Whirlpool Corporation (NYSE:WHR) was downgraded by Zacks Investment Research from a “hold” rating to a “strong sell” rating in a note issued to investors on Friday, October 27th.
According to Zacks, “Continuing with its trend of reporting dismal earnings surprises, Whirlpool posted fifth consecutive earnings miss in third-quarter 2017. Moreover, top line lagged estimates for the second straight time. Adjusted operating margin was hurt by adverse product price/mix and raw material inflation, which is likely to continue throughout 2018. While both top and bottom line improved year over year, management slashed earnings guidance for 2017 on expectations of higher raw material inflation and unfavorable price/mix that led to a downtrend in estimates. However, management reiterated its 2020 goals and remains optimistic about ongoing growth initiatives as well as global cost-based pricing and fixed cost reduction strategies. This has helped the company outperform the broader industry in the last three months. Additionally, Whirlpool’s innovation strategy that helps it to tap incremental sales and gain market share, bodes well.”
WHR has been the topic of a number of other reports. ValuEngine raised Whirlpool Corporation from a “hold” rating to a “buy” rating in a research note on Monday, October 2nd. MKM Partners set a $177.00 price target on Whirlpool Corporation and gave the stock a “hold” rating in a research report on Friday, October 6th. Royal Bank Of Canada reaffirmed a “buy” rating and issued a $209.00 price target on shares of Whirlpool Corporation in a research report on Tuesday, October 10th. BidaskClub cut Whirlpool Corporation from a “buy” rating to a “hold” rating in a research report on Wednesday, August 2nd. Finally, Bank of America Corporation cut Whirlpool Corporation from a “buy” rating to a “neutral” rating and set a $183.00 price objective on the stock. in a research report on Tuesday, October 24th. One equities research analyst has rated the stock with a sell rating, six have issued a hold rating and two have given a buy rating to the company. The stock has an average rating of “Hold” and a consensus price target of $184.67.
Shares of Whirlpool Corporation (NYSE:WHR) opened at $162.05 on Friday. Whirlpool Corporation has a 1 year low of $159.71 and a 1 year high of $202.99. The company has a market capitalization of $11,645.36, a PE ratio of 11.57, a price-to-earnings-growth ratio of 1.57 and a beta of 1.87. The company has a debt-to-equity ratio of 0.65, a quick ratio of 0.55 and a current ratio of 0.90.
Whirlpool Corporation (NYSE:WHR) last announced its quarterly earnings data on Monday, October 23rd. The company reported $3.83 EPS for the quarter, missing the Zacks’ consensus estimate of $3.90 by ($0.07). The business had revenue of $5.42 billion for the quarter, compared to analyst estimates of $5.50 billion. Whirlpool Corporation had a return on equity of 18.45% and a net margin of 3.76%. The company’s revenue was up 3.2% compared to the same quarter last year. During the same quarter in the previous year, the business posted $3.66 earnings per share. equities analysts predict that Whirlpool Corporation will post 13.7 earnings per share for the current fiscal year.
Whirlpool Corporation announced that its board has approved a share repurchase plan on Wednesday, July 26th that authorizes the company to repurchase $2.35 billion in shares. This repurchase authorization authorizes the company to buy up to 16.7% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s management believes its stock is undervalued.
Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Vanguard Group Inc. increased its holdings in shares of Whirlpool Corporation by 0.3% in the second quarter. Vanguard Group Inc. now owns 7,314,502 shares of the company’s stock worth $1,401,605,000 after acquiring an additional 23,724 shares in the last quarter. Greenhaven Associates Inc. boosted its position in shares of Whirlpool Corporation by 0.8% during the third quarter. Greenhaven Associates Inc. now owns 2,759,675 shares of the company’s stock worth $508,994,000 after buying an additional 22,525 shares during the period. Harris Associates L P boosted its position in shares of Whirlpool Corporation by 12.5% during the second quarter. Harris Associates L P now owns 2,180,839 shares of the company’s stock worth $417,892,000 after buying an additional 241,659 shares during the period. Diamond Hill Capital Management Inc. boosted its position in shares of Whirlpool Corporation by 7.1% during the third quarter. Diamond Hill Capital Management Inc. now owns 1,837,517 shares of the company’s stock worth $338,912,000 after buying an additional 122,189 shares during the period. Finally, Dimensional Fund Advisors LP boosted its position in Whirlpool Corporation by 7.4% during the second quarter. Dimensional Fund Advisors LP now owns 1,141,492 shares of the company’s stock valued at $218,713,000 after purchasing an additional 79,088 shares during the last quarter. Institutional investors and hedge funds own 93.39% of the company’s stock.
About Whirlpool Corporation
Whirlpool Corporation is a manufacturer and marketer of home appliances. The Company’s segments include North America; Europe, Middle East and Africa (EMEA); Latin America, and Asia. In North America, the Company markets and distributes home appliances and small domestic appliances under a range of brand names.
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