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

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

Several research analysts recently commented on the company. JPMorgan Chase & Co. reduced their price target on Magna International from $71.00 to $70.00 and set an “overweight” rating for the company in a research report on Thursday, April 23rd. UBS Group boosted their price target on Magna International from $62.00 to $64.00 and gave the stock a “neutral” rating in a research report on Thursday, July 9th. Zacks Research cut Magna International from a “strong-buy” rating to a “hold” rating in a research note on Friday, May 1st. Royal Bank Of Canada increased their price objective on Magna International to $57.00 and gave the company a “sector perform” rating in a report on Monday, July 13th. Finally, Scotiabank raised their target price on shares of Magna International from $72.00 to $74.00 and gave the company a “sector outperform” rating in a research note on Monday, July 20th. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, Magna International currently has an average rating of “Hold” and an average target price of $65.73.

Magna International Stock Performance

Magna International stock traded down $1.19 during midday trading on Friday, reaching $68.66. 2,480,594 shares of the company’s stock were exchanged, compared to its average volume of 1,645,983. The stock’s 50-day simple moving average is $65.75 and its 200 day simple moving average is $60.97. The firm has a market cap of $18.36 billion, a price-to-earnings ratio of 28.73, a P/E/G ratio of 0.94 and a beta of 1.44. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.88 and a current ratio of 1.22. Magna International has a 52 week low of $40.51 and a 52 week high of $70.36.

Magna International (NYSE:MGA) (TSE:MG) last released its quarterly earnings data on Friday, July 31st. The company reported $1.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.53 by $0.33. Magna International had a return on equity of 14.01% and a net margin of 1.60%.The firm’s quarterly revenue was up 3.3% compared to the same quarter last year. During the same period last year, the business earned $1.44 EPS. Magna International has set its FY 2026 guidance at 6.700-7.300 EPS. On average, analysts expect that Magna International will post 6.82 earnings per share for the current fiscal year.

Magna International News Roundup

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 Investors Weigh In On Magna International

Several hedge funds have recently added to or reduced their stakes in MGA. IFC & Insurance Marketing Inc. acquired a new position in shares of Magna International in the fourth quarter valued at $49,000. Atlas Capital Advisors Inc. bought a new position in shares of Magna International in the fourth quarter valued at about $67,000. Danske Bank A S acquired a new stake in shares of Magna International during the 3rd quarter worth about $112,000. Parallel Advisors LLC lifted its stake in shares of Magna International by 22.7% during the 4th quarter. Parallel Advisors LLC now owns 3,024 shares of the company’s stock worth $161,000 after buying an additional 560 shares during the last quarter. Finally, Integrated Wealth Concepts LLC lifted its stake in shares of Magna International by 19.8% during the 1st quarter. Integrated Wealth Concepts LLC now owns 6,808 shares of the company’s stock worth $231,000 after buying an additional 1,123 shares during the last quarter. Institutional investors and hedge funds own 67.49% of the company’s stock.

About Magna International

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.