Magna International (NYSE:MGA) Trading Down 6.9% – Should You Sell?

Shares of Magna International Inc. (NYSE:MGA) (TSE:MG) were down 6.9% during mid-day trading on Monday . The company traded as low as $68.51 and last traded at $68.0390. Approximately 873,672 shares were traded during mid-day trading, a decline of 45% from the average session volume of 1,590,020 shares. The stock had previously closed at $73.05.

Analysts Set New Price Targets

Several research analysts have recently issued reports on the company. UBS Group raised their price objective on Magna International from $62.00 to $64.00 and gave the stock a “neutral” rating in a research note on Thursday, July 9th. Wells Fargo & Company upped their target price on Magna International from $62.00 to $67.00 and gave the company an “equal weight” rating in a research report on Monday, August 3rd. Canadian Imperial Bank of Commerce cut their price target on shares of Magna International to $74.00 in a report on Monday, May 4th. Zacks Research lowered shares of Magna International from a “strong-buy” rating to a “hold” rating in a research report on Friday, May 1st. Finally, Royal Bank Of Canada lifted their price objective on shares of Magna International from $66.00 to $69.00 and gave the company a “sector perform” rating in a research note on Monday, August 3rd. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $68.20.

Magna International Trading Down 2.6%

The company has a current ratio of 1.22, a quick ratio of 0.88 and a debt-to-equity ratio of 0.38. The firm has a market cap of $17.66 billion, a price-to-earnings ratio of 23.93, a PEG ratio of 0.73 and a beta of 1.44. The company has a fifty day moving average price of $67.09 and a 200-day moving average price of $62.99.

Magna International (NYSE:MGA) (TSE:MG) last posted its earnings results on Friday, July 31st. The company reported $1.86 EPS for the quarter, topping the consensus estimate of $1.53 by $0.33. Magna International had a return on equity of 15.04% and a net margin of 1.80%.The firm had revenue of $10.84 billion for the quarter, compared to analyst estimates of $10.63 billion. During the same period last year, the company earned $1.44 earnings per share. Magna International’s revenue for the quarter was up 3.3% compared to the same quarter last year. Magna International has set its FY 2026 guidance at 6.700-7.300 EPS. As a group, research analysts expect that Magna International Inc. will post 7.07 EPS for the current year.

Magna International Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be issued a dividend of $0.495 per share. The ex-dividend date of this dividend is Friday, August 14th. This represents a $1.98 dividend on an annualized basis and a yield of 3.0%. Magna International’s dividend payout ratio is 71.74%.

Institutional Trading of Magna International

Several institutional investors have recently bought and sold shares of the business. EverSource Wealth Advisors LLC raised its holdings in shares of Magna International by 35.7% during the fourth quarter. EverSource Wealth Advisors LLC now owns 779 shares of the company’s stock valued at $42,000 after acquiring an additional 205 shares during the last quarter. Oslo Pensjonsforsikring AS purchased a new position in Magna International in the 1st quarter valued at $45,000. IFC & Insurance Marketing Inc. purchased a new position in Magna International in the 4th quarter valued at $49,000. Atlas Capital Advisors Inc. acquired a new stake in Magna International during the 4th quarter worth $67,000. Finally, Danske Bank A S purchased a new stake in shares of Magna International during the third quarter worth $112,000. 67.49% of the stock is owned by institutional investors and hedge funds.

Magna International Company Profile

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.