Goodyear shares climb 9% as the rest of the market spins out

As the rest of the market deals with Thursday’s sell-off by playing “Everybody Hurts” on the car stereo at max volume, Goodyear investors are doing donuts.

Shares of the tire maker rolled up 9% Thursday. What investors are probably liking: Goodyear isn’t touched by President Trump’s auto tariffs (at least not until next month’s levies on car parts). And some of its competitors likely are.

Goodyear, which was upgraded to “buy” from “hold” by Deutsche Bank on Monday, was joined by other auto parts companies in the green. AutoZone shares climbed more than 2% midday, roughly the same boost seen by O’Reilly.

While Wall Street seems to like the short-term benefit of these companies dodging significant tariffs until Trump’s auto parts tariffs begin May 3, there’s also likely some optimism around the anticipated hike in new vehicle prices.

With levies expected to add up to 11% to US car prices on average according to JPMorgan analysis, it would logically follow that consumers will want to stretch the lifespan of their current car, and that will require replacement parts and repairs.