NYSE:CTB

Stock Analysis Report

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Market Cap

US$3.0b

Last Updated

2021/06/07 22:12 UTC

Data Sources

Company Financials +

Executive Summary

Cooper Tire & Rubber Company, together with its subsidiaries, designs, manufactures, markets, and sells replacement tires in North America, Latin America, Europe, and Asia. More Details


Snowflake Analysis

Flawless balance sheet with proven track record.


Similar Companies

Share Price & News

How has Cooper Tire & Rubber's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CTB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 2% a week.

Volatility Over Time: CTB's weekly volatility (2%) has been stable over the past year.


Market Performance


7 Day Return

1.3%

CTB

-2.0%

US Auto Components

0.5%

US Market


1 Year Return

109.8%

CTB

79.0%

US Auto Components

42.6%

US Market

Return vs Industry: CTB exceeded the US Auto Components industry which returned 70.4% over the past year.

Return vs Market: CTB exceeded the US Market which returned 36.7% over the past year.


Shareholder returns

CTBIndustryMarket
7 Day1.3%-2.0%0.5%
30 Day1.7%1.3%1.9%
90 Day5.1%-1.0%7.9%
1 Year111.7%109.8%80.1%79.0%44.9%42.6%
3 Year133.0%124.1%25.3%17.1%64.4%54.1%
5 Year109.8%96.9%102.8%74.8%128.3%102.7%

Long-Term Price Volatility Vs. Market

How volatile is Cooper Tire & Rubber's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Cooper Tire & Rubber undervalued compared to its fair value and its price relative to the market?

17.17x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CTB ($60.17) is trading above our estimate of fair value ($49.66)

Significantly Below Fair Value: CTB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: CTB is good value based on its PE Ratio (17.2x) compared to the US Auto Components industry average (32.9x).

PE vs Market: CTB is good value based on its PE Ratio (17.2x) compared to the US market (19.9x).


Price to Earnings Growth Ratio

PEG Ratio: CTB is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: CTB is good value based on its PB Ratio (2.2x) compared to the US Auto Components industry average (2.6x).


Future Growth

How is Cooper Tire & Rubber forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

13.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CTB's forecast earnings growth (13.9% per year) is above the savings rate (2%).

Earnings vs Market: CTB's earnings (13.9% per year) are forecast to grow slower than the US market (15.2% per year).

High Growth Earnings: CTB's earnings are forecast to grow, but not significantly.

Revenue vs Market: CTB's revenue (6.8% per year) is forecast to grow slower than the US market (9.1% per year).

High Growth Revenue: CTB's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if CTB's Return on Equity is forecast to be high in 3 years time


Past Performance

How has Cooper Tire & Rubber performed over the past 5 years?

-21.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CTB has high quality earnings.

Growing Profit Margin: CTB's current net profit margins (6.7%) are higher than last year (2.9%).


Past Earnings Growth Analysis

Earnings Trend: CTB's earnings have declined by 21.1% per year over the past 5 years.

Accelerating Growth: CTB's earnings growth over the past year (126.7%) exceeds its 5-year average (-21.1% per year).

Earnings vs Industry: CTB earnings growth over the past year (126.7%) exceeded the Auto Components industry 39.8%.


Return on Equity

High ROE: CTB's Return on Equity (12.5%) is considered low.


Financial Health

How is Cooper Tire & Rubber's financial position?


Financial Position Analysis

Short Term Liabilities: CTB's short term assets ($1.5B) exceed its short term liabilities ($616.9M).

Long Term Liabilities: CTB's short term assets ($1.5B) exceed its long term liabilities ($917.4M).


Debt to Equity History and Analysis

Debt Level: CTB's debt to equity ratio (23.3%) is considered satisfactory.

Reducing Debt: CTB's debt to equity ratio has reduced from 28.8% to 23.3% over the past 5 years.

Debt Coverage: CTB's debt is well covered by operating cash flow (160.6%).

Interest Coverage: CTB's interest payments on its debt are well covered by EBIT (12.2x coverage).


Balance Sheet


Dividend

What is Cooper Tire & Rubber current dividend yield, its reliability and sustainability?

0.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CTB's dividend (0.7%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.27%).

High Dividend: CTB's dividend (0.7%) is low compared to the top 25% of dividend payers in the US market (3.38%).


Stability and Growth of Payments

Stable Dividend: CTB is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: CTB's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (12%), CTB's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

Brad Hughes (58 yo)

4.75yrs

Tenure

US$6,302,247

Compensation

Mr. Bradley E. Hughes, also known as Brad, has been the Chief Executive Officer and President of Cooper Tire & Rubber Co. since September 1, 2016. Mr. Hughes served as the Chief Operating Officer and Senio...


CEO Compensation Analysis

Compensation vs Market: Brad's total compensation ($USD6.30M) is about average for companies of similar size in the US market ($USD5.19M).

Compensation vs Earnings: Brad's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CTB's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: CTB's board of directors are considered experienced (3.6 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cooper Tire & Rubber Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cooper Tire & Rubber Company
  • Ticker: CTB
  • Exchange: NYSE
  • Founded: 1914
  • Industry: Tires and Rubber
  • Sector: Automobiles
  • Market Cap: US$3.040b
  • Shares outstanding: 50.52m
  • Website: https://www.coopertire.com

Number of Employees


Location

  • Cooper Tire & Rubber Company
  • 701 Lima Avenue
  • Findlay
  • Ohio
  • 45840
  • United States

Listings


Biography

Cooper Tire & Rubber Company, together with its subsidiaries, designs, manufactures, markets, and sells replacement tires in North America, Latin America, Europe, and Asia. The company operates through Ame...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/07 22:12
End of Day Share Price2021/06/04 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.