Magna International (NYSE:MGA) Updates FY 2026 Earnings Guidance

Magna International (NYSE:MGA) (TSE:MG) updated its FY 2026 earnings guidance on Friday morning. The company provided earnings per share guidance of 6.700-7.300 for the period, compared to the consensus EPS estimate of 6.820. The company issued revenue guidance of $41.3 billion-$42.5 billion, compared to the consensus revenue estimate of $42.4 billion.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on MGA shares. Citigroup lifted their target price on Magna International from $58.00 to $75.00 and gave the company a “buy” rating in a research note on Thursday, June 4th. Zacks Research lowered Magna International from a “strong-buy” rating to a “hold” rating in a research note on Friday, May 1st. The Goldman Sachs Group decreased their price target on Magna International from $60.00 to $52.00 and set a “sell” rating on the stock in a report on Tuesday, April 14th. UBS Group lifted their price objective on Magna International from $62.00 to $64.00 and gave the stock a “neutral” rating in a research report on Thursday, July 9th. Finally, JPMorgan Chase & Co. dropped their price objective on Magna International from $71.00 to $70.00 and set an “overweight” rating for the company in a report on Thursday, April 23rd. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $65.73.

Magna International Stock Down 1.7%

NYSE:MGA opened at $68.66 on Friday. The company has a quick ratio of 0.88, a current ratio of 1.22 and a debt-to-equity ratio of 0.38. Magna International has a 12-month low of $40.51 and a 12-month high of $70.36. The stock’s fifty day simple moving average is $65.83 and its 200-day simple moving average is $61.03. The firm has a market capitalization of $18.36 billion, a P/E ratio of 24.88, a P/E/G ratio of 0.94 and a beta of 1.44.

Magna International (NYSE:MGA) (TSE:MG) last released its quarterly earnings data on Friday, July 31st. The company reported $1.86 EPS for the quarter, beating analysts’ consensus estimates of $1.53 by $0.33. Magna International had a return on equity of 14.01% and a net margin of 1.60%.The business had revenue of $10.84 billion during the quarter, compared to the consensus estimate of $10.63 billion. During the same quarter in the prior year, the company posted $1.44 earnings per share. The firm’s revenue was up 3.3% on a year-over-year basis. Magna International has set its FY 2026 guidance at 6.700-7.300 EPS. Equities research analysts expect that Magna International will post 6.91 earnings per share for the current year.

Magna International Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Stockholders of record on Friday, August 14th will be paid a $0.495 dividend. The ex-dividend date of this dividend is Friday, August 14th. This represents a $1.98 dividend on an annualized basis and a dividend yield of 2.9%. Magna International’s dividend payout ratio is 82.85%.

More Magna International News

Here are the key news stories impacting Magna International this week:

• Positive Sentiment: Q2 results exceeded expectations. Adjusted EPS was a record $1.86, versus the $1.53 consensus estimate and $1.44 a year earlier. Sales rose 3% to $11.0 billion despite a 2% decline in global light-vehicle production. Magna Q2 Earnings and Revenues Top Estimates
• Positive Sentiment: Profitability improved sharply. Adjusted EBIT increased 16% to $677 million, while the adjusted EBIT margin expanded to 6.2% from 5.5%. Management cited productivity initiatives, restructuring benefits, higher organic sales, favorable foreign-exchange impacts and tariff recoveries. Magna Announces Strong Second Quarter Results
• Positive Sentiment: Full-year profitability and cash-flow targets were raised. Magna now expects 2026 adjusted EPS of $6.70-$7.30, up from $6.25-$7.25, adjusted EBIT margin of 6.3%-6.6%, and free cash flow of $1.75-$1.85 billion. The company also returned $598 million to shareholders in Q2 through dividends and share repurchases. Magna Q2 2026 Financial Review
• Neutral Sentiment: Revenue guidance was reduced to $41.3-$42.5 billion from $41.5-$43.1 billion, primarily because of unfavorable currency translation and the earlier completion of divestitures. The reduction does not reflect weaker operating expectations, but it could temper investor enthusiasm.
• Negative Sentiment: Magna continues to face lower production in North America, Europe and China, unfavorable product mix, customer price concessions and higher commodity costs. Six-month reported net income and GAAP EPS also declined year over year, partly because of substantially higher other expenses and amortization.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of MGA. Integrated Wealth Concepts LLC boosted its position in shares of Magna International by 19.8% during the first quarter. Integrated Wealth Concepts LLC now owns 6,808 shares of the company’s stock worth $231,000 after purchasing an additional 1,123 shares in the last quarter. Ameriprise Financial Inc. increased its position in shares of Magna International by 14.2% in the 2nd quarter. Ameriprise Financial Inc. now owns 56,868 shares of the company’s stock valued at $2,196,000 after buying an additional 7,073 shares in the last quarter. Van ECK Associates Corp increased its position in shares of Magna International by 6.0% in the 3rd quarter. Van ECK Associates Corp now owns 8,879 shares of the company’s stock valued at $421,000 after buying an additional 505 shares in the last quarter. Public Employees Retirement System of Ohio raised its stake in Magna International by 196.9% during the 3rd quarter. Public Employees Retirement System of Ohio now owns 139,659 shares of the company’s stock worth $6,620,000 after buying an additional 92,613 shares during the period. Finally, Danske Bank A S acquired a new stake in Magna International during the 3rd quarter worth $112,000. Institutional investors and hedge funds own 67.49% of the company’s stock.

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.