Cooper Tire Increases After Profit Exceeds Estimates
Cooper Tire & Rubber Co. (CTB) climbed the most in eight months after reporting record third-quarter profit that exceeded analysts’ estimates.
The shares gained 13 percent to $22.85 at the close in New York for the biggest daily increase since Feb. 27. The Findlay, Ohio-based company’s stock has risen 63 percent this year.
The second-largest U.S. tiremaker today posted a fourfold jump in quarterly net income to $74.1 million, or $1.17 a share, from $17.3 million, or 27 cents, a year earlier. The average of six estimates compiled by Bloomberg was for per-share profit of 83 cents.
Cooper said its third-quarter results benefited as tire sales rose and its raw-material costs fell 13 percent from the previous three months.
Goodyear Tire & Rubber Co. (GT), the largest U.S. tiremaker, on Oct. 26 reported adjusted third-quarter profit that fell short of analysts’ estimates, sending its shares down as much as 11 percent.
To contact the reporter on this story: Bill Koenig in Southfield, Michigan, at firstname.lastname@example.org
To contact the editor responsible for this story: Jamie Butters at email@example.com