|Bid||68.47 x 800|
|Ask||68.39 x 1000|
|Day's Range||67.66 - 68.66|
|52 Week Range||57.20 - 109.87|
|Beta (3Y Monthly)||1.50|
|PE Ratio (TTM)||11.45|
|Earnings Date||Aug 6, 2019|
|Forward Dividend & Yield||1.00 (1.47%)|
|1y Target Est||75.75|
Dow Inc. (NYSE:DOW) has begun to recover in recent weeks. DOW stock spiked higher after its separation from DowDuPont in March. However, it started to decline in April after a JPMorgan Chase (NYSE:JPM) analyst rated it an underweight. It would go on to lose almost 23% of its value over the next two months.Source: Shutterstock That decline bottomed on May 31. Although DOW and its industry face deep uncertainty, valuation and cash flows provide a reason to take a chance on Dow stock.The situation is that DOW has become cheap due to trade wars and a murky outlook.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Topping Rival Chemicals ValuationsBack in April, I held a bearish take on DOW stock. Its price-to-earnings (PE) ratio started low as it spun off from the former DowDuPont. Despite the low valuation, l believed it would fall since it still traded at a higher multiple than peers such as LyondellBasell Industries (NYSE:LYB) and Westlake Chemical (NYSE:WLK). * 10 Stocks to Sell for an Economic Slowdown Since that time, DOW stock has fallen from the $55 per share range, dropping to as low as $46.75 a piece in late May. However, from that point, the price decline has stopped and even shown signs of recovery. Even a recent profit warning from German chemical giant BASF (OTCMKTS:BASFY) did not stop DOW from moving higher over the last week. Now, DOW has again gained to just over $50 per share today.Despite that partial recovery, many of my concerns remain. The uncertainty surrounding Dow stock has weighed on both Dow and its former DowDuPont partners, Corteva (NYSE:CTVA) and DuPont de Nemours (NYSE:DD). The trade war continues to hurt profits as well. As our own Vince Martin pointed out, tariffs could reduce EBITDA by $100 million.My InvestorPlace colleague Tezcan Gecgil believes "the bears are in control" and that DOW stock needs a catalyst. Indeed, profit estimates continue to fall. Analysts predict earnings of $4.35 per share for the year. However, that forecast is down from the $4.92 per share seen as recently as 90 days ago. DOW Stock a Buy at These LevelsStill, with Dow Inc. stock now trading at almost 10% less than the early April price, I also have to agree with Mr. Martin that the current price factors in the challenges DOW faces. The forward PE of 9.6x also compares favorably with the other two companies that used to make up DowDuPont as well as Westlake Chemical. Moreover, despite this low valuation, analysts predict robust levels of profit increases. So far, forecasts place earnings growth at 20.2% for this year and just over 10% in 2020. * 7 Dependable Dividend Stocks to Buy On top of that, investors can collect an annual dividend of $2.80 per share while they wait for this growth to drive the stock price higher. At the current DOW stock price, that amounts to a yield of over 5.5%. The old DowDuPont slashed the dividend in both 2017 and 2018 after years of increases. It remains unclear when (or even if) DOW will resume dividend increases. Still, this provides a significant return while investors wait for a recovery in the equity. Bottom Line on DOW StockAt current levels, both the low PE ratio and the dividend payout justify a position in DOW stock. In some respects, DOW has become cheap for a reason. Trade-war related uncertainty has hurt profits. Also, the company has only existed in its current form since March. This makes evaluating the company from quarter to quarter and predicting future changes in the dividend difficult.However, even amid significant earnings increases, we know that its forward PE ratio has fallen to under 10x. Moreover, the company currently delivers a payout of more than 5.5%. If nothing else, investors can profit from DOW stock merely by treating it as an income play. As the trade war drags on and DOW develops a track record, Dow Inc. stock should profit investors whether or not the stock continues to trade at a low PE ratio.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks Top Investors Are Buying Now * The 10 Best Cryptocurrencies to Keep on Your Radar * 7 Marijuana Penny Stocks That Could Triple (But You Won't Make Money) The post Investors Can Clean Up On The Dividend With Dow Stock appeared first on InvestorPlace.
Today, we'll introduce the concept of the P/E ratio for those who are learning about investing. To keep it practical...
Moody's Investors Service ("Moody's") assigned a Baa2 rating to Westlake Chemical Corporation's ("Westlake") Euro-denominated Senior Notes. "Westlake's opportunistic debt issuance will result in a temporary increase in leverage, but the rating incorporated an expectation for an increase in debt over time to help address the company's short position in ethylene," said Ben Nelson, Moody's Vice President -- Senior Credit Officer and lead analyst for Westlake Chemical Company.
Westlake Chemical Corporation (WLK) (“Westlake”) announced today that it has priced its previously announced underwritten public offering of EUR 700,000,000 aggregate principal amount of senior unsecured notes due 2029 (the “Notes”) under its existing shelf registration statement. Westlake intends to use the net proceeds from the proposed public offering of the Notes for general corporate purposes. The offering of the Notes is being made only by means of a prospectus and related prospectus supplement meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
Westlake Chemical Corporation (WLK) (“Westlake”) announced today the commencement of an underwritten public offering, subject to market and other conditions, of senior unsecured notes (the “Notes”) under its existing shelf registration statement. The timing of pricing and terms of the Notes are subject to market conditions and other factors. Westlake intends to use the net proceeds from the proposed public offering of the Notes for general corporate purposes.
Royal® Building Products, a Westlake company, today announced the addition of the first color to their line of PVC Royal Column Wraps. “Sand Dune” is a neutral beige tone and is available in Traditional, Craftsman and Contractor styles. “We saw the need to add a more neutral color option to our line of column wraps to give homes a fresh, coastal look that is both classic and on trend,” said Steve Booz, vice president of marketing and product development, Royal Building Products.
Westlake Chemical Corporation’s (NYSE: WLK) management on Monday provided annual guidance for the first time in the company’s history. BMO’s John McNulty maintained a Market Perform rating on Westlake Chemical with a price target of $75. Westlake Chemical announced second-quarter EBITDA and EPS guidance at $340 million-$363 million and 73 cents-87 cents, respectively.
Small-cap and large-cap companies receive a lot of attention from investors, but mid-cap stocks like Westlake Chemical...
Small-caps and large-caps are wildly popular among investors, however, mid-cap stocks, such as Westlake Chemical...
Westlake Chemical Corporation (WLK), today announced net income, EBITDA, net sales and earnings per share guidance for its second quarter 2019 and full-year financial results. Based on currently available information, Westlake expects that second quarter EBITDA will improve by approximately 8 to 15 percent over results for the first quarter of 2019. Second quarter 2019 net income is expected to be in the range of $106 million to $123 million, with EBITDA projected between $340 million to $363 million, on net sales of $2.1 billion to $2.2 billion, and diluted earnings between $0.73 and $0.87 per share.
New Unpainted Celect Siding Offers Designers, Builders and Homeowners Thousands of Possibilities for Colour Customization
Hedge funds and other investment firms that we track manage billions of dollars of their wealthy clients' money, and needless to say, they are painstakingly thorough when analyzing where to invest this money, as their own wealth also depends on it. Regardless of the various methods used by elite investors like David Tepper and David […]
Royal® Building Products, a Westlake company, today announced that Cedar Renditions™ by Royal® Design Series, its line of premium aluminum siding, is now available in the United States.
Royal Building Products (USA), Inc. today announced that it has completed the acquisition of DaVinci Roofscapes, L.L.C. DaVinci™ began in 1999 and holds a leadership position as a supplier of premium composite roofing and siding. Its products, which will continue to be sold under the DaVinci brand, will complement the existing premium products like Celect®, Zuri® and Cedar Renditions™ available from Royal Building Products. “We are very excited about the addition of DaVinci, which brings an impressive business with a strong leadership position in the composite roofing industry,” said Scott Szwejbka, vice president – exteriors.
Dividend paying stocks like Westlake Chemical Corporation (NYSE:WLK) tend to be popular with investors, and for good...
Westlake (WLK) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
Albert Chao has been the CEO of Westlake Chemical Corporation (NYSE:WLK) since 2004. First, this article will compare...
Lotte Chemical Corp said on Friday that its U.S. ethane cracker in Louisiana is expected to commence commercial operations within May. With the commencement of the plant, the South Korean company hopes to boost its cost competitiveness by diversifying away from mainly naphtha as a feedstock to make ethylene, a key ingredient for petrochemical products, it said in a statement. Lotte Chemical's U.S. ethane cracker is a joint venture with Axiall Corp, which is now merged with Westlake Corp. Lotte owns an 88 percent in the plant, while Westlake Corp holds the remainder.