Goodyear Tire & Rubber: Why I See At Least 50% Upside For The Stock

Summary

  • The Goodyear Tire & Rubber Company is a well-known tire manufacturer with a significant market share.
  • The company is focusing on innovation, partnerships, and a shareholder-friendly approach to improve its performance.
  • Goodyear aims to regain market share, expand into higher margin areas, and restore profitability by 2025.
  • While debt remains a concern, the company has de-leveraging the balance sheet by paying down debt.
  • At 5.3x forward EBITDA, the company trades an unjustifiable discount to peers when we consider the outlook.

Goodyear Canada Corporate office in Etobicoke, Toronto, Canada.

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Introduction

The Goodyear Tire & Rubber Company (NASDAQ:GT) is a tire manufacturer in the United States. Over the years, the company has undergone a tumultuous period but I believe there seems to be signs of a turnaround. While shares have underperformed

This article was written by

I'm an insurance Case Manager with a deep interest in investing. My investment philosophy is all about buying high quality stocks and great businesses. My favorite businesses are those led by disciplined capital allocators, earn exceptional returns on capital, and can compound their invested capital over long periods of time.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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