Goodyear Tire & Rubber Co (GT) Stock Analysis
Verdict: AVOID
Surviving heavy $7.26B net debt depends on portfolio restructuring, but negative FCF and 28.1x Net Debt/EBITDA keep risk near 52W lows.
Investment score: 35/100
Analysis as of
Is Goodyear Tire & Rubber Co stock worth reviewing? The TradeMates thesis
The TradeMates model views Goodyear as a high-risk turnaround candidate burdened by extreme leverage ($7.26B debt) and persistent cash drain. Despite deep price-to-sales discounting, the model recommends AVOID until balance sheet deleveraging yields positive free cash flow.
7-factor investment score
- Valuation: 45/100 (weight 20%)
- Financial Health: 15/100 (weight 15%)
- Technical Momentum: 20/100 (weight 15%)
- Earnings Quality: 40/100 (weight 15%)
- Insider Sentiment: 35/100 (weight 10%)
- Analyst Consensus: 65/100 (weight 10%)
- Risk-Adjusted Return: 30/100 (weight 15%)
Goodyear Tire & Rubber Co opportunities and risks
What speaks for GT
- Portfolio Restructuring and Asset Sales ("Goodyear Forward" Plan)
What speaks against GT
- Refinancing and Interest Expense Shock on $7.26B Debt Load
Peers and competitors
- 900100.KQ
- AMTY
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| GT | n/a | 0.1x | 33.9x | 18.3% | -14.4% | 13.3% |
| AMTY | 27.3x | 0.5x | 17.5x | 27.2% | 2.1% | 8.3% |
| Peer median | 27.3x | 0.5x | 17.5x | 27.2% | 2.1% | 8.3% |
Frequently asked questions about Goodyear Tire & Rubber Co (GT)
Is GT stock a good investment?
The TradeMates model rates Goodyear Tire & Rubber Co as AVOID with an investment score of 35/100. The TradeMates model views Goodyear as a high-risk turnaround candidate burdened by extreme leverage ($7.26B debt) and persistent cash drain. Despite deep price-to-sales discounting, the model recommends AVOID until balance sheet deleveraging yields positive free cash flow. This is algorithmic model output, not personal investment advice.
Is GT stock a buy?
The TradeMates model verdict for GT is AVOID with an investment score of 35/100. Treat this as a model signal to review, not a personal buy recommendation.