Shares of Goodyear Tire & Rubber Co. (GT - Get Report) fell 9% to close at $18.69 in trading on Friday after the Akron, Ohio-based company reported fourth-quarter results below analysts' expectations.
Goodyear reported earnings of 51 cents a share, a wide miss from the 60 cents per share that analysts polled by FactSet were looking for. Revenue for the period also fell 5% to $3.88 billion, also missing Wall Street's $3.94 billion forecast.
"While many of the macro challenges we faced in 2018 have extended into 2019, we continue to build on what we accomplished last year and remain focused on delivering a higher level of earnings over the longer term," CEO Richard Kramer said.
But so far, 2019 has been anything but a good year for Goodyear. The company suffered its worst single day decline since 2011 on Jan. 15, when GT fell 13% after it lowered its full-year net operating income expectations. Goodyear said at the time that the operating-earnings environment in China and India continued to drop, leading to the reduced outlook.
Additionally, the company said declines in the European winter-tire market and supply constraints on volume for U.S. high-value-added consumer and commercial truck tires also weighed on the quarter. As a result of such factors, Goodyear said at the time that it expected operating income to come in slightly below previous guidance of about $1.3 billion. GT also said it expected net income to be negatively impacted by fourth-quarter weakness, although the company didn't provide details.
Bruce Kamich, technical analyst with our premium site Real Money, said Goodyear's charts don't show much reason to expect any bounce from here. "GT has been unable to make a turn from its downtrend," he wrote in a research note Friday. "Stay defensive and watch out for lower lows in the weeks and months ahead."
(This article has been updated.)