10 Best Plastics and Rubber Stocks to Buy According to Analysts

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1. The Goodyear Tire & Rubber Company (NASDAQ:GT)

Upside Potential as of January 13: 50.79%

Under the Goodyear trademark, The Goodyear Tire & Rubber Company (NASDAQ:GT) produces and markets a range of rubber tires. The company’s tires are utilized on automobiles, trucks, buses, airplanes, motorbikes, mining, farms, and industrial equipment. The company’s regional tire businesses are represented by three operating segments: Asia Pacific, Europe, the Middle East, and Africa (EMEA), and the Americas.

In Q3 2024, The Goodyear Tire & Rubber Company (NASDAQ:GT) generated $347 million in segment operating income (SOI) with a 7.2% SOI margin, representing four consecutive quarters of margin growth under the Goodyear Forward Plan. The company increased its savings forecast for 2024 to $450 million, with run-rate benefits of $1.5 billion anticipated by 2025.

The Goodyear Tire & Rubber Company (NASDAQ:GT) recorded its best retail performance in the United States in 15 years, due to a rising last-mile fleet customer base and a compelling value proposition. Its collaboration with Ferrari also highlights its high-end, tech-driven approach.

Sumitomo purchases the Dunlop brand rights in strategic areas from the company for $526 million. The deal is in line with The Goodyear Tire & Rubber Company’s (NASDAQ:GT) debt reduction and portfolio optimization plan.

Ken Griffin’s Citadel Investment Group was the largest stakeholder in the company among the funds in Insider Monkey’s database. It owns 2.19 million shares worth $19.36 million as of Q3.

Overall, The Goodyear Tire & Rubber Company (NASDAQ:GT) ranks first on our list of the 10 Best Plastics and Rubber Stocks to Buy According to Analysts. While we acknowledge the potential for GT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than GT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. 10 Best Plastics and Rubber Stocks to Buy According to Analysts is originally published on Insider Monkey. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

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