Whirlpool Stock Clings to Gains After Mixed Earnings Report

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The company’s adjusted second-quarter earnings topped estimates

Shares of Whirlpool Corporation (NYSE:WHR) are up 2.7% at $169.11 this morning, following the appliance maker’s second-quarter earning report. The firm reported adjusted profits of $5.97 per share for the quarter, which topped estimates, though its revenue missed expectations. Whirlpool also reported a steeper-than-expected GAAP loss of $6.62 per share, marking a sharp drop from its year-ago profit of $9.15 per share, thanks to the sale of its Russian business and EMEA asset impairment. Additionally, the company cut its full-year earnings per share (EPS) forecast and net sales forecast. 

Whirlpool stock has shed nearly 28% this year, with pressure once again emerging at its 60-day moving average. The security has managed a month-to-date gain of 8%, however, as it moves further away from its June 16, two-year low of $145.93. 

Short sellers have been hitting the exits, with short interest down 11.8% in the last reporting period. However, the 6.84 million shares sold short still make up 12.3% of the stock’s available float, or over six days of pent-up buying power. 

Options traders, meanwhile, are still incredibly bearish. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), WHR sports a 50-day put/call volume ratio of 2.21, which sits higher than all other readings from the past year. In other words, these traders have been picking up puts at their quickest pace during this time period.