Goodyear Tire & Rubber (NASDAQ:GT) Hits New 12-Month Low - What's Next?

Key Points

• Goodyear Tire & Rubber shares reached a new 52-week low of $6.79, with a trading volume of over 3.87 million shares, reflecting a significant drop in investor sentiment.
• Analysts have downgraded the company's ratings, with BNP Paribas and HSBC changing their ratings from "strong-buy" to "hold," resulting in a consensus "Hold" rating with an average price target of $11.93.
• The latest quarterly earnings report revealed a loss of ($0.17) per share, missing estimates by $0.31, and a revenue decline of 2.3% compared to the same quarter last year.

The Goodyear Tire & Rubber Company (NASDAQ:GT - Get Free Report) shares reached a new 52-week low on Monday . The company traded as low as $6.79 and last traded at $6.84, with a volume of 3874122 shares. The stock had previously closed at $6.83.

Analyst Upgrades and Downgrades

A number of research firms have recently commented on GT. BNP Paribas downgraded shares of Goodyear Tire & Rubber from a "strong-buy" rating to a "hold" rating in a report on Friday, August 8th. HSBC reaffirmed a "hold" rating and set a $9.50 price objective (down from $15.50) on shares of Goodyear Tire & Rubber in a report on Wednesday, August 20th. BNP Paribas Exane reissued a "neutral" rating and issued a $9.00 target price on shares of Goodyear Tire & Rubber in a report on Friday, August 8th. Hsbc Global Res lowered Goodyear Tire & Rubber from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, August 20th. Finally, Citigroup assumed coverage on Goodyear Tire & Rubber in a research note on Monday, September 8th. They set a "neutral" rating and a $10.00 price objective for the company. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $11.93.

Goodyear Tire & Rubber Stock Down 0.5%

The firm's 50-day moving average is $8.35 and its two-hundred day moving average is $9.82. The company has a debt-to-equity ratio of 1.24, a quick ratio of 0.63 and a current ratio of 1.15. The stock has a market cap of $1.94 billion, a P/E ratio of 4.77, a PEG ratio of 0.87 and a beta of 1.28.

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

Hedge Funds Weigh In On Goodyear Tire & Rubber

Hedge funds and other institutional investors have recently bought and sold shares of the business. Greenvale Capital LLP acquired a new position in shares of Goodyear Tire & Rubber during the 2nd quarter worth about $106,292,000. Marshall Wace LLP boosted its stake in Goodyear Tire & Rubber by 1,107.5% during the 2nd quarter. Marshall Wace LLP now owns 7,825,605 shares of the company's stock worth $81,152,000 after acquiring an additional 7,177,542 shares during the last quarter. Maple Rock Capital Partners Inc. grew its holdings in Goodyear Tire & Rubber by 215.6% during the second quarter. Maple Rock Capital Partners Inc. now owns 5,561,846 shares of the company's stock valued at $57,676,000 after purchasing an additional 3,799,383 shares during the period. Norges Bank acquired a new position in Goodyear Tire & Rubber during the second quarter valued at approximately $29,112,000. Finally, Ensign Peak Advisors Inc increased its stake in Goodyear Tire & Rubber by 2,327.9% in the second quarter. Ensign Peak Advisors Inc now owns 2,578,433 shares of the company's stock valued at $26,738,000 after purchasing an additional 2,472,231 shares in the last quarter. 84.19% of the stock is owned by institutional investors.

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.

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