Whirlpool Corporation
1. Is the company undervalued?
EV/EBIT: 6.3
EV/Sales: 0.66
Price/Book: 2.37

Whirlpool is a solid company with pricing power that’s trading near an all-time low valuation. Moreover the company throws off tons of free cash flow and returns the lion’s share of those
profits back to shareholders. However the appliance business is low to no growth by nature and can be quite cyclical. Investors are concerned future demand has already been pulled forward and for that reason the stock is priced appropriately. Conversely management is
steadfast in their assertion that demand remains strong and if this proves to be true, $WHR shareholders will likely see outsized returns.

Link to full writeup here:
Edmund Simms's avatar
$WHR is an interesting one. The management are so ambitious—and confident—in their targets. Like you, though, my base case is more reserved than theirs.
Eric Thomson's avatar
@valuabl I can't help myself, I'm cynical by nature lol
Edmund Simms's avatar
@401ria Is there a price range you would be willing to buy the shares at?
Eric Thomson's avatar
@valuabl I'm more concerned about the business than the stock price. So if management can execute for the next couple of quarters I might start a position (assuming the share price doesn't rip).

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