Magna International Inc. Stock Analysis By The Numbers


In this analyze-out-loud video, Chuck Carnevale, co-founder of FAST Graphs offers a by-the-numbers review of Magna International Inc. (MGA).This A- rated stock offers a 3.04% dividend yield and trades at a blended P/E ratio of 11.94, and a significant discount to its intrinsic value. Consequently, it offers the combination of an above-average dividend yield that has grown considerably since 2010.

Magna FAST Graph

Magna FASTGraph

Although the company is expected to have a small decrease in operating earnings in the fiscal year 2022, future growth is expected to recover strongly. Magna International, Inc. is a mobility technology company that engages in the design and engineering and manufacturing of automotive parts and supplies. The company’s various product lines produce products for exteriors, interiors, seating, roof systems, body and chassis, powertrain, vision and electronic systems, closure systems, electrical vehicle systems, tooling, and engineering.

Recent earnings weakness leading to price weakness is due to a severe shortage of chips and parts consistent with the entire automotive industry. According to Zacks Investment Research, the company operates under four reportable segments: body exteriors and structures representing 39.3% of total revenues, power, and vision representing 30.8%, seating systems representing 13.3%, and complete vehicles representing 16.6%. The company does about 46% of their business in North America and 43% in Europe. Therefore, Magna International Inc. is one of the largest and most diversified auto parts suppliers in the world. This research candidate is offered as both a current income and long-term total return candidate.

Video Length: 00:10:32

More By This Author:

Comcast Is A High-Quality Dividend Growth Stock On Sale
Wow! Look How Far These Popular Growth Stocks Have Fallen
The Stock With The Best Balance Sheet – Googl “e” It

Disclaimer: The opinions in this article are for informational and educational purposes only and should not be construed as a recommendation to buy or sell the stocks mentioned or to solicit ...

How did you like this article? Let us know so we can better customize your reading experience.