Latest Ratios: P/E Ratio -0.9x · EV/EBITDA 4.7x · ROE -41.4%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.5B | $2.5B | $2.6B | $4.1B | $2.9B | $5.6B | $2.6B | $3.6B | $4.9B | $8.2B | $8.2B |
| Enterprise Value | $8.0B | $9.0B | $10.6B | $11.8B | $10.6B | $13.0B | $7.9B | $9.2B | $9.8B | $12.9B | $12.6B |
| P/E Ratio → | -0.89 | — | 37.50 | — | 14.30 | 7.38 | — | — | 7.04 | 23.58 | 6.51 |
| P/S Ratio | 0.08 | 0.14 | 0.14 | 0.20 | 0.14 | 0.32 | 0.21 | 0.25 | 0.32 | 0.53 | 0.54 |
| P/B Ratio | 0.46 | 0.75 | 0.53 | 0.84 | 0.53 | 1.09 | 0.78 | 0.80 | 0.96 | 1.69 | 1.74 |
| P/FCF | — | — | — | — | — | 69.49 | 5.46 | 8.29 | 46.46 | 29.51 | 16.16 |
| P/OCF | 1.93 | 3.19 | 3.71 | 3.95 | 5.57 | 5.30 | 2.29 | 3.00 | 5.33 | 7.06 | 5.46 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.49 | 0.56 | 0.59 | 0.51 | 0.74 | 0.64 | 0.63 | 0.64 | 0.84 | 0.83 |
| EV / EBITDA | 4.71 | 5.30 | 5.37 | 6.97 | 5.25 | 6.58 | 12.11 | 5.73 | 4.97 | 5.85 | 4.94 |
| EV / EBIT | 12.25 | 28.83 | 15.61 | — | 12.45 | 14.40 | — | 17.88 | 7.39 | 10.60 | 7.95 |
| EV / FCF | — | — | — | — | — | 160.01 | 16.85 | 21.16 | 93.71 | 46.43 | 24.72 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 18.4% | 18.4% | 19.6% | 17.5% | 18.5% | 21.7% | 16.1% | 21.3% | 22.7% | 24.0% | 27.9% |
| Operating Margin | 3.6% | 3.6% | 4.9% | 3.5% | 5.1% | 6.2% | -1.7% | 5.6% | 7.8% | 9.2% | 12.0% |
| Net Profit Margin | -9.4% | -9.4% | 0.4% | -3.4% | 1.0% | 4.4% | -10.2% | -2.1% | 4.5% | 2.3% | 8.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | -41.4% | -41.4% | 1.4% | -13.4% | 3.8% | 18.1% | -32.1% | -6.5% | 14.0% | 7.2% | 28.5% |
| ROA | -8.8% | -8.8% | 0.3% | -3.1% | 0.9% | 4.0% | -7.4% | -1.8% | 4.1% | 2.1% | 7.7% |
| ROIC | 4.3% | 4.3% | 5.4% | 4.1% | 6.2% | 7.7% | -1.7% | 6.1% | 9.2% | 11.4% | 15.6% |
| ROCE | 5.2% | 5.2% | 6.6% | 4.7% | 7.0% | 8.3% | -1.8% | 6.8% | 10.0% | 11.9% | 15.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 2.13 | 2.13 | 1.79 | 1.79 | 1.63 | 1.62 | 2.11 | 1.44 | 1.14 | 1.18 | 1.16 |
| Debt / EBITDA | 4.28 | 4.28 | 4.46 | 5.10 | 4.42 | 4.27 | 10.56 | 4.04 | 2.91 | 2.61 | 2.16 |
| Net Debt / Equity | — | 1.90 | 1.63 | 1.60 | 1.41 | 1.41 | 1.64 | 1.24 | 0.98 | 0.97 | 0.92 |
| Net Debt / EBITDA | 3.80 | 3.80 | 4.05 | 4.57 | 3.81 | 3.72 | 8.19 | 3.48 | 2.51 | 2.13 | 1.71 |
| Debt / FCF | — | — | — | — | — | 90.52 | 11.40 | 12.86 | 47.26 | 16.92 | 8.56 |
| Interest Coverage | 0.70 | 0.70 | 1.16 | -0.27 | 1.88 | 2.33 | -2.33 | 1.38 | 3.73 | 3.62 | 3.38 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.06 | 1.06 | 1.04 | 1.07 | 1.21 | 1.11 | 1.10 | 1.12 | 1.24 | 1.21 | 1.19 |
| Quick Ratio | 0.54 | 0.54 | 0.55 | 0.55 | 0.57 | 0.57 | 0.68 | 0.58 | 0.64 | 0.66 | 0.64 |
| Cash Ratio | 0.12 | 0.12 | 0.11 | 0.13 | 0.17 | 0.16 | 0.30 | 0.17 | 0.17 | 0.21 | 0.24 |
| Asset Turnover | — | 1.00 | 0.90 | 0.93 | 0.93 | 0.82 | 0.75 | 0.86 | 0.92 | 0.90 | 0.92 |
| Inventory Turnover | 4.17 | 4.17 | 4.22 | 4.48 | 3.71 | 3.81 | 4.80 | 4.07 | 4.19 | 4.19 | 4.16 |
| Days Sales Outstanding | — | 46.36 | 47.16 | 49.46 | 45.51 | 49.64 | 50.09 | 47.48 | 47.88 | 48.07 | 42.60 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | 1.4% | 4.1% | 2.8% | 1.3% | 1.0% |
| Payout Ratio | — | — | — | — | — | — | — | — | 19.9% | 31.8% | 6.5% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | — | — | 2.7% | — | 7.0% | 13.6% | — | — | 14.2% | 4.2% | 15.4% |
| FCF Yield | — | — | — | — | — | 1.4% | 18.3% | 12.1% | 2.2% | 3.4% | 6.2% |
| Buyback Yield | 0.4% | 0.2% | 0.1% | 0.0% | 0.2% | 0.0% | 0.0% | 0.0% | 4.5% | 4.9% | 6.1% |
| Total Shareholder Yield | 0.4% | 0.2% | 0.1% | 0.0% | 0.2% | 0.0% | 1.5% | 4.1% | 7.3% | 6.2% | 7.1% |
| Shares Outstanding | — | $290M | $288M | $285M | $286M | $264M | $234M | $233M | $239M | $253M | $266M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying GT stock.
The Goodyear Tire & Rubber Company's current P/E ratio is -0.9x. The historical average is 22.1x.
The Goodyear Tire & Rubber Company's current EV/EBITDA is 4.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 5.8x.
The Goodyear Tire & Rubber Company's return on equity (ROE) is -41.4%. The historical average is 1.5%.
Based on historical data, The Goodyear Tire & Rubber Company is trading at a P/E of -0.9x. Compare with industry peers and growth rates for a complete picture.
The Goodyear Tire & Rubber Company has 18.4% gross margin and 3.6% operating margin.
The Goodyear Tire & Rubber Company's Debt/EBITDA ratio is 4.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Persistent negative net margins
Metrics are mathematically derived from official filings.
Margin Squeeze Persists
Gross margin fell to 16.0% in 2026Q2 from 20.6% in 2024Q2, as reported in financial statements, indicating persistent input cost pressure and pricing challenges.
The 460 basis point decline in gross margin over eight quarters suggests Goodyear has been unable to fully pass through raw material inflation, likely due to competitive pressures and a weaker mix. Operating margin turned negative in 2026Q2 at -1.2%, reflecting under-absorbed fixed costs as volumes decline. The negative net margin of -4.8% in 2026Q2, though improved from the -47.3% in 2025Q3 (which included impairments), still indicates that the company is not covering all costs, including interest and restructuring charges.
Returns Decay Amid Restructuring
ROIC has hovered near zero, with 2026Q2 at -0.4%, while ROE swung to -6.6%, as per quarterly data, indicating that capital employed is not generating adequate returns.
Over the past ten quarters, ROIC has rarely exceeded 2%, and the recent negative reading suggests that the company's invested capital base is not producing sufficient operating profits. The sharp decline in ROE to -6.6% in 2026Q2, following a -51.8% plunge in 2025Q3 due to impairments, highlights the erosion of shareholder equity. The persistent low returns indicate that the company is not compounding value, and the transformation plan's success is critical to reversing this trend.
Working Capital Drag Intensifies
Cash conversion cycle lengthened to 59 days in 2026Q2 from 45 days in 2024Q1, as per reported figures, driven by rising DIO and stable DSO, indicating inventory buildup.
Inventory days increased from 86 in 2024Q4 to 99 in 2026Q2, while DPO remained relatively stable around 97-108 days, suggesting that Goodyear is holding more inventory relative to sales, possibly due to demand softness. The extended CCC ties up cash and increases financing needs, which is problematic given the company's high leverage. Asset turnover has also declined from 0.23 to 0.21 over the period, indicating that the asset base is generating less revenue per dollar, a sign of operational inefficiency.
Leverage Strains as Equity Erodes
Debt-to-equity surged to 2.62 in 2026Q2 from 1.94 in 2024Q1, as per balance sheet data, while interest coverage turned negative at -0.44, indicating heightened financial risk.
The rise in D/E is driven by both a stable debt level near $7.9 billion and a shrinking equity base, which fell from $4.6 billion to $2.8 billion over the period. Negative interest coverage in 2026Q2 and 2026Q1 suggests that operating income is insufficient to cover interest expenses, raising concerns about debt service capability. The company's high leverage and negative coverage ratios may indicate covenant stress or refinancing challenges, especially if earnings do not recover.
Thin Liquidity Buffer
Current ratio improved slightly to 1.09 in 2026Q2, but quick ratio remains low at 0.55, as per quarterly data, indicating reliance on inventory to meet short-term obligations.
The quick ratio of 0.55 suggests that Goodyear would struggle to cover current liabilities without selling inventory, which may be difficult in a downturn. Cash and equivalents stood at $861 million, providing a modest cushion, but the negative free cash flow in most quarters indicates that the company is not generating sufficient cash to build liquidity. The thin liquidity position, combined with high leverage, makes the company vulnerable to further operational shocks.
EV/EBITDA Misleads on Leverage
EV/EBITDA of 4.84 appears low, but this metric obscures the company's high debt load and negative net income, as per reported figures, suggesting the multiple is not comparable to profitable peers.
The low EV/EBITDA multiple may tempt investors to view Goodyear as undervalued, but it fails to capture the significant debt burden and the fact that EBITDA is depressed due to restructuring charges. A more appropriate metric would be EV/EBIT or EV/EBITDA adjusted for non-recurring items, which would provide a clearer picture of operating profitability. Additionally, the negative net margin and interest coverage indicate that the company's capital structure is not sustainable, making the EV/EBITDA multiple less meaningful without considering the balance sheet risk.