), the largest home-appliances manufacturer in the world, is
slated to post its first-quarter 2014 results on Apr 25, 2014. In
the previous quarter, the company delivered a negative earnings
surprise of 1%. Let's see how things are shaping up for this
Factors This Past Quarter
Although Whirlpool's fourth-quarter earnings missed the Zacks
Consensus Estimate, it increased year over year. The
year-over-year improvement was primarily driven by the company's
sustained focus on cost and capacity reduction initiatives and
Revenues also increased on a yearly basis surpassing the Zacks
Consensus estimate, driven by increased demand for the company's
innovative products. Region-wise, revenues from North America,
Latin America and Europe, Middle East and Africa grew, but those
from Asia fell year over year.
Our proven model does not conclusively show that Whirlpool is
likely to beat earnings this quarter. This is because a stock
needs to have both a positive
(Expected Surprise Prediction) and a Zacks Rank of #1, 2 or 3 for
this to happen. This is not the case here as you will see below.
: Whirlpool currently has an Earnings ESP of -5.22%. This is
because the Most Accurate estimate stands at $2.18 a share, while
the Zacks Consensus Estimate is pegged at $2.30 per share.
Zacks Rank #3 (Hold)
: Whirlpool's Zacks Rank #3 (Hold) when combined with a negative
ESP makes surprise prediction difficult. We caution against
stocks with a Zacks Rank #4 and 5 (Sell-rated stocks) going into
the earnings announcement, especially when the company is seeing
negative estimate revisions momentum.
Other Stocks to Consider
Here are some other companies you may want to consider as our
model shows they have the right combination of elements to post
an earnings beat this quarter:
), Earnings ESP of +9.03% and a Zacks Rank #2 (Buy).
The Walt Disney Co.
), Earnings ESP of +2.08% and a Zacks Rank #2 (Buy).
Big Lots Inc.
), Earnings ESP of +2.27% and a Zacks Rank #3 (Hold).
AMAZON.COM INC (AMZN): Free Stock Analysis
BIG LOTS INC (BIG): Free Stock Analysis
DISNEY WALT (DIS): Free Stock Analysis Report
WHIRLPOOL CORP (WHR): Free Stock Analysis
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