Shares of Goodyear Tire & Rubber Co. (NASDAQ: GT) plummeted 21.73% in Friday's pre-market trading session following the release of disappointing second-quarter earnings that fell significantly short of analyst expectations. The steep decline reflects investors' concerns about the company's financial performance and outlook.

Goodyear reported an adjusted loss per share of $0.17 for the quarter ended June 30, a stark reversal from the $0.19 earnings per share posted in the same quarter last year. This result missed the analysts' consensus estimate of $0.07 earnings per share by a wide margin. The company's adjusted net income swung to a loss of $48 million, compared to the $5.17 million profit analysts had anticipated. While Goodyear's Q2 sales of $4.47 billion slightly beat the Wall Street estimate of $4.42 billion, it still represented a 2.3% year-over-year decline.

CEO Mark Stewart cited industry disruption from global trade shifts and low-cost imports as factors impacting both consumer and commercial businesses. Despite these headwinds, management expressed optimism, stating they "expect global trade conditions to stabilize in coming quarters." However, investors appeared to focus more on the current earnings miss and the unexpected loss, leading to the sharp stock decline. The significant drop in share price indicates that the market is reassessing Goodyear's near-term prospects and profitability in light of these challenges.