Stocks Raising Investors Eye Brows: The Goodyear Tire & Rubber (NASDAQ:GT), VeriFone Systems (NYSE:PAY)

The Goodyear Tire & Rubber Company (NASDAQ:GT) persists its position slightly strong in context of buying side, while shares price fell -0.53% during latest trading session. The Goodyear Tire & Rubber Company’s Eagle-360 concept tire has been named one of Time magazine’s “Best Inventions of the Year 2016.”

“By steadily reducing the driver interaction and intervention in self-driving vehicles, tires will play an even more important role as the primary link to the road,” said Goodyear’s Chief Technical Officer Joe Zekoski. “Goodyear’s concept tires play a dual role in that future both as creative platforms to push the boundaries of conventional thinking and testbeds for next-generation technologies.”

Analysts Practices; to watch unbiased undervalue securities, there is need to see following technical rations. GT holds price to earnings ratio of 24.74 that presents much better indication for a stock’s value than the market price alone. Based on historic views, the average P/E ratio in market fluctuates between 15 to 25, but alone low P/E ratio does not necessarily mean that a company is undervalue. With reference to all theories, earning yield also gives right direction to lure investment, as GT has 1.33% dividend yield.

Narrow down focus to other ratios, the co has current ratio of 1.40 that indicates if GT lies in 1.3% to 3% then it is acceptable for both active and passive investors, but sometimes its varies industry to industry. Generally, it indicates good short-term financial strength. Street is more conscious on this after SunEdison, Inc. case. To make strengthen these views, the active industry firm has Quick Ratio of 0.80, which indicates firm has sufficient short-term assets to cover its immediate liabilities. In addition, the firm has debt to equity ratio of 1.35, sometimes its remain same with long term debt to equity ratio.

Following previous ticker characteristics, VeriFone Systems, Inc. (NYSE:PAY) also run on active notice, stock price build up 1.89% after traded at $16.70 in most recent trading session.

PAY has price to earnings ratio of 58.80 and the price to current year EPS stands at 299.70%. Whereas the traders who further want to see about this, may be interested to see Price to next year’s EPS that would be -2.60%. Moving toward ratio analysis, it has current ratio of 1.40 and quick ratio was calculated as 1.10. The debt to equity ratio appeared as 1.17 for seeing its liquidity position.

Taking notice on volatility measures, price volatility of stock was 4.72% for a week and 3.25% for a month. The price volatility’s Average True Range for 14 days was 0.57. On these bases, analysts would recommend this stock as an “Active Revolving Stocks.” The firm attains analyst recommendation of 2.40 out of 1-5 scale with week’s performance of -2.62%. PAY’s institutional ownership was registered as 96.60%, while insider ownership was 0.40%.

 

About Richard Avery

He is a capital projects manager and process design engineer at a large-cap company. He has renowned MBA degree. Before joining SWR, he was a freelance writer for renounce tech websites. He is currently studying for CFP exam. Interests: Tech stocks, Economic Markets, Blue-chips.

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