Stock fact sheet · data as of
Westlake Chemical Partners LP (WLKP): fair value, margin of safety and Wheel Score
Ticker symbol WLKP · Basic Materials · Chemicals · United States · Partnership units · Value Quality Income
WLKP trades as units of Westlake Chemical Partners LP, a limited partnership: owners receive a K-1 tax form instead of a 1099, and the payouts are distributions rather than dividends.
Is WLKP undervalued?
WLKP has a margin of safety of 76%: the stock closed at 21.61 on 5 Nov 2026 against a GLS average fair value of 90.63. 8 of the 9 valuation models that produced a number sit above the price. Our scans treat a discount this large as a strong starting point for a cash-secured put, not as a verdict - the fair value is a model output, and a wide gap can mean the models are missing something the market knows.
The 9 models disagree widely: GLS Growth gives 11.06 while 10 Cap gives 262.05. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
Ranked against every other company we cover, WLKP is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 85, growth score 25, out of 100). It also carries the Quality and Income tags (Quality = moat 7.5+ out of 10 and Piotroski 7+; Income = a dividend yield of 4% or more).
Nine valuation models for WLKP
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 43.06 | +99% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 43.00 | +99% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 146.77 | +579% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 59.00 | +173% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 11.06 | -49% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 262.05 | +1113% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 181.02 | +738% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 27.75 | +28% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 41.98 | +94% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -8.81 | -141% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 26.00 | +20% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
On financial health WLKP scores 9/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is 7.5 out of 10 - high returns on capital, steady margins and growth that held up through bad years point to a durable business.
Returns on capital are moderate - ROIC 5.4%, ROE 9.7%, ROA 3.9% - with debt at 0.80 times equity and a free-cash-flow yield of 59.8%.
The dividend yield is high at 8.73% (payout ratio 37%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Product and Service, Other 100% (quarter Q2 FY2021).
Institutional ownership scores 4/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 9 / 9 | ROIC | 5.4% |
|---|---|---|---|
| GLS Moat | 7.5 / 10 | ROE | 9.7% |
| Debt / equity | 0.80 | ROA | 3.9% |
| Free-cash-flow yield | 59.8% | Payout ratio | 37% |
| Institutions | 4 / 10 | Insiders · Congress | 5 · 5 / 10 |
Wheel Score 53: Fair
WLKP scores 53 out of 100 on the Wheel Score (Fair band, 50-69) because it fails filter 1, options that actually trade - options too quiet (532 open interest, 63 a day); and filter 8, big enough - market cap $762M (under $1.0B). A stock must pass all 9 Wheel Trade Filters to reach 70. Otherwise the parts read: value strong, premium strong, moat good, health strong, red flags good, option trading weak, stability fair.
Implied volatility is 47% on the near-the-money contracts 20-60 days out - inside the 35-60% sweet spot the Wheel Score rewards most: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is thin - 532 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 12k shares a day on a market cap of $762M, with a beta of 0.48 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that fair.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Fails | options too quiet (532 open interest, 63 a day) |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Fails | market cap $762M (under $1.0B) |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 76% below fair value | |
| Premium | Strong | implied volatility 47% | |
| Moat | Good | moat 7.5/10 | |
| Health | Strong | Piotroski 9/9 | |
| Red Flags | Good | Red Flags score 80/100 | |
| Option trading | Weak | 63 contracts a day, 532 open interest | |
| Stability | Fair | beta 0.48, $762M company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
No upcoming earnings date is recorded for WLKP in the nightly calendar. The shares go ex-dividend on 13 Nov 2026 (0.4714 per share), so a covered call sold before then carries a small early-assignment risk around that date.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Chemicals
The 12 companies below are the closest to Westlake Chemical Partners LP by market cap within the Chemicals industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| LXU LSB Industries, Inc. | 10.64 | 14.95 | +29% | 45Weak | $766M |
| GPRE Green Plains Inc. | 13.66 | 21.29 | +36% | 47Weak | $958M |
| TROX Tronox Holdings plc | 3.55 | 9.46 | +62% | 31Weak | $567M |
| BAK Braskem S.A. | 1.12 | 19.23 | +94% | 30No options | $446M |
| REX REX American Resources Corporation | 39.60 | 97.70 | +59% | 48Weak | $1.3B |
| VHI Valhi, Inc. | 15.21 | 34.64 | +56% | 30No options | $431M |
| HUN Huntsman Corporation | 9.95 | 39.90 | +75% | 41Weak | $1.7B |
| OLN Olin Corporation | 18.08 | 39.09 | +54% | 46Weak | $2.1B |
| MEOH Methanex Corporation | 65.22 | 102.63 | +36% | 50Fair | $5.0B |
| CE Celanese Corporation | 49.75 | 84.54 | +41% | 51Fair | $5.5B |
| SSL Sasol Limited | 15.28 | 19.76 | +23% | 76Good | $9.8B |
| NPT Texxon Holding Limited Ordinary shares | 1.79 | - | - | 11No options | $40M |
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about WLKP
Is WLKP undervalued right now?
By the GLS models, yes: at 21.61 the stock is 76% below the average fair value of 90.63 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of WLKP and what does it mean?
WLKP scores 53 out of 100 (Fair) - it fails Wheel Trade Filters 1, 8. The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for WLKP?
90.63 per share as of 5 Nov 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Westlake Chemical Partners LP report earnings next?
No upcoming earnings date is recorded for WLKP in our calendar as of 5 Nov 2026; the Calendars page is refreshed every morning.
Does WLKP have listed options, and how liquid are they?
Yes. The nightly snapshot found 24 listed contracts with 532 open interest across all expiries and implied volatility of 47% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.
Is WLKP a partnership?
Yes. WLKP trades as units of Westlake Chemical Partners LP, a limited partnership: owners receive a K-1 tax form instead of a 1099, and the payouts are distributions rather than dividends.