WHIRLPOOL CORP (WHR) Stock Fundamental Analysis
NYSE:WHR - New York Stock Exchange, Inc. - US9633201069 - Common Stock - Currency: USD
Taking everything into account, WHR scores 3 out of 10 in our fundamental rating. WHR was compared to 67 industry peers in the Household Durables industry. Both the profitability and financial health of WHR have multiple concerns. 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
WHR had positive earnings in the past year.
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.
In the past 5 years WHR always reported a positive cash flow from operatings.
1.2 Ratios
WHR has a Return On Assets of -1.98%. This is in the lower half of the industry: WHR underperforms 63.08% of its industry peers.
Looking at the Return On Equity, with a value of -12.04%, WHR is doing worse than 72.31% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.66%, WHR is in line with its industry, outperforming 55.38% of the companies in the same industry.
WHR had an Average Return On Invested Capital over the past 3 years of 9.41%. This is below the industry average of 12.10%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.98% | ||
| ROE | -12.04% | ||
| ROIC | 8.66% |
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
The Operating Margin of WHR (5.39%) is comparable to the rest of the industry.
WHR's Operating Margin has declined in the last couple of years.
With a Gross Margin value of 15.55%, WHR is not doing good in the industry: 96.92% of the companies in the same industry are doing better.
WHR's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.39% | ||
| PM (TTM) | N/A | ||
| GM | 15.55% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), WHR is creating some value.
The number of shares outstanding for WHR remains at a similar level compared to 1 year ago.
The number of shares outstanding for WHR has been reduced compared to 5 years ago.
WHR has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that WHR is in the distress zone and has some risk of bankruptcy.
WHR has a worse Altman-Z score (1.41) than 76.92% of its industry peers.
The Debt to FCF ratio of WHR is 17.21, which is on the high side as it means it would take WHR, 17.21 years of fcf income to pay off all of its debts.
WHR has a Debt to FCF ratio (17.21) which is in line with its industry peers.
A Debt/Equity ratio of 1.78 is on the high side and indicates that WHR has dependencies on debt financing.
With a Debt to Equity ratio value of 1.78, WHR is not doing good in the industry: 89.23% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.78 | ||
| Debt/FCF | 17.21 | ||
| Altman-Z | 1.41 |
ROIC/WACC0.98
WACC8.86%
2.3 Liquidity
A Current Ratio of 0.72 indicates that WHR may have some problems paying its short term obligations.
WHR has a worse Current ratio (0.72) than 95.38% of its industry peers.
A Quick Ratio of 0.44 indicates that WHR may have some problems paying its short term obligations.
With a Quick ratio value of 0.44, WHR is not doing good in the industry: 86.15% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.44 |
3. Growth
3.1 Past
WHR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -24.74%.
Measured over the past years, WHR shows a decrease in Earnings Per Share. The EPS has been decreasing by -5.33% on average per year.
Looking at the last year, WHR shows a very negative growth in Revenue. The Revenue has decreased by -14.63% 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)-24.74%
EPS 3Y-23%
EPS 5Y-5.33%
EPS Q2Q%18.7%
Revenue 1Y (TTM)-14.63%
Revenue growth 3Y-8.93%
Revenue growth 5Y-4.05%
Sales Q2Q%-18.71%
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 12.25% yearly.
Based on estimates for the next years, WHR will show a small growth in Revenue. The Revenue will grow by 2.56% on average per year.
EPS Next Y-19.64%
EPS Next 2Y-2.85%
EPS Next 3Y4.02%
EPS Next 5Y12.25%
Revenue Next Year-6.61%
Revenue Next 2Y-3.16%
Revenue Next 3Y-0.94%
Revenue Next 5Y2.56%
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.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.36, the valuation of WHR can be described as very reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of WHR indicates a somewhat cheap valuation: WHR is cheaper than 70.77% of the companies listed in the same industry.
The average S&P500 Price/Earnings ratio is at 29.98. WHR is valued rather cheaply when compared to this.
The Price/Forward Earnings ratio is 10.41, which indicates a very decent valuation of WHR.
WHR's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.66, WHR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.36 | ||
| Fwd PE | 10.41 |
4.2 Price Multiples
WHR's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of WHR indicates a somewhat cheap valuation: WHR is cheaper than 69.23% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.54 | ||
| EV/EBITDA | 8.9 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-2.85%
EPS Next 3Y4.02%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.82%, WHR is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.10, WHR pays a better dividend. On top of this WHR pays more dividend than 95.38% of the companies listed in the same industry.
WHR's Dividend Yield is rather good when compared to the S&P500 average which is at 2.30.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.82% |
5.2 History
The dividend of WHR is nicely growing with an annual growth rate of 7.77%!
WHR has paid a dividend for at least 10 years, which is a reliable track record.
WHR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.77%
Div Incr Years0
Div Non Decr Years34
5.3 Sustainability
The earnings of WHR are negative and hence is the payout ratio. WHR will probably not be able to sustain this dividend level.
WHR's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-118.89%
EPS Next 2Y-2.85%
EPS Next 3Y4.02%
101.79
-0.9 (-0.88%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)
Earnings (Next)
Inst Owners87.5%
Inst Owner Change3.41%
Ins Owners0.84%
Ins Owner Change0.22%
Market Cap5.60B
Analysts53.33
Price Target112.23 (10.26%)
Short Float %9.77%
Short Ratio5.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.82% |
Yearly Dividend6.98
Dividend Growth(5Y)7.77%
DP-118.89%
Div Incr Years0
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.66%
Min EPS beat(2)4.77%
Max EPS beat(2)6.55%
EPS beat(4)3
Avg EPS beat(4)3.79%
Min EPS beat(4)-1.17%
Max EPS beat(4)6.55%
EPS beat(8)7
Avg EPS beat(8)9.44%
EPS beat(12)9
Avg EPS beat(12)7.33%
EPS beat(16)13
Avg EPS beat(16)8.9%
Revenue beat(2)0
Avg Revenue beat(2)-3.34%
Min Revenue beat(2)-3.34%
Max Revenue beat(2)-3.34%
Revenue beat(4)1
Avg Revenue beat(4)-1.56%
Min Revenue beat(4)-3.34%
Max Revenue beat(4)0.6%
Revenue beat(8)4
Avg Revenue beat(8)-0.41%
Revenue beat(12)4
Avg Revenue beat(12)-2.29%
Revenue beat(16)6
Avg Revenue beat(16)-1.29%
PT rev (1m)0.65%
PT rev (3m)2.39%
EPS NQ rev (1m)-25.83%
EPS NQ rev (3m)-23.76%
EPS NY rev (1m)-16.18%
EPS NY rev (3m)-16.18%
Revenue NQ rev (1m)-1.23%
Revenue NQ rev (3m)-1.44%
Revenue NY rev (1m)-3.95%
Revenue NY rev (3m)-4.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.36 | ||
| Fwd PE | 10.41 | ||
| P/S | 0.34 | ||
| P/FCF | 14.54 | ||
| P/OCF | 6.7 | ||
| P/B | 2.09 | ||
| P/tB | N/A | ||
| EV/EBITDA | 8.9 |
EPS(TTM)12.17
EY11.96%
EPS(NY)9.78
Fwd EY9.61%
FCF(TTM)7
FCFY6.88%
OCF(TTM)15.2
OCFY14.93%
SpS301.96
BVpS48.78
TBVpS-61.02
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.98% | ||
| ROE | -12.04% | ||
| ROCE | 9.97% | ||
| ROIC | 8.66% | ||
| ROICexc | 10.09% | ||
| ROICexgc | 46.3% | ||
| OM | 5.39% | ||
| PM (TTM) | N/A | ||
| GM | 15.55% | ||
| FCFM | 2.32% |
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-Score4
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.78 | ||
| Debt/FCF | 17.21 | ||
| Debt/EBITDA | 3.89 | ||
| Cap/Depr | 135.44% | ||
| Cap/Sales | 2.72% | ||
| Interest Coverage | 2.54 | ||
| Cash Conversion | 68.08% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.44 | ||
| Altman-Z | 1.41 |
F-Score4
WACC8.86%
ROIC/WACC0.98
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)-24.74%
EPS 3Y-23%
EPS 5Y-5.33%
EPS Q2Q%18.7%
EPS Next Y-19.64%
EPS Next 2Y-2.85%
EPS Next 3Y4.02%
EPS Next 5Y12.25%
Revenue 1Y (TTM)-14.63%
Revenue growth 3Y-8.93%
Revenue growth 5Y-4.05%
Sales Q2Q%-18.71%
Revenue Next Year-6.61%
Revenue Next 2Y-3.16%
Revenue Next 3Y-0.94%
Revenue Next 5Y2.56%
EBIT growth 1Y-21.56%
EBIT growth 3Y-26.79%
EBIT growth 5Y-7.5%
EBIT Next Year45.69%
EBIT Next 3Y19.69%
EBIT Next 5Y20.53%
FCF growth 1Y6.06%
FCF growth 3Y-38.45%
FCF growth 5Y-11.22%
OCF growth 1Y-8.33%
OCF growth 3Y-27.3%
OCF growth 5Y-7.43%