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Westlake Chemical Partners LP (Westlake Chemical Partners LP) Sloan Ratio % : -20.97% (As of Mar. 2024)


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What is Westlake Chemical Partners LP Sloan Ratio %?

Richard Sloan from the University of Michigan was first to document what is referred to as the "accrual anomaly". His 1996 paper found that shares of companies with small or negative accruals vastly outperform (+10%) those of companies with large ones.

Westlake Chemical Partners LP's Sloan Ratio for the quarter that ended in Mar. 2024 was -20.97%.

As of Mar. 2024, Westlake Chemical Partners LP has a Sloan Ratio of -20.97%, indicating there is a warning stage of accrual build up.


Westlake Chemical Partners LP Sloan Ratio % Historical Data

The historical data trend for Westlake Chemical Partners LP's Sloan Ratio % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Westlake Chemical Partners LP Sloan Ratio % Chart

Westlake Chemical Partners LP Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Sloan Ratio %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -23.83 -22.80 -17.67 -28.25 -24.44

Westlake Chemical Partners LP Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Sloan Ratio % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -33.85 -31.46 -31.27 -24.44 -20.97

Competitive Comparison of Westlake Chemical Partners LP's Sloan Ratio %

For the Chemicals subindustry, Westlake Chemical Partners LP's Sloan Ratio %, along with its competitors' market caps and Sloan Ratio % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Westlake Chemical Partners LP's Sloan Ratio % Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Westlake Chemical Partners LP's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where Westlake Chemical Partners LP's Sloan Ratio % falls into.



Westlake Chemical Partners LP Sloan Ratio % Calculation

Earnings contain a lot of non cash earnings which is called accruals. The Sloan ratio is a way to identify firms with low non-cash or accrual-derived earnings relative to their cash flow.

Westlake Chemical Partners LP's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Sloan Ratio=(Net Income (A: Dec. 2023 )-Cash Flow from Operations (A: Dec. 2023 )
-Cash Flow from Investing (A: Dec. 2023 ))/Total Assets (A: Dec. 2023 )
=(54.283-451.999
--75.937)/1316.842
=-24.44%

Westlake Chemical Partners LP's Sloan Ratio for the quarter that ended in Mar. 2024 is calculated as

Sloan Ratio=(Net Income (TTM)-Cash Flow from Operations (TTM))
-Cash Flow from Investing (TTM))/Total Assets (Q: Mar. 2024 )
=(54.224-411.704
--85.938)/1295.076
=-20.97%

Westlake Chemical Partners LP's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was 11.886 (Jun. 2023 ) + 13.206 (Sep. 2023 ) + 14.299 (Dec. 2023 ) + 14.833 (Mar. 2024 ) = $54 Mil.
Westlake Chemical Partners LP's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was 98.543 (Jun. 2023 ) + 100.925 (Sep. 2023 ) + 107.671 (Dec. 2023 ) + 104.565 (Mar. 2024 ) = $412 Mil.
Westlake Chemical Partners LP's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was -46.513 (Jun. 2023 ) + -6.81 (Sep. 2023 ) + -22.842 (Dec. 2023 ) + -9.773 (Mar. 2024 ) = $-86 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Westlake Chemical Partners LP  (NYSE:WLKP) Sloan Ratio % Explanation

A former University of Michigan researcher, Richard Sloan's 1996 paper found that shares of companies with small or negative accruals vastly outperform (+10%) those of companies with large ones. In fact, for the 40-year period between 1962 and 2001, buying the lowest accrual companies and shorting the highest accrual companies resulted in an average annual compounded return of 18%, more than double the S&P 500's 7.4% annual return over the same period.

According to How to Beat the Market with the Sloan Ratio:

If the Sloan Ratio is between -10% and 10%, the company is in the safe zone and there is no funny business with accruals.

If the Sloan Ratio is less than between -25% and -10% on the negative side, and between 10% and 25% on the positive side, this is a warning stage of accrual build up.

If the Sloan Ratio is less than -25% or greater than 25%, and this ratio is consistent over several quarters or even years, be careful. Earnings are highly likely to be made up of accruals.

As of Mar. 2024, Westlake Chemical Partners LP has a Sloan Ratio of -20.97%, indicating there is a warning stage of accrual build up.


Westlake Chemical Partners LP Sloan Ratio % Related Terms

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Westlake Chemical Partners LP (Westlake Chemical Partners LP) Business Description

Traded in Other Exchanges
N/A
Address
2801 Post Oak Boulevard, Suite 600, Houston, TX, USA, 77056
Westlake Chemical Partners LP is a part of the chemical industry in the United States. Its operations are conducted through OpCo, it acquires and develop ethyelene production facilities, which convert ethane into ethylene. OpCo sells ethylene and its co-products such as propylene, crude butadiene, pyrolysis gasoline, and hydrogen to Westlake and other customers located in the United States. Its assets include three ethylene production facilities in Calvert City, Kentucky, and Lake Charles, Louisiana.
Executives
Andrew Kenner officer: SVP, Olefin Material & Corp Pr 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
Randy Woelfel director 3411-3433 W. EL SEGUNDO BLVD., HAWTHORNE CA 90250
G Stephen Finley director 9320 LAKESIDE BOULEVARD, SUITE 100, THE WOODLANDS TX 77381
Lisa A. Friel director 2611 PLUM HOLLOW, SAN ANTONIO TX 78258
James Chao director, 10 percent owner 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
Thomas J. Janssens officer: VP, Olefins Feedstock & Energy 2801 POST OAK BLVD., SUITE 600, HOUSTON TX 77056
Johnathan Stevan Zoeller officer: VP and CAO 2801 POST OAK BLVD., SUITE 600, HOUSTON TX 77056
Albert Chao director, 10 percent owner, officer: President & CEO 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
L. Benjamin Ederington director, officer: VP, General Counsel 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
Mark Steven Bender director, officer: Sr VP, CFO 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
Lawrence E. Teel officer: SVP, Olefins 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
Ttwfgp Llc 10 percent owner 2801 POST OAK BLVD, SUITE 600, HOUSTON TX 77056
David Lumpkins director 600 TRAVIS STREET, SUITE 3250, HOUSTON TX 77002
Angela A Minas director 3262 WESTHEIMER ROAD #627, HOUSTON TX 77098
Blackstone Securities Partners L.p. 10 percent owner 345 PARK AVENUE, NEW YORK NY 10154-0191

Westlake Chemical Partners LP (Westlake Chemical Partners LP) Headlines