Magna International (MGA) Competitors

Magna International (NYSE:MGA) and Gentex (NASDAQ:GNTX) are both auto/tires/trucks companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, earnings, media sentiment, institutional ownership, analyst recommendations, profitability, dividends and risk.

Is MGA or GNTX more profitable?

Gentex has a net margin of 17.01% compared to Magna International's net margin of 2.73%. Gentex's return on equity of 16.11% beat Magna International's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Magna International	2.73%	11.96%	4.56%
Gentex	17.01%	16.11%	14.28%

Do institutionals and insiders hold more shares of MGA or GNTX?

67.5% of Magna International shares are held by institutional investors. Comparatively, 86.8% of Gentex shares are held by institutional investors. 0.5% of Magna International shares are held by insiders. Comparatively, 0.5% of Gentex shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Is MGA or GNTX a better dividend stock?

Magna International pays an annual dividend of $1.94 per share and has a dividend yield of 4.6%. Gentex pays an annual dividend of $0.48 per share and has a dividend yield of 2.1%. Magna International pays out 48.5% of its earnings in the form of a dividend. Gentex pays out 28.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Magna International has raised its dividend for 6 consecutive years. Magna International is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has more risk and volatility, MGA or GNTX?

Magna International has a beta of 1.5, indicating that its share price is 50% more volatile than the S&P 500. Comparatively, Gentex has a beta of 0.81, indicating that its share price is 19% less volatile than the S&P 500.

Do analysts prefer MGA or GNTX?

Magna International presently has a consensus target price of $42.14, indicating a potential upside of 0.29%. Gentex has a consensus target price of $28.28, indicating a potential upside of 24.79%. Given Gentex's stronger consensus rating and higher possible upside, analysts clearly believe Gentex is more favorable than Magna International.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magna International	1 Sell rating(s)	12 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.13
Gentex	0 Sell rating(s)	7 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.22

Which has stronger valuation and earnings, MGA or GNTX?

Magna International has higher revenue and earnings than Gentex. Magna International is trading at a lower price-to-earnings ratio than Gentex, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Magna International	$42.84B	0.28	$1.01B	$4.00	10.51
Gentex	$2.31B	2.20	$404.49M	$1.71	13.25

Does the media prefer MGA or GNTX?

In the previous week, Gentex had 7 more articles in the media than Magna International. MarketBeat recorded 16 mentions for Gentex and 9 mentions for Magna International. Gentex's average media sentiment score of 1.45 beat Magna International's score of 0.91 indicating that Gentex is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Magna International	3 Very Positive mention(s)	1 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Gentex	12 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

Gentex beats Magna International on 11 of the 19 factors compared between the two stocks.