Please refer to important disclosures at the end of this report
1
Whirlpool of India Limited (Whirlpool) is
now one of the leading manufacturers
and marketers of major home appliances in the country. The Company is
primarily engaged in manufacturing and trading of Refrigerators, Washing
Machines,
Air Conditioners, Microwave Ovens and small appliances and caters
to both domestic and international markets.
Whirlpool continues to aggressively
expand its product portfolio and have launched models in front loaded washing
machine (accounts 20-25% of
market) and premium end double door
refrigerators, mid-
segment refrigerators & induction hobs. Whirlpool already has
a strong presence in the mid-price segment and hence with
new launches in the
premium segment it can strike opportunities going ahead. Howe
ver, Whirlpool’s
rich experience in the Indian market along with balanced product portfolio gives
assurance
that the company can show healthy growth going ahead. Whirlpool
can be a good investment stock on account of having
strong hold in the mid-
price segment, potential entry in new categories, virtually
Debt free company and
advantage of rich experience. With
strong balance sheet and ample liquidity
supported by steady cash accruals and efficient working capital management
seems to be positive for the company performance in years to come.
The
company has reported a healthy Return on Equity of 24% for the last 5 years.
Hence Buy.
BUY
CMP `878
Stock Info
Sector
Beta 0.6
Bloomberg Code
Shareholding Pattern (%)
Promoters 75.0
MF / Banks / Indian Fls 10.2
FII / NRIs / OCBs 6.9
Indian Public / Others 8.0
Abs. (%) 3m 1yr 3yr
Sensex (7.7) 2.2 27.4
Whirlpool of India (8.7) 3.1 79.1
WHIR.BO
10
26,242
8,061
Consumer Durables
11,135
1192/562
9,371
VVaibhav Agrawal
022
3935 7800 Ext: 6808
Whirlpool of India
Others |
Consumer Durables
December 22
, 2016
Whirlpool of India | Consumer Durables
December 22, 2016
2
Research Team Tel: 022 - 39357800 E-mail: [email protected] Website: www.angelbroking.com
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Disclosure of Interest Statement Whirlpool of India
1. Financial interest of research analyst or Angel or his Associate or his relative No
2. Ownership of 1% or more of the stock by research analyst or Angel or associates or relatives No
3. Served as an officer, director or employee of the company covered under Research No
4. Broking relationship with company covered under Research No
Ratings (Based on expected returns Buy (> 15%) Accumulate (5% to 15%) Neutral (-5 to 5%)
o
over 12 months investment period): Reduce (-5% to -15%) Sell (< -15)