Goodyear Tire Valuation
| GT Stock | USD 10.13 0.42 4.33% |
At this time, the firm appears to be undervalued. Goodyear Tire Rubber retains a regular Real Value of $11.88 per share. The prevalent price of the firm is $10.13. Our model calculates the value of Goodyear Tire Rubber from evaluating the firm fundamentals such as Return On Equity of -0.0612, current valuation of 11.92 B, and Return On Asset of 0.0219 as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Goodyear Tire's valuation include:
Price Book 0.5831 | Enterprise Value 11.9 B | Enterprise Value Ebitda 8.9967 | Price Sales 0.1452 | Forward PE 5.4855 |
Undervalued
Today
Please note that Goodyear Tire's price fluctuation is somewhat reliable at this time. Calculation of the real value of Goodyear Tire Rubber is based on 3 months time horizon. Increasing Goodyear Tire's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Goodyear Tire's intrinsic value may or may not be the same as its current market price of 10.13, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 10.13 | Real 11.88 | Target 14.2 | Hype 10.36 | Naive 9.45 |
The intrinsic value of Goodyear Tire's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Goodyear Tire's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Goodyear Tire Rubber helps investors to forecast how Goodyear stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Goodyear Tire more accurately as focusing exclusively on Goodyear Tire's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Goodyear Tire's intrinsic value based on its ongoing forecasts of Goodyear Tire's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Goodyear Tire's closest peers.
Goodyear Tire Cash |
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Goodyear Valuation Trend
Goodyear Tire's real value is important for investors to make better decisions and a more accurate overall view of Goodyear Tire's financial worth over time. Using both Goodyear Tire's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Goodyear Revenue by Product
Goodyear Tire Total Value Analysis
Goodyear Tire Rubber is currently anticipated to have takeover value of 11.92 B with market capitalization of 2.77 B, debt of 8.65 B, and cash on hands of 1.25 B. Please note that takeover value may be misleading and is a subject to accounting mistakes. We encourage investors to methodically examine all of the Goodyear Tire fundamentals before making investment evaluation based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
11.92 B | 2.77 B | 8.65 B | 1.25 B |
Goodyear Tire Investor Information
About 87.0% of the company shares are owned by institutional investors. The company has price-to-book (P/B) ratio of 0.58. Some equities with similar Price to Book (P/B) outperform the market in the long run. Goodyear Tire Rubber has Price/Earnings To Growth (PEG) ratio of 1.67. The entity recorded a loss per share of 1.04. The firm last dividend was issued on the 31st of January 2020. Goodyear Tire had 2:1 split on the 5th of May 1993. Based on the measurements of operating efficiency obtained from Goodyear Tire's historical financial statements, Goodyear Tire Rubber is not in a good financial situation at this time. It has a very high probability of going through financial hardship in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 847 M | 1 B |
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Goodyear Tire Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Goodyear Tire has an asset utilization ratio of 92.98 percent. This implies that the Company is making $0.93 for each dollar of assets. An increasing asset utilization means that Goodyear Tire Rubber is more efficient with each dollar of assets it utilizes for everyday operations.Goodyear Tire Ownership Allocation
Goodyear Tire Rubber has a total of 284.92 Million outstanding shares. The majority of Goodyear Tire Rubber outstanding shares are owned by outside corporations. These institutional investors are usually referred to as non-private investors looking to purchase positions in Goodyear Tire to benefit from reduced commissions. Consequently, third-party entities are subject to a different set of regulations than regular investors in Goodyear Tire Rubber. Please pay attention to any change in the institutional holdings of Goodyear Tire Rubber as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company holds, if the real value of the firm is less than the current market value, you may not be able to make money on it.Goodyear Tire Profitability Analysis
The company generated the yearly revenue of 20.07 B. Annual Net Loss to common stockholders was (687 M) with gross profit of 3.88 B.Goodyear Tire Past Distributions to stockholders
About Goodyear Tire Valuation
The stock valuation mechanism determines Goodyear Tire's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Goodyear Tire Rubber based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Goodyear Tire. We calculate exposure to Goodyear Tire's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Goodyear Tire's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 3.5 B | 3.7 B | |
| Pretax Profit Margin | (0.03) | (0.03) | |
| Net Loss | (0.03) | (0.03) | |
| Gross Profit Margin | 0.17 | 0.25 |
Goodyear Tire Quarterly Retained Earnings |
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A single share of Goodyear Tire represents a small ownership stake in the entity. As a stockholder of Goodyear, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Goodyear Tire Dividends Analysis For Valuation
Please note that Goodyear Tire has scaled down on payment of dividends at this time. Price Earnings To Growth Ratio is likely to gain to 0.02 in 2024, whereas Retained Earnings are likely to drop slightly above 3.2 B in 2024.
There are various types of dividends Goodyear Tire can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Goodyear shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Goodyear Tire Rubber directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Goodyear pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Goodyear Tire by the value of the dividends paid out.
Goodyear Tire Growth Indicators
Investing in growth stocks can be very risky. If the company such as Goodyear Tire does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 285 M | |
| Quarterly Earnings Growth Y O Y | -0.663 | |
| Forward Price Earnings | 5.4855 |
Goodyear Tire Current Valuation Indicators
Goodyear Tire's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Goodyear Tire's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Goodyear Tire, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Goodyear Tire's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Goodyear Tire's worth.Additional Tools for Goodyear Stock Analysis
When running Goodyear Tire's price analysis, check to measure Goodyear Tire's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Goodyear Tire is operating at the current time. Most of Goodyear Tire's value examination focuses on studying past and present price action to predict the probability of Goodyear Tire's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Goodyear Tire's price. Additionally, you may evaluate how the addition of Goodyear Tire to your portfolios can decrease your overall portfolio volatility.