Comparing Goodyear Tire & Rubber (GT) & Its Rivals

Goodyear Tire & Rubber (NASDAQ:GT) is one of 148 public companies in the “Automobile Components” industry, but how does it contrast to its competitors? We will compare Goodyear Tire & Rubber to similar businesses based on the strength of its valuation, dividends, profitability, earnings, analyst recommendations, risk and institutional ownership.

Analyst Ratings

This is a summary of recent ratings for Goodyear Tire & Rubber and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Goodyear Tire & Rubber	2	3	2	0	2.00
Goodyear Tire & Rubber Competitors	1054	4412	6055	201	2.46

Goodyear Tire & Rubber presently has a consensus target price of $8.26, suggesting a potential upside of 63.56%. As a group, “Automobile Components” companies have a potential upside of 70.48%. Given Goodyear Tire & Rubber’s competitors stronger consensus rating and higher possible upside, analysts plainly believe Goodyear Tire & Rubber has less favorable growth aspects than its competitors.

Earnings & Valuation

This table compares Goodyear Tire & Rubber and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Goodyear Tire & Rubber	$18.28 billion	-$1.72 billion	-0.57
Goodyear Tire & Rubber Competitors	$6.51 billion	$70.54 million	5.99

Goodyear Tire & Rubber has higher revenue, but lower earnings than its competitors. Goodyear Tire & Rubber is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Institutional and Insider Ownership

84.2% of Goodyear Tire & Rubber shares are owned by institutional investors. Comparatively, 48.3% of shares of all “Automobile Components” companies are owned by institutional investors. 0.5% of Goodyear Tire & Rubber shares are owned by insiders. Comparatively, 19.6% of shares of all “Automobile Components” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Goodyear Tire & Rubber and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Goodyear Tire & Rubber	-14.37%	-2.95%	-0.50%
Goodyear Tire & Rubber Competitors	-168.59%	0.01%	-2.00%

Risk & Volatility

Goodyear Tire & Rubber has a beta of 1.1, indicating that its stock price is 10% more volatile than the S&P 500. Comparatively, Goodyear Tire & Rubber’s competitors have a beta of 3.61, indicating that their average stock price is 261% more volatile than the S&P 500.

Summary

Goodyear Tire & Rubber competitors beat Goodyear Tire & Rubber on 9 of the 13 factors compared.

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. The Europe, Middle East, and Africa segment focuses on the development, manufacture, distribution, and sale of tires for automobiles, trucks, buses, aircraft, motorcycles, earthmoving, mining, and industrial equipment throughout Europe, the Middle East, and Africa. The Asia Pacific segment refers to the development, manufacture, distribution, and sales of tires for automobiles, trucks, buses, aircraft, farm, earthmoving, mining, and industrial equipment throughout the Asia Pacific region. The company was founded by Frank A. Seiberling on August 29, 1898 and is headquartered in Akron, OH.