Magna International Inc. (NYSE:MGA) Announces $0.50 Quarterly Dividend

Key Points

• Dividend declared: Magna announced a quarterly dividend of $0.495 per share (annualized $1.98) payable May 29 to shareholders of record May 15, implying a ~3.3% yield.
• Strong quarter and guidance: Magna reported EPS of $1.38 (vs. $1.01 expected) with revenue up 3.1% year-over-year and set FY2026 EPS guidance of $6.25–$7.25 (analysts expect $6.81); the dividend is covered with a ~34.4% payout ratio.
• Stock reaction: Shares fell about 4.4% to $60.84 on higher-than-normal volume; the company has a market cap of ~$16.7B and a trailing P/E of ~20.6.

Magna International Inc. (NYSE:MGA - Get Free Report) TSE: MG declared a quarterly dividend on Friday, May 1st. Shareholders of record on Friday, May 15th will be given a dividend of 0.495 per share on Friday, May 29th. This represents a c) annualized dividend and a yield of 3.3%. The ex-dividend date is Friday, May 15th.

Magna International has decreased its dividend payment by an average of 0.1%per year over the last three years and has raised its dividend every year for the last 6 years. Magna International has a payout ratio of 34.4% meaning its dividend is sufficiently covered by earnings. Equities research analysts expect Magna International to earn $7.96 per share next year, which means the company should continue to be able to cover its $1.98 annual dividend with an expected future payout ratio of 24.9%.

Magna International Trading Down 4.4%

MGA traded down $2.83 during trading on Friday, hitting $60.84. 4,090,099 shares of the stock were exchanged, compared to its average volume of 1,922,801. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.87 and a current ratio of 1.25. The firm has a 50 day simple moving average of $58.59 and a 200 day simple moving average of $54.25. The firm has a market cap of $16.69 billion, a price-to-earnings ratio of 20.62 and a beta of 1.44. Magna International has a 1 year low of $32.54 and a 1 year high of $69.94.

Magna International (NYSE:MGA - Get Free Report) TSE: MG last posted its quarterly earnings results on Friday, May 1st. The company reported $1.38 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.01 by $0.37. Magna International had a return on equity of 12.73% and a net margin of 1.99%.The firm's quarterly revenue was up 3.1% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.78 EPS. Magna International has set its FY 2026 guidance at 6.250-7.250 EPS. As a group, equities analysts expect that Magna International will post 6.81 EPS for the current year.

About Magna International

Magna International Inc is a leading global automotive supplier specializing in the design, engineering, and manufacturing of vehicle systems, assemblies, modules, and components. Headquartered in Aurora, Ontario, the company partners with major original equipment manufacturers (OEMs) to develop technologies and solutions that enhance vehicle performance, safety, comfort, and fuel efficiency. Magna's broad portfolio encompasses body exteriors and structures, powertrain systems, seating and interiors, roof systems, mirror systems, and advanced driver assistance systems (ADAS).

The company operates more than 350 manufacturing and assembly facilities and over 100 innovation centers across 27 countries, serving customers in North America, Europe, Asia, South America, and Africa.

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