Goldman Sachs Raises Westlake Chemicals Price Target To $33

In a report released this morning, Goldman Sachs said that it has raised its Westlake Chemical Corporation WLK price target to $33 from $29. “We are raising our 2010/2011/2012 EPS estimates to $2.79/$2.28/$2.31 from $1.90/$1.70/$1.75 based on recent and projected hikes in polyethylene prices and Americas Morning Summary November 8, 2010 Goldman Sachs Global Investment Research our revised margin estimates,” Goldman Sachs writes. “We maintain our Sell rating, given that WLK is already trading 9.3% above our new price target and because we remain skeptical about the earnings of the Vinyls. While WLK results are impressive, LYB, which trades at 5.5X 2011E EBITDA vs. WLK at 6.7X 2011E EBITDA, offers greater upside, in our opinion.” Westlake Chemical currently trades at $36.40.