
Fair Value upside +13% · Top 25%
Return on assets -1% · Bottom 25%
Net margin (TTM) -15% · Bottom 25%
Operating margin (TTM) -6% · Bottom 25%
Revenue growth -7% · Bottom 25%
Dividend yield (TTM) 2.7% · Above median
Debt / equity 0.58× · Higher than 75% of peers

Valuation Multiples vs Specialty Chemicals median · lower = cheaper

P/B 1.13× · Cheaper than median
P/S (TTM) 0.91× · Cheaper than median
EV/EBITDA 17.4× · Pricier than median
PEG 1.70× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 51 · sector 0
FUTURE 0 · sector 19
PAST 0 · sector 23
HEALTH 71 · sector 95
DIVIDEND 55 · sector 24

Insider activity: 46/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Specialty Chemicals stocks, each showing price versus our Fair Value estimate (as of Jul 18, 2026).

Stock Price Fair Value vs Fair Value
Linde plc LIN $520.74 $226.27 -57%
Nan Ya Plastics Corporation 1303 181.50 TWD 255.83 TWD +41%
Wanhua Chemical Group 600309 ¥70.04 ¥68.03 -3%
Novozymes A/S NSISB kr 428.20 kr 179.66 -58%
Asian Paints Limited ASIANPAINT ₹2,689 ₹668.81 -75%
Solar Industries India Limited SOLARINDS ₹18,236 ₹2,793 -85%
Pidilite Industries Limited PIDILITIND ₹1,560 ₹351.84 -77%
PT Chandra Asri Pacific Tbk TPIA 1,805 IDR 2,888 IDR +60%
Linde India Limited LINDEINDIA ₹7,115 ₹757.93 -89%
Berger Paints India Limited BERGEPAINT ₹493.70 ₹164.29 -67%

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Frequently asked questions

Is Westlake Corporation (WLK) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of $87.62 versus a price of $77.47, about +13% (undervalued).
What is the fair value of WLK?
Our model-based fair value for Westlake Corporation is $87.62 (as of Jul 18, 2026), built from audited fundamentals. The current price is $77.47.
What is the quality score of WLK?
Westlake Corporation has a Quality Score of 36/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Westlake Corporation (WLK)?
Westlake Corporation reported trailing-twelve-month revenue of about $11.0B (latest available figure, as of Jul 18, 2026).
What is the net profit margin of WLK?
The net profit margin of Westlake Corporation is about -14.9%, meaning it is currently running at a net loss. Based on the latest reported figures.
Does Westlake Corporation pay a dividend?
Westlake Corporation currently shows a dividend yield of about 2.45% relative to its recent price (as of Jul 18, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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