Could this appointment trigger changes in the company's cost structure or operational efficiency in the EMEA market?

Fundamental view

Jan‑Piet van Kesteren’s appointment signals Goodyear’s intent to tighten its EMEA commercial engine. Van Kesteren brings a track record of consolidating sales networks and driving margin‑improving initiatives in the consumer‑tire segment. In the next 12‑18 months we can expect a re‑engineering of the cost structure—primarily through:

• Optimised channel mix – shifting higher‑margin direct‑to‑retail and e‑commerce sales away from cost‑intensive third‑party distributors.
  
• Supply‑chain rationalisation – leveraging his experience in regional procurement to negotiate better raw‑material contracts and to align production capacity with demand forecasts, especially in the EU‑Russia‑Turkey corridors.
  
• Performance‑based incentives – tighter sales‑compensation tied to volume‑margin targets, which should curb excess inventory and improve working‑capital turnover.

These moves are likely to lift operating‑margin (EBITDA) on the EMEA segment, a region that already accounts for ~30 % of Goody‑tire’s revenue. The market will price in a modest upside to gross margins (≈ 30‑40 bps) and a modest reduction in SG&A expense growth (≈ 5‑10 % YoY) as the new structure takes hold.

Technical & trading implications

The stock has been in a broad‑based uptrend since the start of 2025, holding above its 200‑day moving average (~ $22.80) with the 20‑day EMA at $23.45. Volume‑weighted RSI is hovering around 55, indicating room for further upside without immediate overbought pressure. The appointment adds a positive catalyst that could trigger a short‑term rally, especially if the first‑quarter earnings (Q3 2025) show early signs of margin improvement.

Actionable insight

If you are bullish on Goodyear, consider a *buy‑on‑dip** around $23.30–$23.50 with a stop just below the 200‑day MA ($22.75). Target the next resistance at $24.80 (the prior high in July 2025) and the $25.50 breakout level if the margin narrative gains traction.*

Conversely, a short‑term *sell‑stop** could be placed at $22.80 if the market digests the appointment as a “cost‑of‑restructuring” expense rather than efficiency gain.*

Overall, the leadership change is more likely to enhance operational efficiency and modestly improve cost structure in EMEA, providing a bullish backdrop for Goodyear’s stock in the near term.