📊 GT Key Takeaways
Is Goodyear Tire & Rubber Co /Oh/ (GT) a Good Investment?
Goodyear is in acute financial distress with negative operating cash flow (-$718M), negative free cash flow (-$893M), and inability to cover interest costs from operations. The combination of declining revenue (-3.2% YoY), operational losses, excessive leverage (2.08x debt/equity), and deteriorating liquidity (0.51x quick ratio) creates material bankruptcy risk within 12 months at current burn rates.
Fundamentals are deteriorated: recurring losses (−9.4% net margin) and negative operating income with −1.2x interest coverage point to an unsustainable earnings and capital structure profile. Liquidity is thin (quick ratio 0.54x) and free cash flow is slightly negative despite significant scale, limiting flexibility to invest or delever. Until margins turn positive and cash generation consistently improves, risk outweighs potential reward.
Why Buy Goodyear Tire & Rubber Co /Oh/ Stock? GT Key Strengths
- Maintains $723M cash reserve providing near-term liquidity buffer
- Established 100+ year brand with diversified customer base
- Total assets of $18.5B provide theoretical liquidation value
- Large revenue base (~$18.3B) provides scale
- Positive operating cash flow ($796M) despite a tough year
- Positive tangible equity ($3.23B) offers some buffer
GT Stock Risks: Goodyear Tire & Rubber Co /Oh/ Investment Risks
- Negative operating cash flow indicates core business cannot sustain operations independently
- Free cash flow burn of -$893M with only 9-10 months of cash runway at current rates
- Interest coverage ratio of -1.6x means company cannot service $6.2B debt from operations; refinancing risk is critical
- Quick ratio of 0.51x signals acute liquidity crisis; insufficient liquid assets to cover short-term obligations
- Structural decline in revenue combined with inability to cut costs proportionally
- Sustained losses and negative margins pressure solvency
- High leverage with negative interest coverage (−1.2x)
- Weak liquidity (quick ratio 0.54x) and declining revenue (−3.2% YoY)
Key Metrics to Watch
- Operating cash flow trajectory and path to positive OCF
- Debt refinancing/restructuring announcements and covenant compliance
- Cash burn rate and months of runway remaining
- Quarterly revenue trends and gross margin recovery
- Debt/equity ratio and any covenant waivers or defaults
- Interest coverage trending to >1.5–2.0x
- Sustained positive free cash flow and FCF margin
Goodyear Tire & Rubber Co /Oh/ (GT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Goodyear Tire & Rubber Co /Oh/ presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
GT Profit Margin, ROE & Profitability Analysis
GT vs Market Sector: How Goodyear Tire & Rubber Co /Oh/ Compares
How Goodyear Tire & Rubber Co /Oh/ compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Goodyear Tire & Rubber Co /Oh/ Stock Overvalued? GT Valuation Analysis 2026
Based on fundamental analysis, Goodyear Tire & Rubber Co /Oh/ shows some fundamental concerns relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Goodyear Tire & Rubber Co /Oh/ Balance Sheet: GT Debt, Cash & Liquidity
GT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Goodyear Tire & Rubber Co /Oh/'s revenue has grown significantly by 15% over the 5-year period, indicating strong business expansion. The most recent EPS of $-2.56 indicates the company is currently unprofitable.
GT Revenue Growth, EPS Growth & YoY Performance
GT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $3.9B | $115.0M | $0.40 |
| Q3 2025 | $4.6B | -$27.0M | $-0.09 |
| Q2 2025 | $4.5B | $10.0M | $0.04 |
| Q1 2025 | $4.3B | -$57.0M | $-0.20 |
| Q3 2024 | $4.8B | -$6.0M | $-0.02 |
| Q2 2024 | $4.6B | $28.0M | $0.10 |
| Q1 2024 | $4.5B | -$57.0M | $-0.20 |
| Q3 2023 | $5.1B | $44.0M | $0.16 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Goodyear Tire & Rubber Co /Oh/ Dividends, Buybacks & Capital Allocation
GT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Goodyear Tire & Rubber Co /Oh/ (CIK: 0000042582)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GT
What is the AI rating for GT?
Goodyear Tire & Rubber Co /Oh/ (GT) has a Combined AI Rating of STRONG SELL from Claude (STRONG SELL) and ChatGPT (STRONG SELL) with 86% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GT's key strengths?
Claude: Maintains $723M cash reserve providing near-term liquidity buffer. Established 100+ year brand with diversified customer base. ChatGPT: Large revenue base (~$18.3B) provides scale. Positive operating cash flow ($796M) despite a tough year.
What are the risks of investing in GT?
Claude: Negative operating cash flow indicates core business cannot sustain operations independently. Free cash flow burn of -$893M with only 9-10 months of cash runway at current rates. ChatGPT: Sustained losses and negative margins pressure solvency. High leverage with negative interest coverage (−1.2x).
What is GT's revenue and growth?
Goodyear Tire & Rubber Co /Oh/ reported revenue of $3.9B.
Does GT pay dividends?
Goodyear Tire & Rubber Co /Oh/ does not currently pay dividends.
Where can I find GT SEC filings?
Official SEC filings for Goodyear Tire & Rubber Co /Oh/ (CIK: 0000042582) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GT's EPS?
Goodyear Tire & Rubber Co /Oh/ has a diluted EPS of $-0.86.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is GT a good stock to buy right now?
Based on our AI fundamental analysis in May 2026, Goodyear Tire & Rubber Co /Oh/ has a STRONG SELL rating with 86% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is GT stock overvalued or undervalued?
Valuation metrics for GT: ROE of -8.3% (sector avg: 15%), net margin of -6.4% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy GT stock in 2026?
Our dual AI analysis gives Goodyear Tire & Rubber Co /Oh/ a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is GT's free cash flow?
Goodyear Tire & Rubber Co /Oh/'s operating cash flow is $-718.0M, with capital expenditures of $175.0M. FCF margin is -23.0%.
How does GT compare to other Market stocks?
Vs Default sector averages: Net margin -6.4% (avg: 12%), ROE -8.3% (avg: 15%), current ratio 1.04 (avg: 1.8).
Is Goodyear Tire & Rubber Co /Oh/ carrying too much debt?
GT has a debt-to-equity ratio of 2.08x, which is above the Market sector average of 0.7x. However, the current ratio of 1.04 suggests adequate short-term liquidity.