NEW YORK (TheStreet) -- Goodyear Tire & Rubber Co.  (GT - Get Report) stock was upgraded to "overweight" from "sector weight" at KeyBanc Capital Markets on Thursday. The firm set a price target of $39 on the stock. 

The Akron-based tire manufacturer faces favorable industry conditions, KeyBanc said. 

The firm projects consumer tire capacity will rise by a 3% compound annual growth rate until 2020.  

"We expect industry supply/demand balance to remain favorable, supported by a positive volume outlook," the firm said. "We are encouraged as our channel work indicates positive U.S. sell-out trends near term, with macro factors supporting a favorable medium-term outlook."

KeyBanc also upgraded tire manufacturer Cooper Tire & Rubber Co. (CTB). 

Goodyear stock closed down 0.10% to $31.22 on Wednesday.

Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

TheStreet Ratings rates this stock as a "buy" with a ratings score of B. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. Among the primary strengths of the company is its solid stock price performance. We feel its strengths outweigh the fact that the company has had sub par growth in net income.

You can view the full analysis from the report here: GT