BNP Paribas Downgrades Goodyear Tire & Rubber (NASDAQ:GT) to Hold

Key Points

• BNP Paribas downgraded Goodyear Tire & Rubber's rating from "strong-buy" to "hold," indicating a cautious outlook for the company's financial performance.
• Goodyear recently reported an earnings loss of ($0.17) per share, missing analysts' expectations, and its revenue fell 2.3% year-over-year.
• The stock has seen significant fluctuations, closing down 18.5%, with a current average target price set at $13.00.

BNP Paribas cut shares of Goodyear Tire & Rubber (NASDAQ:GT - Free Report) from a strong-buy rating to a hold rating in a research report released on Friday morning,Zacks.com reports.

GT has been the topic of several other research reports. JPMorgan Chase & Co. reiterated an "overweight" rating and issued a $17.00 target price (down previously from $18.00) on shares of Goodyear Tire & Rubber in a research report on Thursday, May 22nd. Wall Street Zen lowered shares of Goodyear Tire & Rubber from a "buy" rating to a "hold" rating in a research report on Saturday, May 10th. Finally, BNP Paribas Exane reiterated a "neutral" rating and issued a $9.00 target price on shares of Goodyear Tire & Rubber in a research report on Friday. Four analysts have rated the stock with a hold rating, three have given a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $12.80.

Goodyear Tire & Rubber Stock Performance

Shares of NASDAQ:GT traded down $0.06 during midday trading on Friday, reaching $8.25. The company's stock had a trading volume of 11,157,032 shares, compared to its average volume of 6,415,662. The firm has a market capitalization of $2.36 billion, a PE ratio of 5.81, a P/E/G ratio of 0.26 and a beta of 1.37. Goodyear Tire & Rubber has a twelve month low of $7.27 and a twelve month high of $12.03. The stock has a fifty day moving average of $10.72 and a 200 day moving average of $10.13. The company has a quick ratio of 0.63, a current ratio of 1.15 and a debt-to-equity ratio of 1.24.

Goodyear Tire & Rubber (NASDAQ:GT - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The company reported ($0.17) EPS for the quarter, missing the consensus estimate of $0.14 by ($0.31). The firm had revenue of $4.47 billion for the quarter, compared to analyst estimates of $4.50 billion. Goodyear Tire & Rubber had a net margin of 2.22% and a return on equity of 3.17%. The firm's quarterly revenue was down 2.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.19 EPS. On average, equities analysts expect that Goodyear Tire & Rubber will post 1.5 EPS for the current fiscal year.

Hedge Funds Weigh In On Goodyear Tire & Rubber

Institutional investors and hedge funds have recently bought and sold shares of the business. Ensign Peak Advisors Inc raised its stake in Goodyear Tire & Rubber by 2,327.9% during the second quarter. Ensign Peak Advisors Inc now owns 2,578,433 shares of the company's stock worth $26,738,000 after purchasing an additional 2,472,231 shares during the period. Nuveen LLC purchased a new stake in shares of Goodyear Tire & Rubber in the 1st quarter valued at approximately $20,422,000. Maple Rock Capital Partners Inc. purchased a new stake in shares of Goodyear Tire & Rubber in the 4th quarter valued at approximately $16,875,000. CenterBook Partners LP purchased a new stake in shares of Goodyear Tire & Rubber in the 1st quarter valued at approximately $13,413,000. Finally, Atlantic Investment Management Inc. purchased a new stake in shares of Goodyear Tire & Rubber in the 4th quarter valued at approximately $11,803,000. 84.19% of the stock is currently owned by institutional investors and hedge funds.

About Goodyear Tire & Rubber

Goodyear Tire & Rubber Co engages in the development, manufacture, distribution, and sale of tires. It operates through the following geographical segments: Americas, Europe, Middle East, and Africa, and Asia Pacific. The Americas segment is involved in the development, manufacture, distribution, and sale of tires and related products and services in North, Central, and South America.