Goodyear's stock experienced a significant intraday decline of 13.50% on Tuesday, reflecting negative investor sentiment during the regular trading session.
The sharp downturn was primarily triggered by the company's fourth-quarter earnings report, which revealed adjusted earnings per share of $0.39, falling short of analyst consensus estimates that ranged between $0.47 and $0.49. While Goodyear's revenue of approximately $4.92 billion exceeded expectations of around $4.84 billion, the profit miss overshadowed the positive revenue surprise.
Several financial reports highlighted the earnings shortcoming as the main catalyst for the stock's downward movement, with the company continuing to face challenging industry conditions despite operational improvements from its Goodyear Forward initiative.