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Whirlpool (WHR) Surpasses Market Returns: Some Facts Worth Knowing

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Whirlpool (WHR - Free Report) closed at $81.72 in the latest trading session, marking a +0.43% move from the prior day. The stock outperformed the S&P 500, which registered a daily gain of 0.01%. Elsewhere, the Dow saw a downswing of 0.22%, while the tech-heavy Nasdaq appreciated by 0.32%.

The the stock of maker of Maytag, KitchenAid and other appliances has risen by 6.17% in the past month, lagging the Consumer Discretionary sector's gain of 6.65% and overreaching the S&P 500's gain of 5.2%.

Market participants will be closely following the financial results of Whirlpool in its upcoming release. In that report, analysts expect Whirlpool to post earnings of $1.73 per share. This would mark a year-over-year decline of 27.62%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.84 billion, down 3.8% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $8.61 per share and a revenue of $15.5 billion, demonstrating changes of -29.48% and -6.7%, respectively, from the preceding year.

It is also important to note the recent changes to analyst estimates for Whirlpool. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Whirlpool is currently a Zacks Rank #4 (Sell).

Looking at its valuation, Whirlpool is holding a Forward P/E ratio of 9.45. This signifies no noticeable deviation in comparison to the average Forward P/E of 9.45 for its industry.

The Household Appliances industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 224, placing it within the bottom 9% of over 250 industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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