Electrolux (OTCMKTS:ELUXY) Shares Gap Down - Here's Why

Key Points

• Shares gapped down before the open — Electrolux opened at $12.88 versus a $13.61 close and was trading around $12.92 (down roughly 6%) on light volume.
• Big earnings miss: Electrolux reported $0.36 EPS versus a $0.98 consensus while revenue of $3.96 billion topped estimates, a mixed result that likely pressured the stock.
• Mixed analyst view and high leverage: Analysts' ratings are split (one Strong Buy, two Hold, one Sell; average "Hold"), and the company carries a high debt/equity ratio of 3.57 with a $1.81 billion market cap.

Shares of Electrolux AB (OTCMKTS:ELUXY - Get Free Report) gapped down before the market opened on Friday . The stock had previously closed at $13.61, but opened at $12.88. Electrolux shares last traded at $12.92, with a volume of 3,870 shares changing hands.

Wall Street Analyst Weigh In

ELUXY has been the subject of a number of research reports. Citigroup reaffirmed a "neutral" rating on shares of Electrolux in a report on Thursday, January 22nd. Deutsche Bank Aktiengesellschaft restated a "hold" rating on shares of Electrolux in a research report on Monday, February 2nd. Finally, Zacks Research raised shares of Electrolux from a "hold" rating to a "strong-buy" rating in a report on Friday, January 30th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold".

Electrolux Trading Down 6.2%

The firm has a market cap of $1.81 billion, a P/E ratio of 19.05 and a beta of 1.15. The company has a debt-to-equity ratio of 3.57, a quick ratio of 0.66 and a current ratio of 0.96. The firm has a fifty day moving average of $15.66 and a 200-day moving average of $13.52.

Electrolux (OTCMKTS:ELUXY - Get Free Report) last issued its quarterly earnings data on Friday, January 30th. The company reported $0.36 EPS for the quarter, missing analysts' consensus estimates of $0.98 by ($0.62). Electrolux had a return on equity of 10.82% and a net margin of 0.69%.The company had revenue of $3.96 billion for the quarter, compared to the consensus estimate of $3.79 billion. Equities research analysts forecast that Electrolux AB will post 2.13 earnings per share for the current year.

Electrolux Company Profile

Electrolux AB, trading on the OTCMKTS as ELUXY, is a global leader in the design, manufacture and marketing of home and professional appliances. The company's product portfolio spans major and small household appliances, including refrigerators, freezers, cooking ranges, dishwashers, laundry machines and vacuum cleaners, as well as specialty equipment for food-service and hospitality markets. Electrolux is recognized for its emphasis on energy efficiency, innovative design and user-focused functionality across its brands.

Founded in Sweden in 1919 through the merger of Elektromekaniska AB and Lux AB, Electrolux has grown into one of the world's largest appliance makers.

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