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Westlake (Baa2/BBB/BBB): Divergence

BASIC INDUSTRIES
  • WLK 1.625 29 widened 15bp last week, has recovered 4bp this week.
  • We haven’t seen news; equity and $ credit remain near YTD highs.
  • WLK $ trades flat to LYB (Baa2/BBB/BBB), 0-5 wide to DOW (Baa1/BBB/BBB+).
  • At Z+120 WLK 1.625 29 screens 20-25bp cheap using those comps.
  • 1Q24 results were solid https://marketnews.com/westlake-baa2-bbb-1q24-results

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  • WLK 1.625 29 widened 15bp last week, has recovered 4bp this week.
  • We haven’t seen news; equity and $ credit remain near YTD highs.
  • WLK $ trades flat to LYB (Baa2/BBB/BBB), 0-5 wide to DOW (Baa1/BBB/BBB+).
  • At Z+120 WLK 1.625 29 screens 20-25bp cheap using those comps.
  • 1Q24 results were solid https://marketnews.com/westlake-baa2-bbb-1q24-results