At a glance
Westlake Chemical Corporation is worth $8.41B. Revenue fell 8.0% to $11.17B in fiscal 2025, at a loss; over 5 years it has grown 8.3% a year. It pays a 3.22% dividend yield, raised every year for at least 9 years, and returned $1.35B to shareholders in dividends and buybacks over FY2021–FY2025. The stock returned −11.6% over the past year with dividends reinvested and −5.9% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 52.7% in the 2020 crash (S&P 500: 33.7%) and 41.4% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 6 months and 15 months after the lows.
The business in plain English
Westlake makes chemicals and plastics, and turns part of that output into building products and pipe. It reports two segments. Performance and Essential Materials (PEM) brought in $7.02 billion, or 62.9% of $11.17 billion in revenue, in the fiscal year ended December 31, 2025. It produces ethylene, a building block for plastics, plus chlorine and caustic soda. It then converts them into PVC (polyvinyl chloride, a common plastic), polyethylene and epoxy. These materials end up in packaging, cars, healthcare products, water treatment, wind turbines and coatings.
Housing and Infrastructure Products (HIP) brought in $4.15 billion, or 37.1%. It makes Royal vinyl siding, trim, Cultured Stone and Eldorado Stone veneer, DaVinci composite roofing, vinyl windows for the South and Southeast US, PVC compounds, and PVC pipe and fittings for plumbing and municipal water and sewer systems. Westlake's North American PVC plants supply most of the PVC its siding and pipe plants use.
Westlake is vertically integrated, meaning it makes many of its own raw materials. A controlled affiliate, Westlake Chemical OpCo, supplies Westlake with 95% of the ethylene it produces at cost plus an expected margin of $0.10 per pound. Westlake also owns half of LACC, an ethylene plant in Lake Charles, Louisiana. The United States made up 71.2% of fiscal 2025 revenue, followed by Canada at 7% and Germany at 5.2%.
Price history
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WLK -11.6% over the year to Oct 28, 2026, total return with dividends reinvested.
How it makes money
By business segment
| Performance and Essential Materials Segment | $7.02B | 62.9% |
| Housing and Infrastructure Products Segment | $4.15B | 37.1% |
By geography
| United States | $7.95B | 71.2% |
| Other | $1.08B | 9.7% |
| Canada | $777.0M | 7% |
| Germany | $583.0M | 5.2% |
| Mexico | $194.0M | 1.7% |
| China | $162.0M | 1.5% |
| Brazil | $153.0M | 1.4% |
| Italy | $144.0M | 1.3% |
| France | $125.0M | 1.1% |
Latest results
- In Q2 FY2026 (ended Jun 30, 2026), revenue was $3.27B, up 10.8% from a year earlier, and net income was $260.0M.
- For fiscal 2025, revenue was $11.17B (-8.0% year over year; +8.3% a year from FY2020 to FY2025) with a -13.5% net margin.
Financial health check
| Revenue growth a year (FY2020–FY2025) | +8.3% good |
|---|---|
| Operating margin | -14.1% weak |
| Free cash flow margin | -4.7% weak |
| Return on equity (FY2025) | -17.2% weak |
| Return on assets (FY2025) | -7.6% weak |
| Net cash (cash minus debt) | $-3.21B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2020 | $7.50B | $330.0M | $772.0M |
| FY2021 | $11.78B | $2.02B | $1.74B |
| FY2022 | $15.79B | $2.25B | $2.29B |
| FY2023 | $12.55B | $479.0M | $1.30B |
| FY2024 | $12.14B | $602.0M | $306.0M |
| FY2025 | $11.17B | $-1.51B | $-530.0M |
Valuation snapshot
| Market value | $8.41B |
|---|---|
| P/E ratio | — |
| Dividend yield | 3.22% |
Rank among 1514 US companies
Market value at each year end
Westlake Chemical’s market value went from $7.22B at the end of 2016 to $8.41B on Oct 28, 2026, up 17%; since the end of 2025 it is down 11%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $8.41B | -11.3% |
| 2025 | $9.48B | -35.7% |
| 2024 | $14.76B | -17.7% |
| 2023 | $17.93B | +37.1% |
| 2022 | $13.08B | +5.3% |
| 2021 | $12.42B | +19.1% |
| 2020 | $10.42B | +15.8% |
| 2019 | $9.00B | +5.3% |
| 2018 | $8.55B | -37.9% |
| 2017 | $13.75B | +90.6% |
| 2016 | $7.22B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| WLK price data to Oct 28, 2026 | -9.3% | -11.6% | -15.1% | -5.9% | +4.1% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -9.3% |
| 2025 | -33.8% |
| 2024 | -16.9% |
| 2023 | +38.2% |
| 2022 | +6.8% |
| 2021 | +20.5% |
| 2020 | +18.5% |
| 2019 | +7.7% |
| 2018 | -37.3% |
| 2017 | +92.4% |
| 2016 | +4.7% |
| 2015 | -10.1% |
| 2014 | +0.9% |
| 2013 | +55.2% |
| 2012 | +109.8% |
| 2011 | -7.2% |
| 2010 | +75.2% |
| 2009 | +54.0% |
| 2008 | -13.7% |
| 2007 | -39.3% |
| 2006 | +9.2% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 58.9% over that stretch · deepest drop along the way 58.9%, back to its old high 4.8 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 49% over that stretch · deepest drop along the way 52.7%, back to its old high 5.6 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 8.8% over that stretch · deepest drop along the way 41.4%, back to its old high 14.6 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (25 read): 0 open-market purchases and 3 sales ($3.6M).
| Date | Insider | Type | Value |
|---|---|---|---|
| Aug 11, 2026 | Albert Chao Executive Chairman, Director | sell | $2.5M |
| Aug 11, 2026 | Albert Chao Executive Chairman, Director | sell | $597K |
| Mar 27, 2026 | Robert F. Buesinger EVP, PEM Segment Head | sell | $461K |
Who owns it
ETFs with the most weight in WLK
| FXZ First Trust Materials AlphaDEX Fund | 3.82% |
| BUSA Brandes U.S. Value ETF | 1.22% |
| MAGA Point Bridge America First ETF | 0.61% |
| FNK First Trust Mid Cap Value AlphaDEX Fund | 0.59% |
| TXSS Texas Capital Texas Small Cap Equity Index ETF | 0.47% |
| IFRA iShares U.S. Infrastructure ETF | 0.45% |
| FNX First Trust Mid Cap Core AlphaDEX Fund | 0.29% |
| FMAT Fidelity MSCI Materials Index ETF | 0.28% |
What could go wrong
- Chemical price cycles can wipe out profits. Prices and margins for commodity chemicals swing with global supply and demand. Westlake says past cycles caused operating losses, and in fiscal 2025 it lost $1.51 billion on $11.17 billion of revenue.
- Cheap imports and tough price competition. Most of Westlake's chemicals are commodities facing heavy competition and price pressure. A jump in exports from other countries, or imports priced in violation of fair-trade laws, could hurt the Performance and Essential Materials segment.
- A weak North American housing market. Housing and Infrastructure Products made 37.1% of fiscal 2025 revenue. Westlake warns the North American housing market may stay depressed or decline further, which could cut demand for siding, roofing, windows and pipe.
- Hurricanes and hazardous plant operations. Key ethylene and chlorine plants sit in Lake Charles and Geismar, Louisiana. Hurricanes and other storms, or accidents involving volatile, hazardous chemicals, can shut production, damage sites and lead to lawsuits.
- Swings in feedstock and energy costs. Westlake depends on raw materials, energy and utilities, and on a few outside suppliers for certain feedstocks (chemical raw materials). Price spikes or supply disruptions can raise costs and reduce cash flow.
- Debt load and cash demands. As of June 30, 2026, Westlake had $5.07 billion of debt and $1.85 billion of cash and investments. Free cash flow was negative $530 million in fiscal 2025, and loan terms restrict some actions.
Recent events
- Restructuring or exit costs; Investor presentation or announcement
- Executive or board change
- Quarterly results released; Investor presentation or announcement
- Other company announcement
- Investor presentation or announcement
- Shareholder vote results
- Quarterly results released; Investor presentation or announcement
- Investor presentation or announcement
- Executive or board change; Investor presentation or announcement
- Other company announcement
For income and retirement investors
Westlake has raised its regular dividend for at least nine straight years through fiscal 2025, and the streak may be longer. Dividends per share grew from $1.07 in fiscal 2020 to $2.11 in fiscal 2025, about 14.7% a year, and the dividend yield was 3.22% as of October 28, 2026. In fiscal 2025, though, the company posted a net loss of $1.51 billion and negative free cash flow (cash left after running the business and investing in plants) of $530 million. Neither covered the $272 million it paid in dividends. Share repurchases totaled $277 million over fiscal 2021–2025, and the share count stayed near 128 million from late 2021 to mid-2026.
The stock has fallen sharply in downturns: 58.9% in the 2008 financial crisis, 52.7% in the 2020 COVID crash and 41.4% between May and September 2022. It took 4.8, 5.6 and 14.6 months after each low to recover. Single stocks carry more risk than diversified funds.
Questions investors ask
How does Westlake make money?
Westlake makes money by producing chemicals and plastics and the building products made from them. In fiscal 2025, its Performance and Essential Materials segment, which makes ethylene, chlorine, caustic soda, PVC, polyethylene and epoxy, brought in $7.02 billion, or 62.9% of $11.17 billion in revenue. Its Housing and Infrastructure Products segment, which makes siding, trim, stone veneer, roofing, windows and PVC pipe, brought in $4.15 billion, or 37.1%. About 71.2% of revenue came from the United States.
Does Westlake raise its dividend every year?
Yes, for at least nine straight years through fiscal 2025, and the streak may be longer. Regular dividends per share rose from $1.07 in fiscal 2020 to $2.11 in fiscal 2025, about 14.7% a year. The fiscal 2025 raise, from $2.05, was much smaller than the one before it, from $1.71, and it came in a year when Westlake lost money. The dividend yield was 3.22% as of October 28, 2026.
Is Westlake's dividend covered by earnings?
Not in fiscal 2025. Westlake reported a net loss of $1.51 billion, or $11.70 per diluted share, and negative free cash flow of $530 million, while paying $272 million in dividends. In fiscal 2024, free cash flow of $306 million was only modestly above $264 million in dividends. In the quarter ended June 30, 2026, Westlake earned $260 million on revenue up 10.8% from a year earlier. At that date, it carried $5.07 billion of debt and $1.85 billion of cash and investments.
How has Westlake stock performed over the long term?
Unevenly. As of October 28, 2026, Westlake's share price was up 49% over 10 years, or about 4.1% a year, but down 26% over five years and 11.6% over one year. Calendar-year results swing widely: up 38.24% in 2023, down 16.88% in 2024 and down 33.77% in 2025, with 2026 down 9.33% year to date. In the year to October 28, 2026, the stock fell as much as 50% from a high, and its worst drop over 21 years of price history was 75.2%.
What is Westlake Chemical Partners?
Westlake Chemical Partners is a partnership, formed by Westlake in 2014 and listed through an initial public offering that year, that holds part of Westlake's ethylene business. As of February 18, 2026, it owned 22.8% of Westlake Chemical OpCo plus OpCo's general partner interest. OpCo has three ethylene units in Lake Charles, Louisiana, and Calvert City, Kentucky, and a 200-mile pipeline. Westlake keeps 77.2% of OpCo and 40.1% of the partnership, and OpCo supplies Westlake 95% of its ethylene at cost plus an expected $0.10 per pound.