Goodyear may sell off some units

Article Excerpt

GOODYEAR TIRE & RUBBER, $14.53, is a buy. The manufacturer (Nasdaq symbol GT; TSINetwork Rating: Extra Risk) (Shares outstanding: 283.5 million; Market cap: $4.1 billion; No dividends paid) is now exploring strategic alternatives for some of its operating units to streamline its product portfolio—as part of its agreement with activist investor Elliott Management. Goodyear’s goal is to raise more than $2 billion in proceeds. The units under review include its chemical business, its Dunlop brand of tires, and its Off-the-Road equipment tire business. Meantime, the company’s ongoing involvement with Elliott Management should remain a plus—and it also draws attention to its prospects. Goodyear Tire & Rubber is a buy. buy…