WHIRLPOOL CORP (WHR) Stock Fundamental Analysis
NYSE:WHR - New York Stock Exchange, Inc. - US9633201069 - Common Stock - Currency: USD
WHR gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 63 industry peers in the Household Durables industry. WHR has a bad profitability rating. Also its financial health evaluation is rather negative. WHR is valued correctly, but it does not seem to be growing. Finally WHR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year WHR was profitable.
WHR had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: WHR reported negative net income in multiple years.
Each year in the past 5 years WHR had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -0.88%, WHR is doing worse than 61.90% of the companies in the same industry.
With a Return On Equity value of -6.34%, WHR is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
WHR has a Return On Invested Capital (6.94%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for WHR is in line with the industry average of 10.05%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.88% | ||
| ROE | -6.34% | ||
| ROIC | 6.94% |
ROA(3y)-2.69%
ROA(5y)1.2%
ROE(3y)-18.9%
ROE(5y)1.58%
ROIC(3y)9.41%
ROIC(5y)11.76%
1.3 Margins
WHR has a Operating Margin (5.79%) which is comparable to the rest of the industry.
In the last couple of years the Operating Margin of WHR has declined.
The Gross Margin of WHR (16.31%) is worse than 88.89% of its industry peers.
WHR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.79% | ||
| PM (TTM) | N/A | ||
| GM | 16.31% |
OM growth 3Y-19.61%
OM growth 5Y-3.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.15%
GM growth 5Y-2.12%
2. Health
2.1 Basic Checks
WHR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
WHR has about the same amout of shares outstanding than it did 1 year ago.
WHR has less shares outstanding than it did 5 years ago.
The debt/assets ratio for WHR has been reduced compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.33, we must say that WHR is in the distress zone and has some risk of bankruptcy.
WHR's Altman-Z score of 1.33 is on the low side compared to the rest of the industry. WHR is outperformed by 76.19% of its industry peers.
The Debt to FCF ratio of WHR is 31.66, which is on the high side as it means it would take WHR, 31.66 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of WHR (31.66) is comparable to the rest of the industry.
A Debt/Equity ratio of 3.16 is on the high side and indicates that WHR has dependencies on debt financing.
With a Debt to Equity ratio value of 3.16, WHR is not doing good in the industry: 93.65% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.16 | ||
| Debt/FCF | 31.66 | ||
| Altman-Z | 1.33 |
ROIC/WACC0.81
WACC8.59%
2.3 Liquidity
WHR has a Current Ratio of 0.85. This is a bad value and indicates that WHR is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of WHR (0.85) is worse than 92.06% of its industry peers.
A Quick Ratio of 0.46 indicates that WHR may have some problems paying its short term obligations.
WHR's Quick ratio of 0.46 is on the low side compared to the rest of the industry. WHR is outperformed by 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.46 |
3. Growth
3.1 Past
The earnings per share for WHR have decreased strongly by -18.04% in the last year.
WHR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -5.33% yearly.
Looking at the last year, WHR shows a very negative growth in Revenue. The Revenue has decreased by -16.06% in the last year.
Measured over the past years, WHR shows a decrease in Revenue. The Revenue has been decreasing by -4.05% on average per year.
EPS 1Y (TTM)-18.04%
EPS 3Y-23%
EPS 5Y-5.33%
EPS Q2Q%-43.93%
Revenue 1Y (TTM)-16.06%
Revenue growth 3Y-8.93%
Revenue growth 5Y-4.05%
Sales Q2Q%-5.41%
3.2 Future
WHR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.35% yearly.
The Revenue is expected to grow by 1.79% on average over the next years.
EPS Next Y-23.41%
EPS Next 2Y-4.58%
EPS Next 3Y3.44%
EPS Next 5Y8.35%
Revenue Next Year-6.35%
Revenue Next 2Y-2.83%
Revenue Next 3Y-0.17%
Revenue Next 5Y1.79%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
WHR is valuated cheaply with a Price/Earnings ratio of 7.66.
80.95% of the companies in the same industry are more expensive than WHR, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 27.03, WHR is valued rather cheaply.
The Price/Forward Earnings ratio is 7.63, which indicates a rather cheap valuation of WHR.
Based on the Price/Forward Earnings ratio, WHR is valued cheaply inside the industry as 82.54% of the companies are valued more expensively.
WHR is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.28, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.66 | ||
| Fwd PE | 7.63 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as WHR.
Based on the Price/Free Cash Flow ratio, WHR is valued a bit cheaper than 65.08% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.6 | ||
| EV/EBITDA | 8.2 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.58%
EPS Next 3Y3.44%
5. Dividend
5.1 Amount
WHR has a Yearly Dividend Yield of 8.47%, which is a nice return.
WHR's Dividend Yield is rather good when compared to the industry average which is at 3.45. WHR pays more dividend than 95.24% of the companies in the same industry.
WHR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.47% |
5.2 History
On average, the dividend of WHR grows each year by 7.77%, which is quite nice.
WHR has been paying a dividend for at least 10 years, so it has a reliable track record.
WHR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.77%
Div Incr Years0
Div Non Decr Years34
5.3 Sustainability
WHR has negative earnings and hence a negative payout ratio. The dividend may be in danger.
The dividend of WHR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP-263.27%
EPS Next 2Y-4.58%
EPS Next 3Y3.44%
84.53
+1.43 (+1.72%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners89.74%
Inst Owner Change0.37%
Ins Owners0.8%
Ins Owner Change3.14%
Market Cap4.72B
Analysts68
Price Target111.54 (31.95%)
Short Float %14.72%
Short Ratio6.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 8.47% |
Yearly Dividend6.98
Dividend Growth(5Y)7.77%
DP-263.27%
Div Incr Years0
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-12.78%
Min EPS beat(2)-23.75%
Max EPS beat(2)-1.82%
EPS beat(4)2
Avg EPS beat(4)-3.56%
Min EPS beat(4)-23.75%
Max EPS beat(4)6.55%
EPS beat(8)5
Avg EPS beat(8)2.98%
EPS beat(12)8
Avg EPS beat(12)4.3%
EPS beat(16)11
Avg EPS beat(16)4.61%
Revenue beat(2)0
Avg Revenue beat(2)-3.02%
Min Revenue beat(2)-3.77%
Max Revenue beat(2)-2.27%
Revenue beat(4)0
Avg Revenue beat(4)-3.18%
Min Revenue beat(4)-3.77%
Max Revenue beat(4)-2.27%
Revenue beat(8)3
Avg Revenue beat(8)-1.24%
Revenue beat(12)4
Avg Revenue beat(12)-1.81%
Revenue beat(16)4
Avg Revenue beat(16)-2.56%
PT rev (1m)10.19%
PT rev (3m)4.08%
EPS NQ rev (1m)-16.44%
EPS NQ rev (3m)-16.48%
EPS NY rev (1m)0.22%
EPS NY rev (3m)-8.83%
Revenue NQ rev (1m)-0.3%
Revenue NQ rev (3m)2.38%
Revenue NY rev (1m)0.41%
Revenue NY rev (3m)0.11%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.66 | ||
| Fwd PE | 7.63 | ||
| P/S | 0.3 | ||
| P/FCF | 19.6 | ||
| P/OCF | 7.64 | ||
| P/B | 2.04 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.2 |
EPS(TTM)11.04
EY13.06%
EPS(NY)11.08
Fwd EY13.11%
FCF(TTM)4.31
FCFY5.1%
OCF(TTM)11.06
OCFY13.08%
SpS277.74
BVpS41.49
TBVpS-66.4
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.88% | ||
| ROE | -6.34% | ||
| ROCE | 8.89% | ||
| ROIC | 6.94% | ||
| ROICexc | 7.66% | ||
| ROICexgc | 18.72% | ||
| OM | 5.79% | ||
| PM (TTM) | N/A | ||
| GM | 16.31% | ||
| FCFM | 1.55% |
ROA(3y)-2.69%
ROA(5y)1.2%
ROE(3y)-18.9%
ROE(5y)1.58%
ROIC(3y)9.41%
ROIC(5y)11.76%
ROICexc(3y)11.16%
ROICexc(5y)14.85%
ROICexgc(3y)43.05%
ROICexgc(5y)42.5%
ROCE(3y)10.83%
ROCE(5y)13.53%
ROICexcg growth 3Y-0.09%
ROICexcg growth 5Y11.01%
ROICexc growth 3Y-23.7%
ROICexc growth 5Y-4.94%
OM growth 3Y-19.61%
OM growth 5Y-3.6%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-8.15%
GM growth 5Y-2.12%
F-Score3
Asset Turnover0.93
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.16 | ||
| Debt/FCF | 31.66 | ||
| Debt/EBITDA | 5.98 | ||
| Cap/Depr | 115.64% | ||
| Cap/Sales | 2.43% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 50.45% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.85 | ||
| Quick Ratio | 0.46 | ||
| Altman-Z | 1.33 |
F-Score3
WACC8.59%
ROIC/WACC0.81
Cap/Depr(3y)135.84%
Cap/Depr(5y)117.19%
Cap/Sales(3y)2.81%
Cap/Sales(5y)2.58%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.04%
EPS 3Y-23%
EPS 5Y-5.33%
EPS Q2Q%-43.93%
EPS Next Y-23.41%
EPS Next 2Y-4.58%
EPS Next 3Y3.44%
EPS Next 5Y8.35%
Revenue 1Y (TTM)-16.06%
Revenue growth 3Y-8.93%
Revenue growth 5Y-4.05%
Sales Q2Q%-5.41%
Revenue Next Year-6.35%
Revenue Next 2Y-2.83%
Revenue Next 3Y-0.17%
Revenue Next 5Y1.79%
EBIT growth 1Y-8.08%
EBIT growth 3Y-26.79%
EBIT growth 5Y-7.5%
EBIT Next Year41.77%
EBIT Next 3Y19.62%
EBIT Next 5Y16.35%
FCF growth 1Y-60.1%
FCF growth 3Y-38.45%
FCF growth 5Y-11.22%
OCF growth 1Y-47.36%
OCF growth 3Y-27.3%
OCF growth 5Y-7.43%