Whirlpool Risk Analysis

Whirlpool Corporation -- USA Stock  

USD 163.92  3.12  1.87%

We consider Whirlpool not too risky. Whirlpool shows Sharpe Ratio of 0.0658 which attests that Whirlpool had 0.0658% of return per unit of risk over the last 1 month. Our philosophy towards determining volatility of a stock is to use all available market data together with company specific technical indicators that cannot be diversified away. We have found twenty-one technical indicators for Whirlpool which you can use to evaluate future volatility of the organization. Please check out Whirlpool Market Risk Adjusted Performance of 0.1285, Mean Deviation of 0.8736 and Downside Deviation of 1.03 to validate if risk estimate we provide are consistent with the epected return of 0.0712%.
Investment Horizon     30 Days    Login   to change

Whirlpool Market Sensitivity

As returns on market increase, Whirlpool returns are expected to increase less than the market. However during bear market, the loss on holding Whirlpool will be expected to be smaller as well.
One Month Beta |Analyze Whirlpool Demand Trend
Check current 30 days Whirlpool correlation with market (DOW)
β = 0.6529
Whirlpool Small BetaWhirlpool Beta Legend

Whirlpool Technical Analysis

The output start index for this execution was zero with a total number of output elements of seventeen. Whirlpool Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input. View also all equity analysis or get more info about average price price transform indicator.

Projected Return Density Against Market

Considering 30-days investment horizon, Whirlpool has beta of 0.6529 . This means as returns on market go up, Whirlpool average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Whirlpool Corporation will be expected to be much smaller as well. Additionally, Whirlpool Corporation has a negative alpha implying that the risk taken by holding this equity is not justified. The company is significantly underperforming DOW
 Predicted Return Density 
Considering 30-days investment horizon, the coefficient of variation of Whirlpool is 1520.1. The daily returns are destributed with a variance of 1.17 and standard deviation of 1.08. The mean deviation of Whirlpool Corporation is currently at 0.86. For similar time horizon, the selected benchmark (DOW) has volatility of 0.5
Alpha over DOW
βBeta against DOW=0.65
Overall volatility
 IrInformation ratio =0.11

Actual Return Volatility

Whirlpool Corporation has volatility of 1.0829% on return distribution over 30 days investment horizon. DOW inherits 0.4723% risk (volatility on return distribution) over the 30 days horizon.
 Performance (%) 

Market Risk Breakdown

Whirlpool Volatility Factors

30 Days Market Risk

Not too risky

Chance of Distress in 24 months

Below average

30 Days Economic Sensitivity

Follows market closely

Total Debt

Whirlpool Total Debt History

Total Debt

Largest Trends

Whirlpool Largest Period Trend
1.73  1.04%
Lowest period price (30 days)
0.44  0.26%
Highest period price (30 days)

Investment Outlook

Whirlpool Investment Opportunity
Whirlpool Corporation has a volatility of 1.08 and is 2.3 times more volatile than DOW. 10% of all equities and portfolios are less risky than Whirlpool. Compared to the overall equity markets, volatility of historical daily returns of Whirlpool Corporation is lower than 10 (%) of all global equities and portfolios over the last 30 days. Use Whirlpool Corporation to protect against small markets fluctuations. The stock experiences somewhat bearish sentiment, but market may correct it shortly. Check odds of Whirlpool to be traded at $159.0 in 30 days. As returns on market increase, Whirlpool returns are expected to increase less than the market. However during bear market, the loss on holding Whirlpool will be expected to be smaller as well.

Whirlpool correlation with market

Weak diversification
Overlapping area represents the amount of risk that can be diversified away by holding Whirlpool Corp. and equity matching DJI index in the same portfolio.