Goodyear shares fall below $10 despite highest operating margin in 7 years amid cost pressures and restructuring.

Goodyear Tire & Rubber's stock has dropped nearly 48% over the past year, trading under $10 despite achieving its highest segment operating margin in over seven years at 8.5%. The company is benefiting from its Goodyear Forward transformation plan, which has delivered $1.5 billion in cost savings and reduced debt through asset sales. However, challenges remain with a 23.2% drop in Americas tire volumes and rising raw material costs due to geopolitical tensions, prompting further restructuring including potential plant closures. Investors should weigh the margin improvements against ongoing demand weakness and input cost volatility before considering Goodyear as a contrarian investment.