MHK $222.82 +1.30 (0.59%)
Mohawk Industries Inc
Ideas, Updates & Analysis
I was scanning my list of low pe stocks last night.
I saw a few buying opportunities there, but the one that stood out the most to me was Mohawk Industries.
It's P/E Ratio is 4.38. That's pretty low.
Also, MHK has a $16 Billion market cap.
But what do they do?
"In 2015, Mohawk was recognized as the most used, top-brand familiarity, and top-quality rating carpet product by the Builder magazine." https://en.wikipedia.org
You may have seen their products at Home Depot and Lowe's. By the way, both HD and LOW are near all-time high levels.
So let's look at some technical analysis.
As you can see, the trendline I highlighted shows a long-term uptrend trading range.
More importantly, the stock price has recently bounced off of the bottom of the trading range or support.
Let's look at that closer.
The 1 year chart looks pretty bad.
After climbing the first half of the year to a record high, the stock has dropped significantly after each of the past 2 earnings dates which are the black vertical lines.
The area I highlighted in yellow is what I think could be a bottom as well as a reversal.
It looks like an "inverse head and shoulders" chart pattern
The price has started to move higher through the 50 day moving average, which is also bullish.
All in all, that's why I bought today.
This is a setup that I really like.
I am hoping to make $10 or more on this trade.
Of course, there is the Trade War risk, but I am wondering if that is not already priced in.
The stock has dropped from $280 to $220.
The next earnings date is Wed, Jul 25, 2018.
What do you think?
Tue, Jul 10, 2018 MHK @ $219.07
Tue, Jul 10, 2018 HD @ $197.61
Tue, Jul 10, 2018 LOW @ $99.01
Mohawk Industries Stock Charts
The 5 year and 1 year stock charts are below.
50 Day Moving Average
The 50 Day Moving Average is at $213.04 which is 4.59% below the stock price of $222.82.
200 Day Moving Average
The 200 Day Moving Average is at 246.62 which is -9.65% below the stock price of $222.82.
MHK Stock Price
Below are a few key dates for the stock price.
Year To Date
The most recent stock price is $222.82.
The Year To Date (YTD) return is -19.27%.
52 Week Low
The 52 Week Low stock price is $202.75 set on Wed, Jun 6, 2018 which is 41 days ago.
The current price per share is 9.90% above the 52 week low.
52 Week High
The 52 Week High stock price is $286.85 set on Mon, Dec 4, 2017 which is 225 days ago.
The current price per share is -22.32% below the 52 week high.
All Time High
The All Time High stock price is $286.85 set on Mon, Dec 4, 2017 which is 225 days ago.
The current price per share is -22.32% below the all time high.
Below is the EPS, P/E Ratio and Earnings Date.
The Earnings Per Share (EPS) is $49.90.
The Price To Earnings (P/E) Ratio is 4.44.
Mohawk Industries has a relatively low price to earnings ratio compared to the overal S&P 500 average, which is about 25%.
Some investors look for very low p/e stocks with the hopes of investing in an undervalued stock. Of course, this is just one factor to consider.
Stocks can make big percentage moves on the earnings announcement.
Companies announce earnings either before the market open or after the close.
The Earnings Release Date for Mohawk Industries Inc was Thu, Feb 8, 2018.
Since this earnings release 159 days ago, the stock price is down by -16.75%.
Many investors know the importance of a companies earnings report. Also, the market reaction to the earnings release can be even more important and can help in making a prediction of a future price forecast of the shares.
A significant post earnings announcement percentage move can continue or reverse an existing trend for several days or weeks after the earnings date.
The most recent Earnings Release Date was on Thu, Apr 26, 2018, which was 82 days ago.
Since this earnings date, the stock price is down by -1.89%.
Mohawk Industries Dividend
Below is important Dividend information.
MHK currently does not pay a dividend.
You may like this list of best dividend stocks of 2018.
Home & Office Products Industry
Below are other stocks in the same industry as Mohawk Industries.
MHK Company Profile
Learn more about Mohawk Industries.
Mohawk Industries Inc is a Consumer Discretionary stock that trades on the NYSE and has a market capitalization of $16.50 Billion.
Mohawk Industries, Inc. is a flooring manufacturer that creates products for residential and commercial spaces around the world. The Company' segments include Global Ceramic, Flooring North America (Flooring NA) and Flooring Rest of the World (Flooring ROW). Its manufacturing and distribution processes provide carpet, rugs, ceramic tile, laminate, wood, stone, luxury vinyl tile and vinyl flooring. The Global Ceramic segment designs, manufactures, sources, distributes and markets a line of ceramic tile, porcelain tile and natural stone products used in the residential and commercial markets for both remodeling and new construction. The Flooring NA segment designs, manufactures, sources, distributes and markets carpet, laminate, carpet pad, rugs, hardwood and vinyl. The Flooring ROW segment designs, manufactures, sources, distributes and markets laminate, hardwood flooring, roofing elements, insulation boards, medium-density fiberboard (MDF), chipboards, and vinyl flooring products.
Spend a few minutes browsing the Mohawk Industries Inc, web site at http://www.mohawkind.com.