We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Goodyear (GT) Q2 Earnings & Revenue Miss Estimates
Read MoreHide Full Article
The Goodyear Tire & Rubber Company (GT - Free Report) is one of the world’s largest tire manufacturing companies, selling under Goodyear, Kelly, Dunlop, Fulda, Debica, Sava and various other brands. The company regularly launches innovative products and services to boost sales. Although Goodyear generates worldwide sales, North America is its leading market. It is also expanding in emerging markets to boost profits. Moreover, its capital allocation plan is expected to enhance shareholder value.
However, declining revenues and pricing pressure are concerns. Moreover, economic weakness in Latin America and Brazil are other challenges.
Estimate Trend & Surprise History
Investors should note that the second-quarter earnings estimate for Goodyear have been declining over the past 7 days.
The company delivered positive earnings surprises in each of the last four quarter with an average beat of 9.77%. Investors have been eagerly awaiting Goodyear’s latest earnings report to see whether it delivers an earnings beat in the first quarter as well.
We have highlighted some of the key stats from the company’s earnings announcement below:
Earnings
Goodyear reported adjusted earnings of 70 cents per share in the second quarter of 2017, missing the Zacks Consensus Estimate of 72 cents. Adjusted earnings were also lower than $1.16 generated in the year-ago quarter.
The Goodyear Tire & Rubber Company Price and EPS Surprise
Goodyear logged revenues of $3.69 billion, missing the Zacks Consensus Estimate of $3.75 billion. Moreover, revenues also declined from $3.88 billion recorded year-ago. The decline was partly due to high raw material costs and challenging competitive environment.
Key Stats/Developments to Note
During the reported quarter, Goodyear repurchased 147,000 shares for $5 million under the previously announced $2.1 billion share repurchase program.
The company expects operating income in 2017 to be within the range of $1.6-1.65 billion, as against the previous expectation to be on par with the $2 billion recorded in 2016.
Market Reaction
Goodyear’s shares have decreased 8.63% in pre-market trading so far following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on Goodyear’s earnings report!
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaries," but that should still leave plenty of money for regular investors who make the right trades early. See Zacks' 3 Best Stocks to Play This Trend >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Goodyear (GT) Q2 Earnings & Revenue Miss Estimates
The Goodyear Tire & Rubber Company (GT - Free Report) is one of the world’s largest tire manufacturing companies, selling under Goodyear, Kelly, Dunlop, Fulda, Debica, Sava and various other brands. The company regularly launches innovative products and services to boost sales. Although Goodyear generates worldwide sales, North America is its leading market. It is also expanding in emerging markets to boost profits. Moreover, its capital allocation plan is expected to enhance shareholder value.
However, declining revenues and pricing pressure are concerns. Moreover, economic weakness in Latin America and Brazil are other challenges.
Estimate Trend & Surprise History
Investors should note that the second-quarter earnings estimate for Goodyear have been declining over the past 7 days.
The company delivered positive earnings surprises in each of the last four quarter with an average beat of 9.77%. Investors have been eagerly awaiting Goodyear’s latest earnings report to see whether it delivers an earnings beat in the first quarter as well.
Zacks Rank
Goodyear currently has a Zacks Rank #3 (Hold), but that could change following its earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
We have highlighted some of the key stats from the company’s earnings announcement below:
Earnings
Goodyear reported adjusted earnings of 70 cents per share in the second quarter of 2017, missing the Zacks Consensus Estimate of 72 cents. Adjusted earnings were also lower than $1.16 generated in the year-ago quarter.
The Goodyear Tire & Rubber Company Price and EPS Surprise
The Goodyear Tire & Rubber Company Price and EPS Surprise | The Goodyear Tire & Rubber Company Quote
Revenues
Goodyear logged revenues of $3.69 billion, missing the Zacks Consensus Estimate of $3.75 billion. Moreover, revenues also declined from $3.88 billion recorded year-ago. The decline was partly due to high raw material costs and challenging competitive environment.
Key Stats/Developments to Note
During the reported quarter, Goodyear repurchased 147,000 shares for $5 million under the previously announced $2.1 billion share repurchase program.
The company expects operating income in 2017 to be within the range of $1.6-1.65 billion, as against the previous expectation to be on par with the $2 billion recorded in 2016.
Market Reaction
Goodyear’s shares have decreased 8.63% in pre-market trading so far following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on Goodyear’s earnings report!
The Hottest Tech Mega-Trend of All
Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaries," but that should still leave plenty of money for regular investors who make the right trades early. See Zacks' 3 Best Stocks to Play This Trend >>