In the latest close session, Whirlpool (WHR) was down 1.39% at $93.15. The stock's performance was behind the S&P 500's daily loss of 0.64%. On the other hand, the Dow registered a loss of 0.2%, and the technology-centric Nasdaq decreased by 1.15%.
The stock of maker of Maytag, KitchenAid and other appliances has risen by 13.75% in the past month, leading the Consumer Discretionary sector's gain of 3.17% and the S&P 500's gain of 1.91%.
The investment community will be paying close attention to the earnings performance of Whirlpool in its upcoming release. On that day, Whirlpool is projected to report earnings of $1.38 per share, which would represent a year-over-year decline of 59.77%. Meanwhile, the latest consensus estimate predicts the revenue to be $3.88 billion, indicating a 2.9% decrease compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $6.32 per share and revenue of $15.41 billion, indicating changes of -48.24% and -7.19%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Whirlpool. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.92% lower. At present, Whirlpool boasts a Zacks Rank of #5 (Strong Sell).
From a valuation perspective, Whirlpool is currently exchanging hands at a Forward P/E ratio of 14.95. Its industry sports an average Forward P/E of 14.95, so one might conclude that Whirlpool is trading at no noticeable deviation comparatively.
The Household Appliances industry is part of the Consumer Discretionary sector. Currently, this industry holds a Zacks Industry Rank of 235, positioning it in the bottom 5% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
