Goodyear Tire & Rubber Co., headquartered in Akron, Ohio, employs 71,000 and manufactures tires and rubber-related chemicals across 55 facilities in 22 countries. The company operates 950 retail outlets and offers various tire brands.
Based on our analysis, Goodyear Tire & Rubber Company has received an undervalued rating of 5 out of 5 stars from Cashu. Several key financial ratios indicate that the company is trading at attractive levels compared to its sector peers.
The price-to-earnings (P/E) ratio for Goodyear stands at 12.60, significantly lower than the sector average of 15.61. A lower P/E ratio suggests that the stock may be undervalued relative to its earnings potential, making it an attractive option for investors seeking value.
Additionally, Goodyear's price-to-book (P/B) ratio is 0.54, while the sector average is 1.97. This means that the company's stock is trading at less than half of its book value, indicating that investors can acquire assets at a bargain price.
The net profit margin for Goodyear is an impressive 0.37, compared to the sector average of 0.09. This high profit margin indicates that Goodyear is efficiently converting revenues into actual profit, showcasing its strong operational performance.
Furthermore, the return on equity (ROE) ratio of 1.47 exceeds the sector average of 1.09, reflecting effective management in generating returns for shareholders. The return on assets (ROA) ratio of 0.33, significantly higher than the sector's -0.10, illustrates Goodyear's superior ability to utilize its assets to generate profits.
These financial metrics collectively highlight Goodyear Tire & Rubber Company as an undervalued investment opportunity within its industry.
This is not a comprehensive overview of our valuation, and should not be viewed as financial advice. Always do your own research before considering an investment.
📡️ Consumer Discretionary
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