Whirlpool Corporation does not satisfy the requirements of either the Enterprising Investor or the more conservative Defensive Investor. The Defensive Investor is concerned with the low current ratio, insufficient earnings stability or growth over the last ten years, and the high PB ratio.
Whirlpool is not suitable for either the Defensive Investor or the Enterprising Investor at this time. The Defensive Investor is concerned by the low current ratio and the insufficient growth over the last ten years, while the Enterprising Investor has issues with the high level of debt relative to the current assets.
Whirlpool Corp is suitable for both Defensive Investors and Enterprising Investors. The Defensive Investor’s only concern is the low current ratio and while the Enterprising Investor is concerned with the level of debt relative to the current assets, the company qualifies for the Enterprising Investor by default as it is suitable for Defensive Investors.