Magna International Inc.
Magna International Inc. is a global automotive supplier and mobility technology company that designs, engineers, and manufactures vehicle systems, assemblies, modules, and components for automakers worldwide. The company serves major segments of the automotive market through products and services spanning body exteriors and structures, power and vision technologies, seating systems, and complete vehicle manufacturing. Its portfolio includes chassis systems, closures, lighting, mirrors, electronics, powertrain solutions, battery-related components, and advanced driver assistance technologies. Magna International also provides vehicle engineering, integration, prototyping, low-volume manufacturing, and contract assembly services, supporting passenger cars, light trucks, and other mobility platforms. Headquartered in Aurora, Ontario, Canada, Magna International plays a significant role in the automotive supply chain by combining large-scale production capabilities with engineering expertise across global markets.
$63.83
-$2.56 (-3.86%)
Price from 2 days ago
Operating margin is thin at 5.02%. Limited cushion if revenue slows or costs rise, not the profile of a wide-moat business.
Revenue declined 1.9% YoY. The question is whether this is cyclical or a structural shift.
Even for strong businesses, today's 23x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.
23.1x earnings, 5.4x FCF. Valuation is in a reasonable range. The main question is whether the business can re-accelerate or if current trajectory is already priced in.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$42.67B
▼ -1.9% YoY
Net Income (TTM)
$814M
▼ -19.4% YoY
Op. Margin
5.48%
ROIC
7.39%
▼ -0.4pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$3.21B
▲ +56.9% YoY
Op. Cash Flow (TTM)
$4.53B
▲ +11.7% YoY
Net Debt
$5.08B
Cash & Equiv.
$1.61B
3Y CAGR: +3.5%
3Y CAGR: +76.7%
Continue Research
Is Magna International (MGA) overvalued?
At a P/E of 23.1 and a price-to-free-cash-flow of 5.4, Magna International (MGA) trades below a two-stage DCF intrinsic value of about $451.13 per share, so at $63.83 the stock looks undervalued (606.8% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Magna International scores 73/100 on Intrinsiqq's quality scorecard (a solid business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. It currently yields about 2.3%; see dividend safety for coverage and history. All figures are computed from company filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
What is Magna International's fair value?+
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $451.13 per share for MGA, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $338.35. At today's $63.83, that puts the stock about 606.8% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Is Magna International a high-quality business?+
Magna International scores 73 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a solid business on these measures. Recent fundamentals include a 5.5% operating margin and a 7.4% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from company filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Does Magna International (MGA) pay a dividend, and how much?+
Yes, Magna International pays a regular dividend of about $1.50 per share per year (typically in quarterly installments), a yield of roughly 2.3% at the current price. That is a payout ratio of about 50.3% of earnings, so the dividend is well covered. A low headline yield is not the same as a weak dividend: what matters is how well earnings and free cash flow cover the payout and whether it is growing, not the percentage alone. For MGA's full payout history, growth streak and dividend-safety score, see the dividends tab.
Is Magna International a good stock to buy right now?+
That depends on valuation and quality together, not either alone. MGA currently trades below its estimated intrinsic value and scores 73/100 on quality (solid). It also yields about 2.3%. A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from company filings, not investment advice.
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Data sourced from company filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.
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