Cooper Tire & Rubber Co. Earnings: This Data Wows Investors

Cooper Tire & Rubber Co. (NYSE:CTB) reported net income above Wall Street’s expectations for the third quarter. Cooper Tire & Rubber produces and markets passenger, light truck, medium truck, motorsport, and motorcycle tires that are sold nationally and internationally in the replacement tire market.

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Cooper Tire & Rubber Co. Earnings Cheat Sheet

Results: Net income for Cooper Tire & Rubber Co. rose to $74.1 million ($1.17 per share) vs. $17.3 million (27 cents per share) in the same quarter a year earlier. This is a more than fourfold rise from the year-earlier quarter.

Revenue: Rose 4.5% to $1.1 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Cooper Tire & Rubber Co. beat the mean analyst estimate of 87 cents per share. It beat the average revenue estimate of $999 million.

Quoting Management: “Our third quarter financial results include several record performances for Cooper Tire,” said Chief Executive Officer Roy Armes. “Total global volume grew by 5%. Once again, our U.S. volumes grew while the overall industry declined. We believe our ability to outpace the industry is attributable to strong execution of our strategic plan, especially our focus on new product introductions that are positioning Cooper as the consumer choice for performance and value. In addition, our initiatives to improve efficiency helped lower costs, and we benefitted along with the industry from lower raw material costs. We are pleased with our teams and their ability to drive results around the world, which should continue to deliver value to our shareholders.”

Key Stats:

The company has now seen its net income increase for three consecutive quarters. In the second quarter, net income rose more than fourfold and in the first quarter, the figure rose 37.6%.

The company has now topped analyst estimates for the last four quarters. It beat the mark by 32 cents in the second quarter, by 2 cents in the first quarter, and by 12 cents in the fourth quarter of the last fiscal year.

Looking Forward: Over the past ninety days, the average estimate for the fourth quarter has fallen from 59 cents per share to 57 cents, indicating that analysts are growing pessisimistic about the company’s performance next quarter. The average estimate for the fiscal year is $2.56 per share, a rise from $2.25 ninety days ago.

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(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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