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 is rated as undervalued with a score of 5 out of 5 stars. The company's key financial ratios reveal its strong position relative to industry peers, indicating significant potential for growth and profitability.
The Price-to-Earnings (PE) ratio for Goodyear stands at 12.28, noticeably lower than the sector average of 17.16. A lower PE ratio suggests that the stock may be undervalued compared to its earnings, making it an attractive option for investors seeking value.
Additionally, Goodyear's Price-to-Book (PB) ratio is 0.54, compared to the sector average of 1.99. This ratio indicates that the company's stock is trading at less than its book value, further emphasizing its undervaluation and potential for price appreciation.
Goodyear also boasts a robust net profit margin of 0.37, significantly outperforming the sector's negative margin of -0.20. This positive margin indicates that Goodyear is effectively converting revenue into profit, showcasing operational efficiency and financial health.
Moreover, the company has a return on equity (ROE) of 1.47, compared to the sector average of 0.23. A higher ROE indicates that Goodyear is generating more profit from its shareholders' investments, reflecting strong management performance.
Lastly, Goodyear's return on assets (ROA) stands at 0.33, while the sector average is -0.76. A positive ROA shows that the company is efficiently using its assets to generate earnings.
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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