Magna International (NYSE:MGA) Downgraded by StockNews.com to Hold

StockNews.com downgraded shares of Magna International (NYSE:MGA) (TSE:MG) from a buy rating to a hold rating in a research report released on Monday.

MGA has been the topic of several other research reports. Royal Bank of Canada downgraded Magna International from an “outperform” rating to a “sector perform” rating and decreased their target price for the company from $51.00 to $32.00 in a research note on Friday, April 11th. Evercore ISI lowered their target price on shares of Magna International from $50.00 to $45.00 and set an “in-line” rating on the stock in a report on Tuesday, February 18th. BMO Capital Markets cut their target price on shares of Magna International from $47.00 to $41.00 and set an “outperform” rating for the company in a research note on Monday. UBS Group decreased their price target on shares of Magna International from $41.00 to $34.00 and set a “neutral” rating on the stock in a research note on Thursday, April 10th. Finally, Scotiabank cut their price objective on Magna International from $45.00 to $38.00 and set a “sector perform” rating for the company in a research report on Tuesday, April 29th. One analyst has rated the stock with a sell rating, sixteen have given a hold rating and four have given a buy rating to the company’s stock. According to MarketBeat, Magna International has an average rating of “Hold” and an average price target of $43.06.

Magna International Price Performance

Shares of NYSE:MGA opened at $33.26 on Monday. The company has a market capitalization of $9.37 billion, a P/E ratio of 9.48, a P/E/G ratio of 0.63 and a beta of 1.52. Magna International has a 1-year low of $30.39 and a 1-year high of $48.18. The firm’s 50 day simple moving average is $34.59 and its two-hundred day simple moving average is $39.27. The company has a debt-to-equity ratio of 0.35, a current ratio of 1.08 and a quick ratio of 0.77.

Magna International (NYSE:MGA) (TSE:MG) last released its earnings results on Friday, May 2nd. The company reported $0.78 earnings per share for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.12). Magna International had a net margin of 2.36% and a return on equity of 12.78%. The firm had revenue of $9.68 billion for the quarter, compared to analysts’ expectations of $9.66 billion. During the same quarter last year, the firm posted $1.08 EPS. The firm’s quarterly revenue was down 8.2% compared to the same quarter last year. Research analysts expect that Magna International will post 5.87 EPS for the current fiscal year.

Magna International Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, May 30th. Investors of record on Friday, May 16th will be given a $0.485 dividend. The ex-dividend date of this dividend is Friday, May 16th. This represents a $1.94 dividend on an annualized basis and a yield of 5.83%. Magna International’s dividend payout ratio is presently 48.50%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the company. ARGA Investment Management LP lifted its holdings in shares of Magna International by 158.1% in the 4th quarter. ARGA Investment Management LP now owns 2,561,491 shares of the company’s stock worth $107,049,000 after acquiring an additional 1,568,953 shares during the last quarter. Russell Investments Group Ltd. lifted its stake in Magna International by 52.3% in the fourth quarter. Russell Investments Group Ltd. now owns 2,395,373 shares of the company’s stock worth $100,087,000 after purchasing an additional 822,375 shares during the last quarter. Geode Capital Management LLC boosted its position in shares of Magna International by 32.2% during the fourth quarter. Geode Capital Management LLC now owns 1,523,196 shares of the company’s stock valued at $63,280,000 after buying an additional 371,437 shares during the period. Mufg Securities Canada LTD. boosted its position in shares of Magna International by 72.1% during the fourth quarter. Mufg Securities Canada LTD. now owns 412,454 shares of the company’s stock valued at $17,228,000 after buying an additional 172,754 shares during the period. Finally, Janney Montgomery Scott LLC grew its stake in shares of Magna International by 19.9% during the first quarter. Janney Montgomery Scott LLC now owns 251,832 shares of the company’s stock valued at $8,560,000 after buying an additional 41,811 shares during the last quarter. Institutional investors own 67.49% of the company’s stock.

About Magna International

Magna International Inc designs, engineers, and manufactures components, assemblies, systems, subsystems, and modules for original equipment manufacturers of vehicles and light trucks worldwide. It operates through four segments: Body Exteriors & Structures, Power & Vision, Seating Systems, and Complete Vehicles.