Magna International Inc. research snapshot
MGA AI stock analysis currently reads Magna International as a broad global automotive supplier with useful scale, manufacturing know-how, and improving adjusted profitability, but with earnings still tied to light vehicle production, OEM programs, tariffs, and capital intensity. At the July 11, 2026 data cutoff, MGA was referenced at $64.39 and the audited market-cap calculation was about $18.09 billion using 281 million shares. This MGA AI stock analysis is informational research, not investment advice.
Current price
$64.39
Market cap
$18.09 billion verified market cap
AI score
65 / 100
Rating
Diversified auto supplier with improving adjusted margins and cash flow, offset by auto-cycle, customer, tariff, and leverage risk
Trend status
Neutral near term, with price close to the 50-day average and above the 200-day average on July 9 market data
Data cutoff (updated weekly)
July 11, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | Magna sells body systems, power and vision products, seating, and complete-vehicle engineering and assembly services to global automakers that need scaled, validated production capability. | Medium-high |
| Moat | Its advantages are global manufacturing scale, engineering depth, OEM program relationships, systems breadth, and complete-vehicle capability. Customer switching is meaningful during a vehicle program but weaker between programs. | Medium |
| Management | CEO Swamy Kotagiri and CFO Philip Fracassa are focused on operational excellence, lower capital spending, buybacks, margin improvement, and portfolio discipline. The key test is durable execution beyond a strong quarter. | Medium |
| Financial trend | FY2025 sales were $42.01 billion, down 1.9%, while net income attributable to Magna was $829 million. Q1 2026 sales rose 3% to $10.4 billion and adjusted EBIT margin improved to 5.4%. | High |
| Valuation | At $64.39, audited input math shows about 26.9x TTM EPS, 1.48x book value, 6.16x TTM free cash flow per share, and a 3.04% dividend yield. Reported EPS contains impairment and other non-operating noise. | Medium-high |
| Technical trend | Price was close to the 50-day average of $64.03 and above the 200-day average of $55.97, while RSI near 49.22 indicated neutral momentum rather than a confirmed breakout. | Medium |
| Risk level | Risk is high because Magna is exposed to light vehicle production, OEM pricing, tariffs, input costs, launches, warranty expenses, foreign exchange, debt, and customer concentration. | High |
| AI confidence | Reported figures have high data confidence because company filings and StockAnalysis agree closely. Return forecasts have medium confidence because operating leverage and valuation multiples are cyclical. | High data confidence |
| Investment certainty | Investment certainty is medium-low. The valuation can look attractive if adjusted EPS and free cash flow persist, but a durable margin recovery still needs confirmation across the production cycle. | Medium-low |
MGA AI stock forecast
The MGA AI stock forecast uses scenario math, not a promise that AI can predict a precise price. The three-year audited model starts with the 2026 adjusted EPS guidance midpoint of $6.75 and the $64.39 price reference. It produced anchors near $46.30 in the bearish case, $78.10 in the base case, and $107.80 in the bullish case before dividends.
$100 to $110
More likely if 2026 sales approach the top of the $41.9 billion to $43.5 billion outlook, adjusted EBIT margin reaches the upper end of the 6.0% to 6.6% range, capital spending stays controlled, buybacks reduce shares, and the market assigns a 12x earnings multiple.
$72 to $82
More likely if Magna delivers the $6.25 to $7.25 adjusted EPS outlook, normal vehicle demand holds, tariff recoveries remain broadly neutral, and the market values the company near a 10x earnings multiple.
$42 to $50
More likely if production declines, customers press for price concessions, tariffs or input costs are not recovered, launches disappoint, free cash flow weakens, or the market applies an 8x earnings multiple.
MGA AI technical analysis
MGA AI technical analysis uses public market data available near the July 11, 2026 cutoff. StockAnalysis showed a $64.39 quote reference on July 9, a 50-day moving average of $64.03, a 200-day moving average of $55.97, RSI of 49.22, beta of 1.86, and 20-day average volume of about 1.13 million shares. Refresh the live chart before acting.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $64.39 | Quote reference used for the July 11, 2026 market-cap and valuation calculations. |
| Immediate support | $64.03 | The 50-day moving average was close to the quoted price and is the first trend reference to monitor. |
| Major support | $55.97 | The 200-day moving average is a deeper long-term trend reference from the July 9 technical snapshot. |
| Near resistance | $69 to $70 | A round-number area near the analyst consensus price target of $69.67 is a practical level to validate with a live chart, not a guaranteed ceiling. |
| Moving averages | 50-day $64.03, 200-day $55.97 | Price above both averages supports a constructive long-term view, but the narrow gap to the 50-day average leaves the short-term trend undecided. |
| Momentum | RSI 49.22 | RSI was neutral, which does not confirm either an overbought continuation or a deeply oversold reversal. |
| Volume | About 1.13 million 20-day average shares | A move above resistance has more weight if volume exceeds the recent average and auto-sector breadth also improves. |
| Volatility | 5-year beta 1.86 | MGA has shown above-market sensitivity, so position sizing should account for earnings, policy, tariff, and auto-production headlines. |
| Invalidation | Sustained close below $55.97 | A decisive break below the 200-day average would weaken the long-term technical thesis and call for a fresh fundamental review. |
MGA AI trading strategy
This MGA AI trading strategy is a rules-based research framework, not personalized financial advice. It combines price behavior with volume, adjusted margin, free cash flow, production assumptions, tariff recovery, and capital return data.
Watch for MGA to hold above the $64.03 50-day average and move through the $69 to $70 area with volume above its recent 20-day average, then confirm that 2026 adjusted margin and free cash flow guidance remain intact.
Reduce trend confidence after a failed breakout or a close below the 50-day average, especially if the move follows weaker vehicle-production or margin guidance.
If MGA pulls back toward the $55.97 long-term average, compare normalized adjusted EPS, free cash flow, net debt, program launches, and tariff exposure rather than buying only because the headline P/FCF looks low.
Do not average down without evidence that OEM volume, commercial recoveries, warranty costs, and cash conversion remain consistent with the investment case.
Track Q2 2026 results, vehicle-production assumptions, segment sales, adjusted EBIT margin, free cash flow, buybacks, net debt, tariff recovery, customer pricing, launches, and the disposition process for non-core businesses.
Lower confidence if reported impairments recur, adjusted margin misses guidance, working-capital recovery reverses, or management cuts the 2026 free-cash-flow outlook.
Investment research summary
Customers pay Magna for engineered vehicle systems, manufacturing scale, launch execution, and supply reliability. The company spans body, power, vision, seating, and complete-vehicle work rather than relying on one component category.
Magna has global plant and engineering scale, OEM validation history, technical integration across systems, and long program cycles. Those strengths matter most after a platform win, while competitive bidding still limits pricing power on the next program.
The thesis fails if vehicle production weakens, OEMs demand concessions, tariffs or material inflation outrun recoveries, launches underperform, warranty costs rise, customer mix shifts, or impairment charges reveal weaker returns in parts of the portfolio.
Management is pursuing operational improvement, lower capital spending, buybacks, and selective portfolio actions. The capital-allocation question is whether buybacks and divestitures improve per-share value while preserving balance-sheet flexibility.
Vehicle content, advanced driver-assistance systems, electrification variants, Chinese OEM expansion, and outsourced assembly can add opportunity. The industry remains cyclical, with technology adoption and production volumes set by OEM decisions rather than Magna alone.
The $64.39 reference price is well below the bullish scenario but not a risk-free entry. Margin of safety depends on whether adjusted EPS near the 2026 outlook midpoint and free cash flow can persist through a weaker production environment.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| MGA price used in model | $64.39 | StockAnalysis market data | July 11, 2026 |
| Market capitalization | $18.09 billion, calculated from $64.39 x 281 million shares | Pineify financial_rigor.py using StockAnalysis price and TTM share count | July 11, 2026 |
| FY2025 sales and net income attributable to Magna | $42.010 billion sales and $829 million net income | Magna 2025 Annual Report, cross-checked with StockAnalysis | July 11, 2026 |
| FY2025 cash and debt | $1.612 billion cash and $6.689 billion financial liabilities at December 31, 2025 | Magna 2025 Annual Report, cash cross-checked with StockAnalysis | July 11, 2026 |
| Q1 2026 results | $10.4 billion sales, $558 million adjusted EBIT, 5.4% adjusted EBIT margin, $1.38 adjusted EPS, and $372 million free cash flow | Magna Q1 2026 results webcast transcript | July 11, 2026 |
| 2026 outlook | $41.9 billion to $43.5 billion sales, 6.0% to 6.6% adjusted EBIT margin, $6.25 to $7.25 adjusted diluted EPS, and $1.6 billion to $1.8 billion free cash flow | Magna Q4 2025 results and 2026 outlook | July 11, 2026 |
| Technical indicators | 50-day average $64.03, 200-day average $55.97, RSI 49.22, beta 1.86, and 20-day average volume 1.13 million | StockAnalysis statistics | July 11, 2026 |
| Valuation ratios | Audited input math: 26.94x TTM EPS, 1.48x book value, 6.16x TTM free cash flow per share, and 3.04% dividend yield | Pineify financial_rigor.py using StockAnalysis inputs | July 11, 2026 |
This MGA AI stock analysis page is an informational research tool only. It is not investment advice, a recommendation, or a promise of future returns. Forecast scenarios use public data available as of July 11, 2026 and can be wrong if Magna fundamentals, vehicle production, tariffs, prices, interest rates, or investor sentiment change.
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