Whirlpool Corp.
WHR
$28.80
+8.56%
Whirlpool Corp. is a global manufacturer and marketer of major kitchen and laundry appliances — refrigerators, washing machines, cooktops, ovens and freezers — sold under a portfolio of brands including Whirlpool, KitchenAid, Maytag, Amana, JennAir, Brastemp and Consul, organized into MDA North America (its largest segment), MDA Europe, MDA Latin America and a Small Domestic Appliances unit. As one of the world's largest white-goods manufacturers with roughly 41,000 employees and a 70-year public history, Whirlpool is a scale incumbent in a mature, cyclical industry rather than a disruptor, and its fortunes are tightly tethered to North American housing turnover, discretionary big-ticket spending and input-cost inflation. The current investor narrative is dominated by distress rather than growth: a dividend cut, a sharp guidance reduction, tariff-related cost pressure and weak consumer demand have driven the shares down more than 60% over the past year, with recent headlines flagging an earnings miss and expectations that earnings will fall by more than half this year. The debate now centers on whether Whirlpool's brands, cash generation and cost actions can stabilize margins before balance-sheet leverage and a sub-1.0 current ratio force more painful strategic choices.…
WHR
Whirlpool Corp.
$28.80
Related headlines
Investment Opinion: Should I buy WHR Today?
Rating: Hold (with a speculative-value caveat). The core thesis is that Whirlpool's 0.26x sales multiple and $47.17 average analyst target already discount substantial distress, but negative free cash flow, 2.88x debt-to-equity, and a 0.756 current ratio mean there is no margin of safety until gross margin stabilizes — the consensus "hold" rating (3.15 mean) and recent Underperform/Neutral actions from BofA, RBC, Wells Fargo, Stifel and Goldman correctly reflect that waiting is the prudent stance.\n\nSupporting evidence is mixed but leans toward patience. On the positive side, PS of 0.26x is far below the historical 0.73x–2.43x range, PB of 1.48x sits at the bottom of its 1.5x–4.1x band, and the average target implies +69% upside. Against that, revenue fell 6.81% YoY in Q2 2026, gross margin compressed ~340bps to 12.57%, net margin is just 2.04%, TTM FCF is -$161 million, and the 0.94 payout ratio on a 7.40% yield is unsustainable — the cheapness is a reflection of deteriorating fundamentals, not a mispricing.\n\nThe biggest risks that could invalidate even a Hold are a further gross-margin decline below 12%, another equity raise that dilutes holders, and a break below the $27.15 52-week low that opens the door to the $22.00 analyst low. This Hold would upgrade to Buy if gross margin recovers above 14% for two consecutive quarters and FCF turns positive, or downgrade to Sell if revenue declines accelerate past -10% YoY or the current ratio falls below 0.70. Verdict: the stock is deeply undervalued relative to its own history and peers on sales and book, but fairly-to-appropriately priced given negative cash flow and leverage — a value trap until the margin trend inflects.
Sign up to view all
WHR 12-Month Price Forecast
Wall Street consensus
Most Wall Street analysts maintain a constructive view on Whirlpool Corp.'s 12-month outlook, with a consensus price target around $45.67 and implied upside of +58.6% versus the current price.
Average Target
$45.67
0 analysts
Implied Upside
+58.6%
vs. current price
Analyst Count
—
covering this stock
Price Range
$22 - $137
Analyst target range
Twelve analysts cover Whirlpool with a consensus recommendation of "hold" (mean rating 3.15 on a 1–5 scale, where 3 is hold), and an average target price of $47.17 — implying roughly +69% upside from the current $27.89. That headline upside is misleading, however: the consensus leans neutral-to-bearish in practice, with recent actions showing BofA Securities and RBC Capital maintaining Underperform, Wells Fargo and Stifel at Equal Weight/Hold, and Goldman Sachs downgrading to Neutral from Buy in May 2026. The sentiment is one of cautious waiting rather than conviction buying, and the average target is likely stale relative to the post-guidance-cut reality.\n\nThe target range is extraordinarily wide — from a low of $22.00 to a high of $137.00 — a 6.2x spread that signals very low conviction and high uncertainty about the company's path. The $137 high target would require a dramatic turnaround: margin recovery, tariff relief, a housing rebound and multiple re-expansion toward historical norms, while the $22 low prices in continued margin compression, further demand deterioration and balance-sheet stress. Consensus EPS of $5.90 and revenue of $16.63 billion for the forward year look optimistic against the Q2 2026 run-rate and the recent guidance cut, and with a 5.93 short ratio and heavy institutional skepticism, the risk/reward is asymmetric only if one believes the low end of the target range already discounts a worst case.
Bulls vs Bears: WHR Investment Factors
The bear case currently has stronger evidence: revenue is shrinking 6.81% YoY, gross margin has compressed ~340bps to 12.57%, free cash flow is -$161 million TTM, and the balance sheet carries 2.88x debt-to-equity with a 0.756 current ratio. The bull case rests almost entirely on valuation — 0.26x sales, 1.48x book, and a $47.17 average analyst target — but those multiples are cheap for a reason, and the consensus rating is only "hold" (3.15) with recent downgrades to Underperform and Neutral. The single most important tension is whether Whirlpool's cost actions and brand strength can stabilize gross margin near 12–13% before leverage and negative cash flow force further equity issuance or asset sales. If gross margin inflects upward on tariff relief and housing turnover, the 0.26x sales multiple re-rates violently; if it keeps sliding, the equity is a value trap.
Bullish
- Deep distress valuation on sales and book: At $27.89, WHR trades at a PS of just 0.26x versus a historical range of roughly 0.73x–2.43x, and PB of 1.48x versus a historical 1.5x–4.1x band. EV/Sales of 0.579x and EV/EBITDA of 9.67x are well below the low-to-mid-teens EBITDA multiples typical of quality appliance peers, meaning a large amount of bad news is already embedded in the price.
- Analyst average target implies large upside: The 12-analyst average target of $47.17 represents roughly +69% upside from the current $27.89, and even the low target of $22.00 is only about 21% below the current price. The wide $22–$137 range shows low conviction, but the distribution is skewed heavily to the upside relative to spot.
- Brand portfolio and scale are durable assets: Whirlpool owns Whirlpool, KitchenAid, Maytag, Amana, JennAir, Brastemp and Consul, with laundry ($1.064B) and refrigeration ($1.053B) as its two largest categories in Q2 2026. As one of the world's largest white-goods manufacturers with ~41,000 employees, its distribution and brand equity are not easily replicated even if current margins are depressed.
- Crowded short interest sets up squeeze potential: A short ratio of 5.93 days-to-cover combined with a beta of 1.176 means the stock is heavily shorted and 18% more volatile than the market. Any credible stabilization signal — a tariff exemption, a housing data upturn, or an in-line quarter — could force a violent short-covering rally given how close the stock sits to its $27.15 52-week low.
Bearish
- Revenue contracting and guidance cut: Q2 2026 revenue of $3.517 billion fell 6.81% year-over-year from $3.774 billion, extending a slide from $4.098 billion in Q4 2025 and $4.033 billion in Q3 2025. Consensus forward revenue of ~$16.63 billion looks optimistic against the current run-rate, and headlines flag earnings expected to fall more than 50% this year.
- Gross margin collapse of ~340bps: Gross margin fell to 12.57% in Q2 2026 from 16.00% in Q2 2025 and 14.03% in Q4 2025, driven by tariff costs and promotional pricing. Operating income of $163 million (4.63% margin) and EBITDA of $251 million (7.14%) are both down sharply, and Q1 2026 produced a net loss of $82 million (-$1.43 per share), showing how fast the model swings negative.
- Negative free cash flow and stretched balance sheet: TTM free cash flow is -$161 million, with Q2 2026 FCF of -$214 million and Q1 2026 FCF of -$895 million on an $885 million working-capital outflow. Debt-to-equity of 2.88x and a current ratio of 0.756 (below 1.0) mean the company cannot fund itself internally and has limited liquidity buffer.
- Dividend no longer covered by earnings: The 7.40% dividend yield comes with a payout ratio of 0.94 against a shrinking earnings base, and the dividend was already cut in 2026 amid tariff and demand pressure. A yield that is roughly 4–6x its 2024–2025 historical level of 1.2%–1.9% is a classic market signal of skepticism about sustainability, not a value signal.
WHR Technical Analysis
Whirlpool is in a severe, sustained downtrend: the stock is down 61.37% over the past year and 62.56% year-to-date, and at $27.89 it sits just 1.1% above its 52-week low of $27.15 and roughly 70.6% below its 52-week high of $94.82 — effectively at the very bottom of its 52-week range (about 1% of the range). That positioning is characteristic of a falling knife rather than a value opportunity: the stock has made a sequence of lower highs and lower lows all year, and the maximum drawdown of -70.9% underscores how little support has held. With price essentially pinned to the 52-week low, the burden of proof is on the bulls to show a base forming; until then, the path of least resistance remains lower.\n\nShort-term momentum is decisively negative and accelerating: the stock is down 13.97% over the past month and 27.07% over three months, meaning the decline has steepened rather than decelerated, and the 6-month change of -50.92% confirms a persistent, compounding sell-off. Relative strength is uniformly poor — -15.19% versus the S&P 500 over one month, -29.76% over three months and -76.90% over one year — while the S&P itself rose 1.22% and 15.53% over those same periods, so this is idiosyncratic weakness, not a market-wide drawdown. The most recent sessions show the stock grinding to fresh lows ($27.63 on October 14, $27.89 on October 16), with no meaningful bounce despite the deeply oversold condition, suggesting sellers remain in control and any RSI reading would likely be pinned in oversold territory without producing a reversal.\n\nKey levels are stark: support is the 52-week low at $27.15, and a decisive break below it would signal capitulation and open the door to further downside with no obvious technical floor. Resistance is layered far overhead — the 52-week high at $94.82 is essentially irrelevant near-term, and the first meaningful hurdle would be reclaiming the $30–$32 area that has capped recent bounces. With a beta of 1.176, Whirlpool is about 18% more volatile than the market, which amplifies both the downside risk of a breakdown and the potential snap-back on any stabilization; for position sizing, that beta combined with a 5.93 short ratio implies crowded short interest and the potential for violent squeezes on any positive catalyst.
Beta
1.18
1.18x market volatility
Max Drawdown
-71.5%
Largest decline past year
52-Week Range
$26-$95
Price range past year
Annual Return
-60.6%
Cumulative gain past year
| Period | WHR Return | S&P 500 |
|---|---|---|
| 1m | -14.2% | -1.2% |
| 3m | -22.7% | +3.4% |
| 6m | -46.5% | +7.0% |
| 1y | -60.6% | +14.4% |
| ytd | -61.3% | +12.0% |
Bobby - Your AI Investment Partner
Get real-time data, AI-driven personalized investment analysis to make smarter investment decisions
WHR Fundamental Analysis
Revenue is contracting: Q2 2026 revenue of $3.517 billion fell 6.81% year-over-year from $3.774 billion, continuing a multi-quarter slide from $4.098 billion in Q4 2025 and $4.033 billion in Q3 2025. The sequential trend is deteriorating — Q1 2026 revenue of $3.273 billion was the weakest print in the dataset — and the segment mix shows the business is concentrated in laundry ($1.064 billion) and refrigeration ($1.053 billion), with cooking at $790 million, dishwashing at $270 million and spare parts/warranties at $135 million, meaning the two largest categories carry the most cyclical housing-linked exposure. The 6.8% decline implies volume and price/mix pressure from weak appliance demand and a slowing housing cycle, and with full-year consensus revenue of roughly $16.63 billion, the growth trajectory offers no near-term catalyst for a re-rating.\n\nProfitability is thin and compressing: Q2 2026 net income was $88 million on a 2.50% net margin, and gross margin fell to 12.57% from 16.00% in Q2 2025 and 14.03% in Q4 2025 — a roughly 340-basis-point year-over-year compression that reflects tariff costs and promotional pricing. Operating income of $163 million (4.63% operating margin) and EBITDA of $251 million (7.14% EBITDA margin) are down sharply from $207 million and $289 million a year ago, and the Q1 2026 loss of $82 million (-$1.43 per share) shows how quickly the model swings negative when volumes fall. At a 15.20% gross margin and 4.68% operating margin, Whirlpool is running well below the profitability typical of scaled appliance manufacturers, and the 0.94 payout ratio on a 7.40% dividend yield signals the dividend is being funded from a shrinking earnings base.\n\nThe balance sheet is the central risk: debt-to-equity stands at 2.88x, the current ratio is 0.756 (well below 1.0), and free cash flow TTM is -$161 million, with Q2 2026 FCF of -$214 million and Q1 2026 FCF of -$895 million driven by a $885 million working-capital outflow. ROE of 11.63% and ROA of 1.51% are modest and flattered by leverage, while the company has been forced to raise $1.081 billion of equity in Q1 2026 and repay $625 million of debt in Q2 — clear evidence it cannot fund itself internally. With cash of $1.239 billion against heavy debt and negative operating cash flow of -$120 million in Q2, financial flexibility is narrowing, and the negative FCF yield means the equity is effectively being subsidized by external financing and asset sales.
Quarterly Revenue
$3.5B
2026-06
Revenue YoY Growth
-6.8%
YoY Comparison
Gross Margin
12.6%
Latest Quarter
Free Cash Flow
$-161000000.0B
Last 12 Months
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
Open an Account, get $2 TSLA now!
Valuation Analysis: Is WHR Overvalued?
Because Whirlpool remains marginally profitable — trailing EPS of $0.078 and net income positive on a TTM basis — the PE ratio is the appropriate primary metric, though its usefulness is limited by the near-zero earnings base. The trailing PE of 12.70x versus a forward PE of 8.14x implies the market expects earnings to grow roughly 56% into next year, but with consensus EPS of $5.90 against a current price of $27.89, the forward multiple of 8.1x is really a bet on a sharp earnings recovery that the recent guidance cut directly contradicts. The enormous gap between trailing and forward multiples here reflects depressed, volatile earnings rather than genuine growth expectations.\n\nOn peer comparison, Whirlpool trades at a PS ratio of 0.26x, EV/Sales of 0.579x, EV/EBITDA of 9.67x and PB of 1.48x — a deep discount to the broader consumer-cyclical appliance sector, where quality names typically command PS multiples of 1.0x or more and EV/EBITDA in the low-to-mid teens. The discount is partly justified: a 2.04% net margin, 15.20% gross margin and 2.88x debt-to-equity are far inferior to peers, and the negative PEG ratio of -0.065 reflects negative earnings growth. Still, a 0.26x sales multiple prices in substantial distress, and the 7.40% dividend yield — versus a historical yield of roughly 1.2%–1.9% in 2024–2025 — is a classic signal of market skepticism about dividend sustainability.\n\nHistorically, Whirlpool's PS ratio has ranged from roughly 0.73x to 2.43x over the past several years, and the current 0.26x is far below even the lowest of those readings, while the PE of 12.70x compares with historical quarterly PE readings of 8.6x–21.9x in 2025 and 13.6x–23.9x in 2023–2024. The stock is therefore at or near the bottom of its own valuation band on both sales and book value (PB 1.48x versus historical 1.5x–4.1x), which either signals a genuine deep-value opportunity or, more plausibly given the negative free cash flow and leverage, reflects fundamental deterioration that the market is correctly discounting.
PE
12.7x
Latest Quarter
vs. Historical
Mid-Range
5-Year PE Range 3x~24x
vs. Industry Avg
N/A
Industry PE ~N/A*
EV/EBITDA
9.7x
Enterprise Value Multiple
Investment Risk Disclosure
Financial and operational risks are acute and quantifiable. TTM free cash flow is -$161 million, with Q1 2026 alone burning -$895 million on an $885 million working-capital outflow, and Q2 2026 FCF of -$214 million — the company is not self-funding. Debt-to-equity of 2.88x against a current ratio of 0.756 leaves almost no liquidity cushion, and the $1.081 billion equity raise in Q1 2026 plus $625 million debt repayment in Q2 show reliance on external capital. Revenue is concentrated in laundry ($1.064B) and refrigeration ($1.053B), the most housing-cycle-sensitive categories, and gross margin has fallen to 12.57% from 16.00% a year ago, so a further volume decline of even a few percent could push the company back to a quarterly loss like Q1 2026's -$82 million.\n\nMarket and competitive risks center on valuation compression and cyclical exposure. The stock's beta of 1.176 makes it ~18% more volatile than the market, and relative strength of -76.90% over one year versus an S&P 500 that rose 15.53% shows the market is actively repricing the equity, not just the sector. The 7.40% dividend yield versus a 1.2%–1.9% historical range signals investors expect further cuts, and the 5.93 short ratio means crowded bearish positioning that can amplify moves in either direction. Tariff-related cost pressure and weak consumer demand — explicitly cited in the 2026 dividend cut — remain live threats, and a slowing North American housing cycle directly undermines the replacement and remodel demand that drives Whirlpool's largest segment.\n\nThe worst-case scenario is a chain of events where housing turnover stays frozen, tariffs persist, and gross margin slips below 12%, pushing the company to another quarterly loss and forcing a second equity raise that dilutes existing holders at depressed prices. In that path, the stock breaks decisively below its $27.15 52-week low with no technical floor, and the $22.00 analyst low target becomes the reference point — roughly -21% from the current $27.89. A more severe outcome, consistent with the -70.9% max drawdown already experienced, would see the equity trade toward the low-teens if free cash flow stays negative through 2027, implying losses of 50% or more from today's price.
FAQ
Ranked by severity: first, financial/liquidity risk — TTM free cash flow of -$161 million, a 0.756 current ratio, and 2.88x debt-to-equity mean the company depends on external financing, and a second equity raise would dilute holders at depressed prices. Second, margin risk — gross margin fell to 12.57% from 16.00% a year ago on tariffs and promotions, and a slip below 12% could push the company back to a quarterly loss like Q1 2026's -$82 million. Third, cyclical/macro risk — revenue is concentrated in laundry and refrigeration, the most housing-sensitive categories, and a beta of 1.176 amplifies market moves. Fourth, technical risk — the stock is 1.1% above its $27.15 52-week low with a -70.9% max drawdown, and a break lower has no obvious support until the $22.00 analyst low.
The 12-month outlook has three scenarios. The base case (50% probability) targets $28–$38 as revenue stabilizes near $3.5 billion per quarter and gross margin holds at 12–13%, keeping the stock in a bottoming range around the $27.15 low. The bull case (20%) targets $47–$60 on tariff relief, a housing upturn, and gross margin recovering toward 14–15%, converging on the $47.17 analyst average. The bear case (30%) targets $18–$27 if gross margin falls below 12%, forcing another equity raise and a break of the 52-week low toward the $22.00 analyst low. The base case is most likely, and its key assumption is that cost actions offset tariff pressure enough to keep free cash flow near breakeven.
On relative metrics WHR looks deeply undervalued: PS of 0.26x versus a historical 0.73x–2.43x range, PB of 1.48x at the bottom of its 1.5x–4.1x band, and EV/EBITDA of 9.67x versus low-to-mid-teens for quality appliance peers. However, the trailing PE of 12.70x and forward PE of 8.14x are distorted by a near-zero earnings base (trailing EPS of $0.078), and the negative PEG of -0.065 reflects negative earnings growth. The 7.40% dividend yield versus a 1.2%–1.9% historical range signals the market expects further cuts. The valuation implies the market expects continued margin compression and balance-sheet stress — it is cheap relative to history but arguably fairly priced given negative free cash flow and 2.88x leverage.
From a risk/reward perspective, WHR is a speculative value play rather than a clean buy. The stock trades at 0.26x sales and 1.48x book, far below its historical 0.73x–2.43x PS and 1.5x–4.1x PB bands, and the $47.17 average analyst target implies roughly +69% upside. But the downside is real: TTM free cash flow is -$161 million, debt-to-equity is 2.88x, the current ratio is 0.756, and the stock sits just 1.1% above its $27.15 52-week low. The consensus rating is only "hold" (3.15), with recent Underperform and Neutral actions from major banks. It is a good buy only for risk-tolerant contrarians who can stomach a beta of 1.176 and wait for gross margin to stabilize above 12–13% before committing capital.
WHR is better suited to long-term, contrarian holding than short-term trading, but only for investors with high risk tolerance. The stock is in a severe downtrend — down 61.37% over one year, 27.07% over three months, and 13.97% over one month — with a beta of 1.176 and a 5.93 short ratio that make short-term price action highly unpredictable and squeeze-prone. The 7.40% dividend yield is unreliable given the 0.94 payout ratio and 2026 cut, so income is not a reason to hold. Earnings visibility is poor, with consensus EPS of $5.90 looking optimistic against the Q2 2026 run-rate. A minimum holding period of 18–24 months is appropriate to allow the housing cycle and margin recovery to play out, and positions should be sized small given the -70.9% max drawdown.