⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
WHIRLPOOL - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 3.5
| Stock Code | WHIRLPOOL | Market Cap | 9,833 Cr. | Current Price | 775 ₹ | High / Low | 1,474 ₹ |
| Stock P/E | 34.1 | Book Value | 283 ₹ | Dividend Yield | 0.65 % | ROCE | 12.7 % |
| ROE | 9.17 % | Face Value | 10.0 ₹ | DMA 50 | 922 ₹ | DMA 200 | 1,175 ₹ |
| Chg in FII Hold | 0.77 % | Chg in DII Hold | 7.06 % | PAT Qtr | 20.9 Cr. | PAT Prev Qtr | 135 Cr. |
| RSI | 23.4 | MACD | -44.6 | Volume | 5,65,146 | Avg Vol 1Wk | 4,28,581 |
| Low price | 761 ₹ | High price | 1,474 ₹ | PEG Ratio | 3.07 | Debt to equity | 0.07 |
| 52w Index | 1.93 % | Qtr Profit Var | -49.8 % | EPS | 23.6 ₹ | Industry PE | 48.5 |
📊 Core Financials
- Revenue & Profitability: Quarterly PAT dropped sharply from 135 Cr. to 20.9 Cr. (-49.8%), showing significant earnings pressure.
- Margins & Returns: ROCE at 12.7% and ROE at 9.17% indicate modest efficiency compared to peers.
- Debt Ratios: Debt-to-equity at 0.07 reflects very low leverage, ensuring financial safety.
- Cash Flows: Dividend yield of 0.65% provides modest shareholder returns, supported by stable cash generation.
💹 Valuation Indicators
- P/E Ratio: 34.1 vs industry average of 48.5 → trades at a discount.
- P/B Ratio: Current Price / Book Value ≈ 2.74 → moderately above intrinsic value.
- PEG Ratio: 3.07 → signals overvaluation relative to growth.
- Intrinsic Value: Current price (775 ₹) appears fair but pressured by weak earnings.
🏢 Business Model & Competitive Advantage
- Global leader in home appliances with strong brand recognition.
- Diversified product portfolio across consumer durables.
- Low debt enhances resilience, though efficiency ratios remain modest.
📈 Entry Zone & Long-Term Guidance
- Entry Zone: Attractive accumulation range between 760 ₹ – 780 ₹, near recent lows and support levels.
- Long-Term Holding: Suitable for conservative investors seeking brand-driven stability, but staggered buying recommended due to earnings volatility.
✅ Positive
- Low debt-to-equity ratio (0.07) ensures financial safety.
- Strong brand presence in consumer durables.
- DII holdings increased significantly (+7.06%), reflecting strong domestic institutional confidence.
⚠️ Limitation
- Quarterly PAT decline (-49.8%) shows earnings pressure.
- ROCE and ROE are modest compared to industry leaders.
- PEG ratio of 3.07 signals overvaluation relative to growth.
📉 Company Negative News
- Stock trading below both 50 DMA (922 ₹) and 200 DMA (1,175 ₹), indicating weak momentum.
- RSI at 23.4 and negative MACD (-44.6) suggest oversold and bearish technical outlook.
📈 Company Positive News
- DII holdings increased (+7.06%), supporting domestic confidence.
- FII holdings also rose slightly (+0.77%), showing foreign interest despite weak earnings.
🏭 Industry
- Industry P/E at 48.5 indicates sector trades at higher multiples.
- Consumer durables sector benefits from rising demand and urbanization.
- WHIRLPOOL trades at a discount compared to peers, offering potential value if earnings stabilize.
🔎 Conclusion
WHIRLPOOL demonstrates strong brand positioning and low debt, but faces significant earnings pressure and weak technical momentum. Entry is advisable near 760 ₹ – 780 ₹ for long-term investors, with staggered accumulation to mitigate risks. Overall, the company remains strategically positioned in consumer durables, though valuation and profitability signals warrant caution.
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