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

Magna International (NYSE:MGA) (TSE:MG) issued an update on its FY 2026 earnings guidance on Friday. The company provided EPS guidance of 6.700-7.300 for the period, compared to the consensus 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.

Analyst Ratings Changes

A number of analysts recently issued reports on MGA shares. Weiss Ratings upgraded shares of Magna International from a “hold (c)” rating to a “hold (c+)” rating in a report on Wednesday. The Goldman Sachs Group dropped their target price on shares of Magna International from $60.00 to $52.00 and set a “sell” rating on the stock in a research note on Tuesday, April 14th. TD raised their price target on shares of Magna International from $75.00 to $76.00 and gave the stock a “buy” rating in a research note on Monday, May 4th. JPMorgan Chase & Co. lowered their price target on shares of Magna International from $71.00 to $70.00 and set an “overweight” rating on the stock in a report on Thursday, April 23rd. Finally, Canadian Imperial Bank of Commerce reduced their price objective on Magna International to $74.00 in a report on Monday, May 4th. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $65.73.

Magna International Stock Performance

MGA traded down $1.19 on Friday, hitting $68.66. The company’s stock had a trading volume of 2,533,746 shares, compared to its average volume of 1,240,491. Magna International has a 12 month low of $40.51 and a 12 month high of $70.36. The firm has a market cap of $18.36 billion, a P/E ratio of 28.73, a price-to-earnings-growth ratio of 0.95 and a beta of 1.44. The company has a quick ratio of 0.88, a current ratio of 1.22 and a debt-to-equity ratio of 0.38. The company’s 50 day simple moving average is $65.83 and its 200-day simple moving average is $61.03.

Magna International (NYSE:MGA) (TSE:MG) last issued its earnings results on Friday, July 31st. The company reported $1.86 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.53 by $0.33. The business had revenue of $10.84 billion for the quarter, compared to analysts’ expectations of $10.63 billion. Magna International had a net margin of 1.60% and a return on equity of 14.01%. The business’s revenue for the quarter was up 3.3% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.44 EPS. Magna International has set its FY 2026 guidance at 6.700-7.300 EPS. Analysts forecast that Magna International will post 6.82 EPS 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 given a $0.495 dividend. The ex-dividend date is Friday, August 14th. This represents a $1.98 annualized dividend and a dividend yield of 2.9%. Magna International’s 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

Large investors have recently added to or reduced their stakes in the stock. Van ECK Associates Corp increased its stake in shares of Magna International by 2.6% in the fourth quarter. Van ECK Associates Corp now owns 9,114 shares of the company’s stock worth $486,000 after buying an additional 235 shares during the period. Integrated Wealth Concepts LLC boosted its position in Magna International by 1.8% during the 3rd quarter. Integrated Wealth Concepts LLC now owns 14,241 shares of the company’s stock valued at $675,000 after buying an additional 246 shares during the period. Arkadios Wealth Advisors grew its holdings in Magna International by 7.3% in the 4th quarter. Arkadios Wealth Advisors now owns 4,767 shares of the company’s stock worth $254,000 after acquiring an additional 324 shares during the last quarter. Syon Capital LLC increased its position in shares of Magna International by 10.0% in the fourth quarter. Syon Capital LLC now owns 5,939 shares of the company’s stock valued at $317,000 after acquiring an additional 540 shares during the period. Finally, Parallel Advisors LLC increased its position in shares of Magna International by 22.7% in the fourth quarter. Parallel Advisors LLC now owns 3,024 shares of the company’s stock valued at $161,000 after acquiring an additional 560 shares during the period. Institutional investors 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.