Goodyear Tire reinstated with an Overweight at JPMorgan

JPMorgan resumed coverage of Goodyear Tire (GT) with an Overweight rating and price target of $17, down from $18, following a period of restriction. The firm cites the company’s improving execution, debt de-leverage, greater operational focus, and relative pricing from recently imposed Section 232 automotive sectoral and reciprocal tariffs that relatively advantage domestic tire manufacturers for the Overweight rating. Goodyear’s higher earnings in combination with lower than expected restructuring costs contribute to a de-levering process that is being catalyzed by a strategy to dispose of non-core assets, which is also running ahead of plan, the analyst tells investors in a research note.