Whirlpool (WHR) Outpaces Stock Market Gains: What You Should Know

Whirlpool (WHR) ended the recent trading session at $55.47, demonstrating a +2.19% change from the preceding day’s closing price. The stock’s performance was ahead of the S&P 500’s daily gain of 0.11%. Elsewhere, the Dow saw a downswing of 0.13%, while the tech-heavy Nasdaq appreciated by 0.18%.

Prior to today’s trading, shares of the maker of Maytag, KitchenAid and other appliances had lost 9.46% lagged the Consumer Discretionary sector’s loss of 6.69% and the S&P 500’s loss of 4.28%.

Analysts and investors alike will be keeping a close eye on the performance of Whirlpool in its upcoming earnings disclosure. The company’s earnings per share (EPS) are projected to be $0.72, reflecting a 57.65% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $3.51 billion, indicating a 3.01% decline compared to the corresponding quarter of the prior year.

WHR’s full-year Zacks Consensus Estimates are calling for earnings of $5.43 per share and revenue of $15.33 billion. These results would represent year-over-year changes of -12.84% and -1.25%, respectively.

Any recent changes to analyst estimates for Whirlpool should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we’ve established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 3.6% lower. At present, Whirlpool boasts a Zacks Rank of #5 (Strong Sell).

Valuation is also important, so investors should note that Whirlpool has a Forward P/E ratio of 10 right now. This indicates no noticeable deviation in contrast to its industry’s Forward P/E of 10.

Also, we should mention that WHR has a PEG ratio of 2.67. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company’s expected earnings growth rate. By the end of yesterday’s trading, the Household Appliances industry had an average PEG ratio of 1.44.