WLK

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YES
12.4% BELOW
↑ Moving away Was -27.6% last week
-15% -10% -5% 0% 5% 10% 15%+
Buy Threshold $109.51
14-Week RSI 70

Westlake Corporation (WLK) closed at $95.93 as of 2026-02-02, trading 12.4% below its 200-week moving average of $109.51. This places WLK in the extreme value zone. The stock moved further from the line this week, up from -27.6% last week. With a 14-week RSI of 70, WLK is in overbought territory.

Over the past 1073 weeks of data, WLK has crossed below its 200-week moving average 17 times. On average, these episodes lasted 21 weeks. Historically, investors who bought WLK at the start of these episodes saw an average one-year return of +8.6%.

With a market cap of $12.3 billion, WLK is a large-cap stock. The company generates a free cash flow yield of 0.1%. Return on equity stands at -8.7%. The stock trades at 1.3x book value.

Over the past 20.7 years, a hypothetical investment of $100 in WLK would have grown to $811, compared to $816 for the S&P 500. WLK has returned 10.7% annualized vs 10.7% for the index, underperforming the broader market over this period.

Free cash flow has been declining at a -43.9% compound annual rate. A deteriorating cash flow trend warrants extra scrutiny — the stock may be cheap for a reason.

Growth of $100: WLK vs S&P 500

Monthly data normalized to $100 at start. Vertical dashed lines mark 200-week MA touches.

What Happens After WLK Crosses Below the Line?

Across 17 historical episodes, buying WLK when it crossed below its 200-week moving average produced an average return of +7.1% after 12 months (median -5.0%), compared to +12.3% for the S&P 500 over the same periods. 41% of those episodes were profitable after one year. After 24 months, the average return was +28.9% vs +18.4% for the index.

Each line shows $100 invested at the moment WLK crossed below its 200-week MA. Bold blue = stock average. Gray dashed = S&P 500 average over same periods.

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Historical Touches

WLK has crossed below its 200-week MA 17 times with an average 1-year return of +8.6% after recovery.

Crossed BelowRecoveredWeeksMax Depth1-Year ReturnReturn Since Touch
Aug 2005Aug 200512.4%+6.7%+851.8%
Sep 2005Oct 200552.6%+18.6%+841.4%
Jun 2006Jun 200636.4%+5.8%+840.3%
Jul 2006Jul 200636.3%+0.5%+825.6%
Aug 2006Aug 200610.5%-2.5%+792.0%
Feb 2007Apr 200787.5%-43.7%+782.6%
May 2007Jul 200911556.4%-43.1%+774.1%
Jan 2010Mar 2010613.5%+89.2%+1040.9%
May 2010Jul 2010918.2%+169.8%+1005.4%
Aug 2015Sep 201532.9%+5.4%+121.5%
Dec 2015Jan 20175624.9%+7.5%+106.3%
Nov 2018Jan 2019712.0%+2.1%+57.7%
Feb 2019Apr 201955.3%-18.5%+54.3%
Apr 2019Nov 20192718.9%-35.3%+68.7%
Nov 2019Nov 20205152.9%+9.0%+54.4%
Dec 2024Jan 202543.8%-34.3%-13.0%
Jan 2025Ongoing54+47.3%Ongoing-13.8%
Average21+8.6%

Not financial advice. This is an educational tool. Past performance does not guarantee future results. Do your own research before making investment decisions.

Data as of Friday close, 2026-02-02