Westlake Corporation ( WLK Quick Quote WLK - Free Report) is set to release second-quarter 2022 results before the opening bell on Aug 2. Westlake beat the Zacks Consensus Estimate for earnings in each the last four quarters, the average being 13.8%. It posted an earnings surprise of around 24% in the last reported quarter. The company’s second-quarter results are likely to have benefited from higher demand for polyethylene and polyvinyl chloride (“PVC”) resin. Let’s see how things are shaping up for this announcement. What do the Estimates Say?
The Zacks Consensus Estimate for Westlake’s second-quarter revenues is currently pinned at $4,294.8 million, which indicates a 50.2% year-over-year increase.
Factors to Watch For
Westlake is likely to have benefited from strong demand for its products on continued global economic expansion in the second quarter. It is likely to have gained from higher demand in its polyethylene business in specialty applications, especially consumer product packaging and strength in global demand for PVC resin.
WLK is likely to have witnessed strong demand and pricing for PVC resin on the back of continued strength in the residential construction market and strong repair and remodeling markets. Strong housing and remodeling activity is expected to have driven performance in its Housing and Infrastructure Products segment. The company’s Performance and Essential Materials business is also likely to have witnessed strength in polyethylene for packaging and consumer markets in the June quarter.
Our proven model does not conclusively predict an earnings beat for Westlake this season. The combination of a positive
Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. But that’s not the case here. Earnings ESP: Earnings ESP for Westlake is -4.16%. The Zacks Consensus Estimate for earnings for the second quarter is currently pegged at $6.33. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter. Zacks Rank: Westlake currently carries a Zacks Rank #3. Stocks That Warrant a Look
Here are some companies in the basic materials space you may want to consider as our model shows these have the right combination of elements to post an earnings beat this quarter:
Albemarle Corporation ( ALB Quick Quote ALB - Free Report) , scheduled to release earnings on Aug 3, has an Earnings ESP of +11.87% and carries a Zacks Rank #2. You can see . the complete list of today’s Zacks #1 Rank stocks here The Zacks Consensus Estimate for Albemarle's second-quarter earnings has been revised 11.8% upward over the past 60 days. The consensus estimate for ALB’s earnings for the quarter is currently pegged at $2.94. Celanese Corporation ( CE Quick Quote CE - Free Report) , scheduled to release earnings on Jul 28, has an Earnings ESP of +0.89% and carries a Zacks Rank #3. The Zacks Consensus Estimate for Celanese’s second-quarter earnings has been revised 2.2% upward over the past 60 days. The Zacks Consensus Estimate for CE’s earnings for the quarter is currently pegged at $4.58. Eastman Chemical Company ( EMN Quick Quote EMN - Free Report) , slated to release earnings on Jul 28, has an Earnings ESP of +0.16% and carries a Zacks Rank #3. The Zacks Consensus Estimate for Eastman Chemical’s second-quarter earnings has revised 0.7% upward over the past 60 days. The consensus estimate for EMN’s earnings for the second quarter stands at $2.69. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.