Automotive stocks drop since recall announcement
Automotive stock prices have not fared well since May 22, when Ford Motor Co. announced it was recalling some 13 million Firestone Wilderness AT tires as a precautionary safety measure. The company didn't say the tires were unsafe, but said its data indicated they had a greater propensity for tread separations than did Goodyear Wranglers.
In nearly a month since then, tire stock prices -- and Ford's -- have dropped. Ford's stock was selling at $25.98 on May 22; it has dropped 3.7% since then. Bridgestone Corp. has dropped 1% over the same time span, from $10.33 to $10.22 as of June 18.
Other stocks have fared as follows: Goodyear Tire & Rubber Co. down 6.6%, Groupe Michelin down 5.3%, Continental AG down 3.2% and Pirelli SpA down 6.3%.