Zacks Investment Research lowered shares of Goodyear Tire & Rubber (NASDAQ:GT) from a hold rating to a strong sell rating in a report released on Tuesday.
According to Zacks, “Of late, the Zacks Consensus Estimate for Goodyear’s fourth-quarter and 2018 earnings has been moving down. The company has been struggling with softening market conditions in China, economic volatility in Brazil and rise in raw material costs includes carbon black and synthetic rubber are concerns for Goodyear. Further, unfavorable foreign currency translation is another headwind for the tire supplier. In fact, the headwinds have compelled the company to lower its operating income projection to roughly $1.3 billion from the previous estimates of $1.45-$1.5 billion. Over the past three months, shares of Goodyear have underperformed against its industry. The company will release its fourth-quarter 2018 earnings on Feb 8.”
Several other equities analysts also recently weighed in on the stock. BidaskClub upgraded shares of Goodyear Tire & Rubber from a sell rating to a hold rating in a report on Thursday, November 15th. Morgan Stanley set a $19.00 price target on shares of Goodyear Tire & Rubber and gave the stock a hold rating in a report on Tuesday, January 29th. Longbow Research reiterated a hold rating on shares of Goodyear Tire & Rubber in a report on Monday, January 21st. Jefferies Financial Group set a $26.00 price objective on shares of Goodyear Tire & Rubber and gave the stock a buy rating in a research note on Tuesday, December 4th. Finally, Deutsche Bank initiated coverage on shares of Goodyear Tire & Rubber in a research note on Thursday, December 13th. They set a hold rating on the stock. Three analysts have rated the stock with a sell rating, seven have assigned a hold rating and five have issued a buy rating to the company’s stock. The stock presently has an average rating of Hold and an average price target of $24.75.
NASDAQ:GT traded up $0.02 during mid-day trading on Tuesday, reaching $21.05. The company’s stock had a trading volume of 56,858 shares, compared to its average volume of 5,949,341. Goodyear Tire & Rubber has a 1 year low of $18.67 and a 1 year high of $33.88. The firm has a market cap of $4.90 billion, a PE ratio of 6.75, a price-to-earnings-growth ratio of -1.66 and a beta of 1.60. The company has a debt-to-equity ratio of 1.12, a current ratio of 1.34 and a quick ratio of 0.76.
The firm also recently announced a quarterly dividend, which will be paid on Friday, March 1st. Stockholders of record on Friday, February 1st will be given a dividend of $0.16 per share. This is a positive change from Goodyear Tire & Rubber’s previous quarterly dividend of $0.14. The ex-dividend date of this dividend is Thursday, January 31st. This represents a $0.64 dividend on an annualized basis and a dividend yield of 3.04%. Goodyear Tire & Rubber’s dividend payout ratio (DPR) is 20.51%.
Several large investors have recently made changes to their positions in the company. Financial Counselors Inc. raised its holdings in shares of Goodyear Tire & Rubber by 0.4% during the 4th quarter. Financial Counselors Inc. now owns 144,076 shares of the company’s stock worth $2,941,000 after acquiring an additional 517 shares during the period. State of Alaska Department of Revenue raised its holdings in shares of Goodyear Tire & Rubber by 1.1% during the 4th quarter. State of Alaska Department of Revenue now owns 58,014 shares of the company’s stock worth $1,183,000 after acquiring an additional 632 shares during the period. TD Asset Management Inc. raised its holdings in shares of Goodyear Tire & Rubber by 0.9% during the 4th quarter. TD Asset Management Inc. now owns 69,256 shares of the company’s stock worth $1,414,000 after acquiring an additional 638 shares during the period. Meeder Asset Management Inc. raised its holdings in shares of Goodyear Tire & Rubber by 5.4% during the 4th quarter. Meeder Asset Management Inc. now owns 20,676 shares of the company’s stock worth $423,000 after acquiring an additional 1,068 shares during the period. Finally, Zurcher Kantonalbank Zurich Cantonalbank raised its holdings in shares of Goodyear Tire & Rubber by 1.8% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 66,502 shares of the company’s stock worth $1,357,000 after acquiring an additional 1,190 shares during the period. Hedge funds and other institutional investors own 88.20% of the company’s stock.
About Goodyear Tire & Rubber
The Goodyear Tire & Rubber Company, together with its subsidiaries, develops, manufactures, distributes, and sells tires and related products and services worldwide. It offers various lines of rubber tires for automobiles, trucks, buses, aircrafts, motorcycles, earthmoving and mining equipment, farm implements, industrial equipment, and various other applications under the Goodyear, Dunlop, Kelly, Debica, Sava, Fulda, and various other Goodyear owned house brands, as well as under the private-label brands.
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