Research Analysts Issue Forecasts for MGA FY2026 Earnings

Key Points

• Scotiabank raised its FY2026 EPS forecast for Magna to $7.03 from $7.00 and projects $7.60 for FY2027; it maintains a Sector Outperform rating and a $78 price target.
• Analyst sentiment is broadly cautious: Magna has an average Hold rating and a consensus price target of $68.73, with 12 analysts rating it Hold.
• Magna beat quarterly EPS estimates with $1.83 versus $1.58, but revenue of $9.86 billion fell short of forecasts and declined 3.9% year over year. The company also declared a $0.495 quarterly dividend, equivalent to a 3.0% yield.

Magna International Inc. (NYSE:MGA - Free Report) TSE: MG - Stock analysts at Scotiabank boosted their FY2026 earnings estimates for Magna International in a research note issued to investors on Monday, November 2nd. Scotiabank analyst J. Goldman now expects that the company will earn $7.03 per share for the year, up from their prior estimate of $7.00. Scotiabank currently has a "Sector Outperform" rating and a $78.00 target price on the stock. The consensus estimate for Magna International's current full-year earnings is $7.07 per share. Scotiabank also issued estimates for Magna International's FY2027 earnings at $7.60 EPS.

A number of other research analysts have also commented on the stock. Barclays boosted their price target on shares of Magna International from $68.00 to $70.00 and gave the company an "equal weight" rating in a research report on Friday, October 9th. Wells Fargo & Company lifted their price objective on Magna International from $62.00 to $67.00 and gave the company an "equal weight" rating in a research note on Monday, August 3rd. JPMorgan Chase & Co. cut Magna International from an "overweight" rating to a "neutral" rating and reduced their target price for the stock from $77.00 to $72.00 in a research report on Tuesday, September 15th. BMO Capital Markets lowered Magna International from an "outperform" rating to a "market perform" rating and decreased their target price for the stock from $76.00 to $70.00 in a research note on Friday, September 18th. Finally, Royal Bank Of Canada decreased their target price on Magna International from $68.00 to $66.00 and set a "sector perform" rating on the stock in a research note on Monday. One research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, twelve have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company has an average rating of "Hold" and an average price target of $68.73.

Magna International Stock Performance

NYSE MGA opened at $65.65 on Thursday. Magna International has a 1 year low of $45.33 and a 1 year high of $73.22. The company has a debt-to-equity ratio of 0.33, a current ratio of 1.14 and a quick ratio of 0.88. The stock has a market capitalization of $17.04 billion, a PE ratio of 21.04, a P/E/G ratio of 0.67 and a beta of 1.46. The company's 50 day simple moving average is $64.78 and its two-hundred day simple moving average is $62.78.

Magna International (NYSE:MGA - Get Free Report) TSE: MG last issued its quarterly earnings data on Friday, October 30th. The company reported $1.83 EPS for the quarter, beating the consensus estimate of $1.58 by $0.25. The company had revenue of $9.86 billion during the quarter, compared to analysts' expectations of $10.01 billion. Magna International had a net margin of 1.99% and a return on equity of 16.26%. Magna International's revenue for the quarter was down 3.9% on a year-over-year basis. During the same quarter in the previous year, the company earned $1.33 earnings per share.

Magna International Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, November 27th. Investors of record on Friday, November 13th will be given a $0.4950 dividend. The ex-dividend date is Friday, November 13th. This represents a $1.98 annualized dividend and a yield of 3.0%. Magna International's payout ratio is 63.46%.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Bank of New York Mellon Corp purchased a new position in shares of Magna International during the second quarter worth approximately $28,495,000. ARGA Investment Management LP lifted its holdings in shares of Magna International by 11.0% in the 3rd quarter. ARGA Investment Management LP now owns 4,030,060 shares of the company's stock worth $256,706,000 after acquiring an additional 397,793 shares during the last quarter. TD Waterhouse Canada Inc. boosted its stake in shares of Magna International by 10.7% in the 2nd quarter. TD Waterhouse Canada Inc. now owns 2,130,562 shares of the company's stock valued at $134,577,000 after purchasing an additional 206,433 shares in the last quarter. QV Investors Inc. boosted its stake in shares of Magna International by 33.3% in the 3rd quarter. QV Investors Inc. now owns 739,472 shares of the company's stock valued at $47,220,000 after purchasing an additional 184,631 shares in the last quarter. Finally, Public Employees Retirement System of Ohio bought a new position in shares of Magna International during the 2nd quarter valued at $9,160,000. Institutional investors own 67.49% of the company's stock.

About Magna International

Magna International Inc is a global automotive supplier headquartered in Aurora, Ontario, Canada. The company designs, engineers and manufactures components and systems for automakers, serving vehicle manufacturers across North America, Europe and Asia.

Its products and services span several automotive categories, including body and chassis structures, exterior systems, powertrain and driveline components, seating, vehicle electronics, lighting, mirrors, and advanced driver assistance technologies.

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