📌 At a Glance:

Whirlpool India just posted ₹121 crore in net profit for FY25 with an EPS of ₹9.50. Solid brand, global parent, clean books. But here’s the shocker: the stock is trading at over ₹1,265, while its realistic fair value sits closer to ₹437. That’s a 65% overvaluation… in broad daylight.

🧺 About the Company

Whirlpool of India Ltd. is a household name. Quite literally.

• Washing machines
• Refrigerators
• Microwaves
• Air conditioners
• And enough ad spend to haunt your IPL breaks

It’s the Indian arm of the US-based Whirlpool Corp. (NYSE: WHR), and a go-to pick for fund managers who like the words “premium,” “durable,” and “MNC” in the same sentence.

👩‍💼 Who’s Running the Show?

• MD & CEO: Vishal Bhola (Whirlpool veteran)
• Parent Holding: Whirlpool Corporation, USA
• Retail Participation: Moderate
• Institutional Trust: High — and maybe too high.

📊 FY25 Financial Snapshot

🔮 Forward Valuation (FY26)

Let’s be generous:

• 15% profit growth
• P/E = 40× (very high, even for MNCs)

Fair Value = ₹437.06
CMP = ₹1,265.90
Downside = –65.5%

Yes. You read that right.

Whirlpool is priced like it already invented the next Dyson. But earnings say otherwise.

🧠 EduInvesting Take

This is a beautiful company stuck in an ugly valuation.

✅ Fantastic brand recall

✅ Zero debt

✅ Capex-light, asset-efficient

✅ Globally backed by Whirlpool USA

BUT…

❌ Weak revenue growth

❌ Flat operating margins

❌ Sluggish rural demand & fierce competition from Voltas-Beko, LG, and Samsung

❌ No segment-disrupting innovation

At ₹1,265, you’re paying 130× earnings. That’s venture capital math, not fridge math.

💡 What’s Fueling the Rally Then?

• Low float + MNC brand = artificial scarcity premium
• FIIs & PMS funds love “quality” even when it’s overcooked
• Hope of recovery in white goods cycle post-summer
• Blind faith in MNC efficiency

But investing isn’t faith. It’s math. And this one doesn’t add up.

🚩 Red Flags

• Pathetic ROCE compared to peers — operating leverage is NOT kicking in
• Air conditioners still a weak segment for Whirlpool, lagging market
• No real exports game despite being part of a global brand
• At this price, zero margin of safety. One bad quarter = 20% correction

🧾 Final Scorecard

💬 Edu Verdict

Whirlpool India is like a luxury fridge in a tiny Mumbai kitchen — looks premium, but doesn’t fit the fundamentals.

If you own it — great, lock profits.

If you’re eyeing it now — chill out. Literally.

Verdict: Skip the hype. Cool off. Come back at ₹500.