WestRock Company (WRK) Formed Bearish Wedge Down Pattern; Sellers Are Thriving

August 18, 2018 - By Julie Barnes

WestRock Company (NYSE:WRK) Logo

The stock of WestRock Company (WRK) formed a down wedge with $53.66 target or 3.00 % below today’s $55.32 share price. The 5 months wedge indicates high risk for the $13.95B company. If the $53.66 price target is reached, the company will be worth $418.47 million less.
Falling wedges are poor performers for bullish breakouts and are tricky moments to trade. Investors must be aware that the break even failure rate for up or down breakouts is: 11% and 15%. The average rise is 32% and the decline is 15%. The falling wedges has high throwback and pullback rate: 56%, 69% and the percent of wedges meeting target is not very high.

The stock increased 0.36% or $0.2 during the last trading session, reaching $55.32. About 1.14 million shares traded. WestRock Company (NYSE:WRK) has risen 8.45% since August 18, 2017 and is uptrending. It has underperformed by 4.12% the S&P500.

Analysts await WestRock Company (NYSE:WRK) to report earnings on November, 1. They expect $1.26 EPS, up 44.83 % or $0.39 from last year’s $0.87 per share. WRK’s profit will be $317.71M for 10.98 P/E if the $1.26 EPS becomes a reality. After $1.09 actual EPS reported by WestRock Company for the previous quarter, Wall Street now forecasts 15.60 % EPS growth.

WestRock Company (NYSE:WRK) Ratings Coverage

Among 2 analysts covering WestRock (NYSE:WRK), 1 have Buy rating, 0 Sell and 1 Hold. Therefore 50% are positive. WestRock had 3 analyst reports since April 5, 2018 according to SRatingsIntel. Barclays Capital maintained WestRock Company (NYSE:WRK) rating on Thursday, August 9. Barclays Capital has “Equal-Weight” rating and $62 target. The rating was maintained by Citigroup with “Buy” on Thursday, April 5. The rating was maintained by Citigroup on Tuesday, July 10 with “Buy”.

Another recent and important WestRock Company (NYSE:WRK) news was published by Seekingalpha.com which published an article titled: “WestRock: Double-Digit Growth At A Bargain Price” on August 09, 2018.

WestRock Company manufactures and sells paper and packaging solutions for the consumer and corrugated markets in North America, South America, Europe, and Asia. The company has market cap of $13.95 billion. The firm operates through Corrugated Packaging, Consumer Packaging, and Land and Development divisions. It has a 7.88 P/E ratio. The Corrugated Packaging segment produces containerboards, corrugated sheets, corrugated packaging, and preprinted linerboards for consumer and industrial products manufacturers, and corrugated box manufacturers; and recycled fiber.

WestRock Company (NYSE:WRK) Ratings Chart

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