Magna International (NYSE:MGA) Cut to “Hold” at Wall Street Zen

Wall Street Zen downgraded shares of Magna International (NYSE:MGA) (TSE:MG) from a buy rating to a hold rating in a research note released on Saturday,Wall Street Zen reports.

A number of other research analysts have also issued reports on MGA. Morgan Stanley reduced their target price on shares of Magna International from $69.00 to $68.00 and set an “equal weight” rating on the stock in a report on Thursday, October 15th. BMO Capital Markets downgraded shares of Magna International from an “outperform” rating to a “market perform” rating and lowered their price target for the stock from $76.00 to $70.00 in a report on Friday, September 18th. JPMorgan Chase & Co. lowered shares of Magna International from an “overweight” rating to a “neutral” rating and cut their price objective for the company from $77.00 to $72.00 in a research report on Tuesday, September 15th. TD reduced their price objective on shares of Magna International from $80.00 to $77.00 and set a “buy” rating on the stock in a research note on Thursday, October 8th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Magna International in a research report on Tuesday, October 27th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $68.73.

Magna International Stock Up 2.5%

Shares of NYSE:MGA opened at $65.43 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 52-week low of $45.33 and a 52-week high of $73.22. The stock’s fifty day simple moving average is $64.89 and its 200-day simple moving average is $62.70. The company has a market capitalization of $16.99 billion, a P/E ratio of 20.97, a P/E/G ratio of 0.68 and a beta of 1.46.

Magna International (NYSE:MGA) (TSE:MG) last posted its quarterly earnings data on Friday, October 30th. The company reported $1.83 EPS for the quarter, beating analysts’ consensus estimates of $1.58 by $0.25. The business had revenue of $9.86 billion for the quarter, compared to analyst estimates of $10.01 billion. Magna International had a return on equity of 15.04% and a net margin of 1.80%. The business’s revenue for the quarter was down 3.9% compared to the same quarter last year. During the same quarter last year, the company earned $1.33 earnings per share. As a group, equities research analysts forecast that Magna International will post 7.03 earnings per share for the current fiscal year.

Magna International Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, November 27th. Shareholders of record on Friday, November 13th will be issued a $0.4950 dividend. The ex-dividend date is Friday, November 13th. This represents a $1.98 annualized dividend and a yield of 3.0%. Magna International’s payout ratio is 63.46%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of MGA. ARGA Investment Management LP boosted its position in shares of Magna International by 11.0% in the third quarter. ARGA Investment Management LP now owns 4,030,060 shares of the company’s stock worth $256,706,000 after acquiring an additional 397,793 shares during the last quarter. TD Waterhouse Canada Inc. increased its position in Magna International by 10.7% during the second quarter. TD Waterhouse Canada Inc. now owns 2,130,562 shares of the company’s stock worth $134,577,000 after purchasing an additional 206,433 shares during the last quarter. Amundi increased its position in Magna International by 4.2% during the second quarter. Amundi now owns 1,781,357 shares of the company’s stock worth $117,778,000 after purchasing an additional 71,927 shares during the last quarter. QV Investors Inc. increased its position in Magna International by 33.3% during the third quarter. QV Investors Inc. now owns 739,472 shares of the company’s stock worth $47,220,000 after purchasing an additional 184,631 shares during the last quarter. Finally, Hillsdale Investment Management Inc. raised its stake in Magna International by 14.8% during the first quarter. Hillsdale Investment Management Inc. now owns 832,575 shares of the company’s stock worth $46,486,000 after purchasing an additional 107,150 shares during the period. Institutional investors and hedge funds own 67.49% of the company’s stock.

About Magna International

Magna International Inc is a global automotive supplier headquartered in Aurora, Ontario, Canada. The company designs, engineers and manufactures components and systems for automakers, serving vehicle manufacturers across North America, Europe and Asia.

Its products and services span several automotive categories, including body and chassis structures, exterior systems, powertrain and driveline components, seating, vehicle electronics, lighting, mirrors, and advanced driver assistance technologies.