Whirlpool Stock Is Down 20% and the Outlook For 2026 Is Grim. Should Investor Buy, Sell, or Hold?

Whirlpool (NYSE: WHR), a major producer of home appliances, was once considered a reliable blue chip stock. However, its shares have declined more than 40% this year. Let's see why it disappointed the market, and if it's the right time to buy, sell, or hold its beaten-down stock.

What happened to Whirlpool?

Whirlpool sells a wide range of home appliances under its namesake brand and other well-known brands, including Maytag, KitchenAid, Jenn-Air, Amana, and InSinkErator. It generated two-thirds of its sales in North America in 2025, and the U.S. is its largest market.

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Whirlpool's growth is heavily dependent on the U.S. housing market, which drives sales of new home appliances. When low interest rates fueled the housing market's post-pandemic boom, Whirlpool's sales rose, and its stock closed at a record high of $195.82 on May 7, 2021.

However, rising interest rates in 2022 and 2023 chilled the housing market and throttled its sales of expensive, financing-driven appliances. It also faced intense competition from cheaper Asian appliance brands like Samsung, LG, and Haier (which acquired GE Appliances in 2016).

The Fed cut its benchmark rates six times in 2024 and 2025. Still, the housing market stayed chilly, inflation remained elevated, and the Trump Administration's unpredictable tariffs drove up its material and manufacturing costs.

From 2021 to 2025, Whirlpool's revenue declined from $21.99 billion to $15.52 billion, with no year of growth. The divestments of its businesses across China, Russia, Europe, the Middle East, and Africa exacerbated that slowdown. It also sold a minority stake in its India business -- once considered a major growth engine -- in 2024.

Whirlpool's first-quarter report on May 6 suggests things could get much worse before they get any better. For the full year, it expects revenue to decline 3% and adjusted EPS to drop 44%-52%. It had previously expected nearly flat revenue growth, with its adjusted EPS rising 12%. It also suspended its dividend for the first time in 70 years.

Is it the right time to buy, sell, or hold Whirlpool's stock?

At $43, Whirlpool's stock might seem like a bargain at 13 times this year's adjusted earnings. It could eventually bounce back if the housing market rebounds and inflation cools. But until that happens and it resumes paying dividends, Whirlpool will likely stay in the penalty box -- and it would be smart to sell or avoid its stock rather than buy and hold it.

Leo Sun has no position in any of the stocks mentioned. The Motley Fool recommends Whirlpool. The Motley Fool has a disclosure policy.