Update - April 18, 2023

This High Yielder Is Already Paying Off

We got into Whirlpool (WHR) just two weeks ago. It’s a move that’s already treating us well.

Shares of the high-yielding appliance giant have jumped more than 5% since we got into them. Better yet, the company is set to announce its latest earnings figures next week.

It could set us up for some quick gains.

The company will release its Q1 figures just after next Monday’s closing bell. On average, analysts are expecting profits of $2.20 for the quarter – less than half what the company earned in Q1 last year.

With expectations rather weak, there’s plenty of room for an upside surprise… and a subsequent surge in the share price.

Beyond the bottom line, though, I’m looking for two key things in the report and management’s reaction to it. The first is the biggest – inflation.

Like every manufacturer, Whirlpool is affected by rising prices. The current high-inflation environment impacts not only the company’s raw material costs but also its labor costs.

Management has done a strong job of cutting costs in recent months. Fresh manufacturing technology – like the advancement I detailed in the most recent issue – will help reduce costs even further. If the numbers in this latest release show the work is paying off – or if management mentions further cost-cutting measures – the market will react quite favorably.

I will also watch for any signs related to consumer spending. This is critical for Whirlpool. As the waning earnings expectations over the last few quarters show, Wall Street is all over this trend. It expects consumers not to purchase as many appliances as they once did.

That makes sense. With fewer homes being built and less free money floating into American mailboxes, fewer folks are shelling out cash for a new dishwasher.

Of course, that idea has long been factored in to share prices. We’re looking further into the future. We want to see signs that the trend is starting to level off – or at least that sales are coming in ahead of expectations.

With interest rates threatening to taper off – if not dip – homeowners are likely to start spending once again. By getting in on Whirlpool now, we’ve set ourselves up to take advantage.

Already, our move is paying off. Shares have climbed nicely.

With some bullish figures next Monday, they’d be likely to climb even higher.

I’ll keep you updated.

If you don’t own shares yet… grab some now.

Note: Over the years, I’ve had a lot of readers ask me whether it’s possible to dig into a crypto’s fundamentals the same way we can with a stock like Whirlpool.

The answer is simple… no. That’s because most cryptos don’t have fundamentals. But as I explain here, there is one key metric we can look at that’s preceded gains of 288%… 992%… 1,926%… and more in just a matter of months.

If you have a few minutes, I highly encourage you to check this out before we pull it offline. I think you’ll be very glad you did.