Countdown to Westlake (WLK) Q1 Earnings: A Look at Estimates Beyond Revenue and EPS

Core Insights - Westlake Chemical (WLK) is expected to report quarterly earnings of $0.70 per share, a decline of 47.8% year-over-year, with revenues forecasted at $2.92 billion, reflecting a decrease of 1.9% compared to the same period last year [1] Earnings Estimates - Over the past 30 days, the consensus EPS estimate has been revised downward by 9.8%, indicating a reassessment by analysts [2] - Changes in earnings estimates are crucial for predicting investor reactions, as empirical studies show a strong correlation between earnings estimate revisions and short-term stock price performance [3] Key Metrics Projections - The consensus estimate for 'Net external sales- Performance and Essential Materials' is $1.91 billion, down 1.1% year-over-year [5] - Analysts predict 'Net external sales- Housing and Infrastructure Products' will reach $1.06 billion, reflecting a year-over-year increase of 2% [5] - 'Net external sales- Performance and Essential Materials- Performance Materials' is estimated at $1.12 billion, a decrease of 3.4% year-over-year [6] - 'Net external sales- Performance and Essential Materials- Essential Materials' is projected at $753.23 million, down 1.8% year-over-year [6] - 'Net external sales- Housing and Infrastructure Products- Housing Products' is expected to be $883.99 million, a slight increase of 0.6% year-over-year [7] - 'Net external sales- Housing and Infrastructure Products- Infrastructure Products' is estimated at $172.19 million, reflecting a year-over-year increase of 4.4% [7] EBITDA Estimates - Analysts estimate 'EBITDA- Housing and Infrastructure Products' at $231.71 million, down from $264 million in the same quarter last year [8] - 'EBITDA- Performance and Essential Materials' is projected to be $199.94 million, compared to $253 million in the previous year [8] Stock Performance - Over the past month, shares of Westlake have declined by 9.4%, while the Zacks S&P 500 composite has decreased by only 0.7% [9] - Westlake currently holds a Zacks Rank 5 (Strong Sell), indicating potential underperformance relative to the overall market in the near future [9]