Whirlpool Corporation (NYSE:WHR) was downgraded by Zacks Investment Research from a “hold” rating to a “strong sell” rating in a report released 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.”
Several other research firms have also commented on WHR. BidaskClub lowered shares of Whirlpool Corporation from a “strong-buy” rating to a “buy” rating in a research note on Tuesday, July 25th. ValuEngine raised shares of Whirlpool Corporation from a “hold” rating to a “buy” rating in a research report on Monday, October 2nd. MKM Partners set a $177.00 target price on shares of Whirlpool Corporation and gave the company a “hold” rating in a research report on Friday, October 6th. Credit Suisse Group set a $187.00 target price on shares of Whirlpool Corporation and gave the company a “neutral” rating in a research report on Tuesday, October 24th. Finally, Royal Bank of Canada downgraded shares of Whirlpool Corporation from a “top pick” rating to a “sector perform” rating and reduced their target price for the company from $209.00 to $184.00 in a research report on Tuesday, October 24th. One research analyst has rated the stock with a sell rating, six have given a hold rating and two have assigned a buy rating to the company. The company has a consensus rating of “Hold” and an average target price of $184.67.
Shares of Whirlpool Corporation (NYSE WHR) traded down $0.69 on Friday, reaching $162.05. 704,500 shares of the company’s stock were exchanged, compared to its average volume of 849,805. Whirlpool Corporation has a twelve month low of $159.71 and a twelve month high of $202.99. The company has a market capitalization of $11,694.95, a PE ratio of 11.62, a P/E/G ratio of 1.58 and a beta of 1.87. The company has a quick ratio of 0.55, a current ratio of 0.90 and a debt-to-equity ratio of 0.65.
Whirlpool Corporation (NYSE:WHR) last posted its earnings results on Monday, October 23rd. The company reported $3.83 earnings per share for the quarter, missing the Zacks’ consensus estimate of $3.90 by ($0.07). The business had revenue of $5.42 billion during 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% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.66 EPS. research analysts forecast that Whirlpool Corporation will post 13.7 EPS for the current fiscal year.
Whirlpool Corporation announced that its board has authorized a stock buyback plan on Wednesday, July 26th that authorizes the company to buyback $2.35 billion in outstanding shares. This buyback authorization authorizes the company to buy up to 16.7% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s board believes its stock is undervalued.
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Institutional investors have recently bought and sold shares of the company. PGGM Investments raised its position in Whirlpool Corporation by 0.6% in the 3rd quarter. PGGM Investments now owns 188,413 shares of the company’s stock worth $34,751,000 after purchasing an additional 1,094 shares during the period. State Board of Administration of Florida Retirement System raised its position in Whirlpool Corporation by 0.9% in the 2nd quarter. State Board of Administration of Florida Retirement System now owns 112,378 shares of the company’s stock worth $21,534,000 after purchasing an additional 1,038 shares during the period. Homrich & Berg grew its holdings in Whirlpool Corporation by 16.6% in the 2nd quarter. Homrich & Berg now owns 3,131 shares of the company’s stock worth $600,000 after acquiring an additional 446 shares during the last quarter. BT Investment Management Ltd bought a new stake in Whirlpool Corporation in the 2nd quarter worth $2,065,000. Finally, Greenhaven Associates Inc. grew its holdings in Whirlpool Corporation by 0.6% in the 2nd quarter. Greenhaven Associates Inc. now owns 2,737,150 shares of the company’s stock worth $524,493,000 after acquiring an additional 17,280 shares during the last quarter. Hedge funds and other institutional investors own 93.18% 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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