Magna International Inc (MGA) Fair Value & Analysis

Consumer Cyclical · US · Market cap $17.5B

A solid business, screening 40% undervalued on our models.

What matters now

• The price is below even our cautious bear case ($71.27). The market is more pessimistic than our downside scenario.
• Solid quality (61/100) at a price below fair value, the discount is the argument here, not the business quality.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 12, 2026.

How to read this chart

60‑month range $29.32 – $86.98 · fair‑value band $71.27 – $118.78 · the $67.82 price screens below the $95.02 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 12, 2026.

Full chart & analysis →

Which stocks are undervalued right now? Check free Discover now →

Analysis

Magna International Inc (MGA) currently trades at $67.82, while our model-based Fair Value estimate is $95.02, implying the stock looks roughly 40.1% undervalued today. We read business quality at 61/100 (solid quality), in the Consumer Cyclical sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Magna International Inc generated revenue of $42.3B at a net margin of 1.6%. Revenue grew 3.1% year over year. It earns a return on equity of 6.0%. Net debt stands at $6.7B. Fundamentals as of Jul 12, 2026

Our scenario range runs from $71.27 (bear case) to $118.78 (bull case); at $67.82, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat. The share trades about 2% below its 52-week high and 91% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -44% fair-value upside, at 40%, MGA screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Growth DCF ($105.43) versus Earnings-Based ($23.89). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Magna International Inc. operates as an automotive supplier in North America, Europe, the Asia Pacific, and internationally. It operates through four segments: Body Exteriors & Structures, Power & Vision, Seating Systems, and Complete Vehicles.

Full company description

Magna International Inc. operates as an automotive supplier in North America, Europe, the Asia Pacific, and internationally. It operates through four segments: Body Exteriors & Structures, Power & Vision, Seating Systems, and Complete Vehicles. The company offers design and vehicle concepts, complete vehicle engineering and integration, human-machine interface, developing modules and systems, platform solutions, prototyping and low-volume manufacturing, vehicle safety testing, aerospace, and integrating functionality, features, and ADAS; and complete vehicle solutions, body-in-white, paint, and assembly complete vehicle manufacturing products. It also provides engineering services for commercial vehicles, such as propulsion engineering, software and simulation, testing services, and smart production; OPTiForm, a battery enclosure, steel battery enclosures, aluminum battery enclosures, and hybrid battery enclosures; battery enclosure production and engineering solutions; SmartAccess, a B-Pillarless power door system; and composite EV battery covers. In addition, it offers energy management solutions; hot stamping, high strength steels, aluminum castings, and high-pressure vacuum casting; suspension links and arms, twist axle, carbon fiber subframe, and frames; ADAS and Automated Driving, including Cameras, thermal sensing, interior sensing, complete radar portfolio, and compute units; and chassis control, glow plug control, powertrain control, and mechatronic control modules. Further, it provides exterior and interior products comprising assist steps, engineered glass, exterior solutions, greenhouse surrounds, lighting, mechatronics, mirrors, and seating; and powertrain products consisting BEV, Hybrid, and ICE powertrain, as well as modules and components, and energy storage systems. Magna International Inc. was founded in 1957 and is based in Aurora, Canada.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Magna International Inc reported revenue of $42.7B in FY2025 versus $36.2B in FY2021, a compound +4.2%/yr. Reported net income was $844M in FY2025, compounding −13.6%/yr from FY2021.

Watch MGA: get an alert when its fair value changes →

Recent news

External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.

• Magna International Q2 Earnings Call Highlights Yahoo Finance · Jul 31, 2026
• Magna International Inc (MGA) (Q2 2026) Earnings Call Highlights: Record EPS and Raised Outlook ... Yahoo Finance · Jul 31, 2026
• Magna International (TSX:MG) Is Up 5.7% After Profit Beat And New EV Deal With Chery - What's Changed Yahoo Finance · Jul 31, 2026
• Magna (MGA) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates Yahoo Finance · Jul 31, 2026

Peer Group

Auto Parts · 641 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Auto Parts median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Auto Parts stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Explore undervalued stocks

More undervalued Consumer Cyclical stocks →

Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.