| WLKP Stock | | | USD 23.80 0.07 0.29% |
Westlake Chemical financial indicator trend analysis is more than just analyzing Westlake Chemical current accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Westlake Chemical is a good investment. Please check the relationship between Westlake Chemical Other Non Cash Items and its Depreciation accounts. Check out
Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Westlake Chemical Partners. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as
signals in industry.
To learn how to invest in Westlake Stock, please use our
How to Invest in Westlake Chemical guide.
Other Non Cash Items vs Depreciation
Other Non Cash Items vs Depreciation Correlation Analysis
The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of
Westlake Chemical Other Non Cash Items account and
Depreciation. At this time, the significance of the direction appears to have fragmental relationship.
The correlation between Westlake Chemical's Other Non Cash Items and Depreciation is 0.48. Overlapping area represents the amount of variation of Other Non Cash Items that can explain the historical movement of Depreciation in the same time period over historical financial statements of Westlake Chemical Partners, assuming nothing else is changed. The correlation between historical values of Westlake Chemical's Other Non Cash Items and Depreciation is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Other Non Cash Items of Westlake Chemical Partners are associated (or correlated) with its Depreciation. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Depreciation has no effect on the direction of Other Non Cash Items i.e., Westlake Chemical's Other Non Cash Items and Depreciation go up and down completely randomly.
Correlation Coefficient | 0.48 |
| Relationship Direction | Positive |
| Relationship Strength | Weak |
Other Non Cash Items
Depreciation
Depreciation indicates how much of Westlake Chemical value has been used up. For tax purposes Westlake Chemical can deduct the cost of the tangible assets it purchases as business expenses. However, Westlake Chemical Partners must depreciate these assets in accordance with IRS rules about how and when the deduction may be taken, and how long it will last. The systematic allocation of the cost of a tangible asset over its useful life.
Most indicators from Westlake Chemical's fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Westlake Chemical current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out
Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in Westlake Chemical Partners. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as
signals in industry.
To learn how to invest in Westlake Stock, please use our
How to Invest in Westlake Chemical guide.As of 12/04/2024,
Selling General Administrative is likely to drop to about 26.9
M. In addition to that,
Tax Provision is likely to drop to about 592.8
KWestlake Chemical fundamental ratios Correlations
Click cells to compare fundamentals
Westlake Chemical Account Relationship Matchups
High Positive Relationship
High Negative Relationship
Westlake Chemical fundamental ratios Accounts
Pair Trading with Westlake Chemical
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Westlake Chemical position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Westlake Chemical will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to Westlake Chemical could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Westlake Chemical when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Westlake Chemical - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Westlake Chemical Partners to buy it.
The correlation of Westlake Chemical is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Westlake Chemical moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Westlake Chemical moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Westlake Chemical can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Additional Tools for Westlake Stock Analysis
When running Westlake Chemical's price analysis, check to
measure Westlake Chemical's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Westlake Chemical is operating at the current time. Most of Westlake Chemical's value examination focuses on studying past and present price action to
predict the probability of Westlake Chemical's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Westlake Chemical's price. Additionally, you may evaluate how the addition of Westlake Chemical to your portfolios can decrease your overall portfolio volatility.