NEW YORK (TheStreet) -- Shares of Cooper Tire & Rubber (CTB - Get Report) were spiking 6.89% to $36.67 on heavy trading volume late Monday afternoon after the company reported better-than-anticipated earnings for the 2016 third quarter.
Before the market open, the Findlay, OH-based tire maker reported adjusted earnings of $1.04 per diluted share, topping analysts' estimates of $1.01 per share.
Revenue fell 4% to $750.9 million year-over-year and was below analysts' estimates of $790.9 million.
Additionally, Cooper said its planned acquisition of a majority interest in GRT, a joint venture in China to produce truck, bus and radial (TBR) tires for global markets, is on track.
The company expects the transaction to close in the fourth quarter pending certain permits and approvals by the Chinese government.
"Looking ahead, we expect that the benefit of lower raw material costs will moderate, and global markets will continue to be very competitive," CEO Brad Hughes said in a statement.
More than 1.01 million of the company's shares changed hands so far today vs. its average 30-day volume of 596,685 shares.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on the stock.
The company's strengths can be seen in multiple areas, such as its growth in earnings per share, increase in net income, largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and good cash flow from operations.
The team believes its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
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.
You can view the full analysis from the report here: CTB