Goodyear’s big acquisition just adds to your prospects

Article Excerpt

The pandemic presented this industrial stock with unique challenges. However, the company remains profitable and is well positioned to keep weathering the crisis and prosper anew. We see the stock as a buy. GOODYEAR TIRE & RUBBER $18.97 (Nasdaq symbol GT; TSINetwork Rating: Extra Risk) (www.goodyear.com; Shares o/s: 233.3 million; Market cap: $4.6 billion; No divds.) is one of the world’s largest tire makers. It has 47 production plants in 21 countries. The company’s overall tire volume climbed to 35 million units for the three months ended March 31, 2021. That’s up 12% from a year earlier. The recovery in global shipments to vehicle makers in the wake of COVID-19 led the gains. That pushed up revenue 14.9%, to $3.5 billion from $3.1 billion. Goodyear earned $102 million, or $0.43 a share, in the latest quarter. That’s compared to a loss of $140 million, or $0.60. Goodyear holds $1.2 billion cash, which will help to see it through any economic uncertainty. Meanwhile, the…