Westlake Corp: Risk Reward Update

研报英文原文证据摘录

M

Update

August 5, 2026 04:01 AM GMT

Westlake Corp | North America

Morgan Stanley & Co. LLC

Vincent Andrews

Equity Analyst

Risk Reward Update

Westlake Corp (WLK.N, WLK UN)

What’s Changed

Chemicals | United States of America

Updated Components

Stock Rating

Industry View

Price target

Shr price, close (Aug 4, 2026)

52-Week Range

EPS

Bull Base Bear Scenarios

Equal-weight

In-Line

$92.00

$80.63

$124.16-56.33

Risk Reward for Westlake Corp (WLK.N) has been updated

Fiscal Year Ending

12/25 12/26e 12/27e 12/28e

Reason for change

EPS ($)**

Prior EPS ($)**

(0.94)

We update our estimates for WLK post 2Q26 reporting. We update our EPS

estimates as follows: 3Q26 is unchanged at $2.05 (vs. $1.45 consensus), 2026 is

3.54

3.50

2.45

2.48

1.26

1.22

Unless otherwise noted, all metrics are based on Morgan Stanley ModelWare

framework

** = Based on consensus methodology

e = Morgan Stanley Research estimates

revised from $3.50 to $3.54 (vs. $2.97 consensus), 2027 is revised from $2.48 to

$2.45 (vs. $3.16 consensus), and 2028 is revised from $1.22 to $1.26 (vs. $3.42

consensus). Accordingly, 3Q26 EBITDA is revised from $664M to $666M (vs. $569M

consensus), 2026 EBITDA is revised from $1,946M to $1,969M (vs. $1,870M

consensus), 2027 EBITDA is revised from $1,793M to $1,782M (vs. $1,901M

consensus), and 2028 EBITDA is unchanged at $1,591M (vs. $1,981M consensus). Our

updated forecast primarily reflects: (i) the 2Q26 beat and unchanged HIP guidance

(i.e., $4.4B sales; 19% margins at low ends of guided ranges); (ii) segment

commentary from the earnings materials including a relatively steady global

demand environment and color on operating rates by chemical chain; and (iii) a

mark-to-market of commodity prices and energy values across PEM.

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Research. Investors should consider Morgan Stanley

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decision.