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Whirlpool (WHR) Gains But Lags Market: What You Should Know

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Whirlpool (WHR) closed at $168.54 in the latest trading session, marking a +0.74% move from the prior day. The stock lagged the S&P 500's daily gain of 0.99%. Meanwhile, the Dow gained 0.51%, and the Nasdaq, a tech-heavy index, lost 0.31%.

Coming into today, shares of the maker of Maytag, KitchenAid and other appliances had gained 9.5% in the past month. In that same time, the Consumer Discretionary sector gained 8.35%, while the S&P 500 gained 7.91%.

Wall Street will be looking for positivity from Whirlpool as it approaches its next earnings report date. This is expected to be July 25, 2022. The company is expected to report EPS of $5.23, down 21.23% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.25 billion, down 1.45% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $24.29 per share and revenue of $21.7 billion. These totals would mark changes of -8.65% and -1.29%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for Whirlpool. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.29% lower. Whirlpool currently has a Zacks Rank of #3 (Hold).

Investors should also note Whirlpool's current valuation metrics, including its Forward P/E ratio of 6.89. This represents a discount compared to its industry's average Forward P/E of 11.24.

We can also see that WHR currently has a PEG ratio of 1.35. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Household Appliances industry currently had an average PEG ratio of 4.84 as of yesterday's close.

The Household Appliances industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 226, putting it in the bottom 11% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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