MAGNA INTERNATIONAL INC (MG.CA) Stock Fundamental Analysis
TSX:MG • CA5592224011
86.01 CAD
-1.85 (-2.11%)
Last: Feb 27, 2026, 07:00 PM
Taking everything into account, MG scores 4 out of 10 in our fundamental rating. MG was compared to 5 industry peers in the Automobile Components industry. There are concerns on the financial health of MG while its profitability can be described as average. MG has a valuation in line with the averages, but it does not seem to be growing. Finally MG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- MG had positive earnings in the past year.
- MG had a positive operating cash flow in the past year.
- MG had positive earnings in 4 of the past 5 years.
- Of the past 5 years MG 4 years had a positive operating cash flow.
1.2 Ratios
- With a Return On Assets value of 3.14%, MG perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
- MG has a Return On Equity of 8.20%. This is amongst the best in the industry. MG outperforms 100.00% of its industry peers.
- MG has a better Return On Invested Capital (7.07%) than 100.00% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for MG is in line with the industry average of 6.18%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.14% | ||
| ROE | 8.2% | ||
| ROIC | 7.07% |
ROA(3y)3.05%
ROA(5y)3.4%
ROE(3y)8.13%
ROE(5y)8.77%
ROIC(3y)7.78%
ROIC(5y)7.41%
1.3 Margins
- MG has a Profit Margin (2.47%) which is comparable to the rest of the industry.
- MG's Profit Margin has declined in the last couple of years.
- MG's Operating Margin of 4.76% is on the low side compared to the rest of the industry. MG is outperformed by 80.00% of its industry peers.
- MG's Operating Margin has declined in the last couple of years.
- With a Gross Margin value of 13.86%, MG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
- MG's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.76% | ||
| PM (TTM) | 2.47% | ||
| GM | 13.86% |
OM growth 3Y-1.98%
OM growth 5Y-3.67%
PM growth 3Y-17.39%
PM growth 5Y-12.05%
GM growth 3Y-1.57%
GM growth 5Y-0.26%
2. Health
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so MG is destroying value.
- There is no outstanding debt for MG. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- MG has an Altman-Z score of 2.51. This is not the best score and indicates that MG is in the grey zone with still only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 2.51, MG is not doing good in the industry: 60.00% of the companies in the same industry are doing better.
- MG has a debt to FCF ratio of 2.67. This is a good value and a sign of high solvency as MG would need 2.67 years to pay back of all of its debts.
- Looking at the Debt to FCF ratio, with a value of 2.67, MG is in line with its industry, outperforming 60.00% of the companies in the same industry.
- MG has a Debt/Equity ratio of 0.43. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of MG (0.43) is worse than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.67 | ||
| Altman-Z | 2.51 |
ROIC/WACC0.84
WACC8.44%
2.3 Liquidity
- A Current Ratio of 1.18 indicates that MG should not have too much problems paying its short term obligations.
- MG's Current ratio of 1.18 is on the low side compared to the rest of the industry. MG is outperformed by 80.00% of its industry peers.
- A Quick Ratio of 0.83 indicates that MG may have some problems paying its short term obligations.
- MG's Quick ratio of 0.83 is on the low side compared to the rest of the industry. MG is outperformed by 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.18 | ||
| Quick Ratio | 0.83 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 6.11% over the past year.
- The Earnings Per Share has been growing slightly by 5.09% on average over the past years.
EPS 1Y (TTM)6.11%
EPS 3Y11.89%
EPS 5Y5.09%
EPS Q2Q%28.99%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%2.07%
3.2 Future
- Based on estimates for the next years, MG will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.21% on average per year.
- Based on estimates for the next years, MG will show a small growth in Revenue. The Revenue will grow by 1.77% on average per year.
EPS Next Y7.19%
EPS Next 2Y9.74%
EPS Next 3Y12.09%
EPS Next 5Y11.21%
Revenue Next Year1%
Revenue Next 2Y1.89%
Revenue Next 3Y2.55%
Revenue Next 5Y1.77%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 10.97 indicates a reasonable valuation of MG.
- MG's Price/Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 27.10, MG is valued rather cheaply.
- The Price/Forward Earnings ratio is 10.24, which indicates a very decent valuation of MG.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of MG indicates a slightly more expensive valuation: MG is more expensive than 60.00% of the companies listed in the same industry.
- MG is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.06, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 10.24 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, MG is valued expensively inside the industry as 80.00% of the companies are valued cheaper.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of MG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.71 | ||
| EV/EBITDA | 6.01 |
4.3 Compensation for Growth
- MG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- MG's earnings are expected to grow with 12.09% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.53
PEG (5Y)2.15
EPS Next 2Y9.74%
EPS Next 3Y12.09%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.45%, MG has a reasonable but not impressive dividend return.
- MG's Dividend Yield is a higher than the industry average which is at 2.57.
- MG's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
5.2 History
- The dividend of MG has a limited annual growth rate of 5.84%.
- MG has paid a dividend for at least 10 years, which is a reliable track record.
- MG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.84%
Div Incr Years15
Div Non Decr Years15
5.3 Sustainability
- 52.47% of the earnings are spent on dividend by MG. This is a bit on the high side, but may be sustainable.
- The dividend of MG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP52.47%
EPS Next 2Y9.74%
EPS Next 3Y12.09%
TSX:MG (2/27/2026, 7:00:00 PM)
86.01
-1.85 (-2.11%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupAutomobiles & Components
GICS IndustryAutomobile Components
Earnings (Last)02-13 2026-02-13/bmo
Earnings (Next)04-30 2026-04-30/bmo
Inst Owners73.86%
Inst Owner ChangeN/A
Ins Owners0.15%
Ins Owner ChangeN/A
Market Cap24.24B
Revenue(TTM)N/A
Net Income(TTM)1.03B
Analysts72.63
Price Target57.41 (-33.25%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.45% |
Yearly Dividend2.58
Dividend Growth(5Y)5.84%
DP52.47%
Div Incr Years15
Div Non Decr Years15
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)14.25%
Min EPS beat(2)6.28%
Max EPS beat(2)22.22%
EPS beat(4)3
Avg EPS beat(4)5.04%
Min EPS beat(4)-15.82%
Max EPS beat(4)22.22%
EPS beat(8)3
Avg EPS beat(8)-3.56%
EPS beat(12)6
Avg EPS beat(12)1.13%
EPS beat(16)8
Avg EPS beat(16)3.3%
Revenue beat(2)2
Avg Revenue beat(2)0.56%
Min Revenue beat(2)0.19%
Max Revenue beat(2)0.93%
Revenue beat(4)4
Avg Revenue beat(4)0.56%
Min Revenue beat(4)0.19%
Max Revenue beat(4)0.93%
Revenue beat(8)4
Avg Revenue beat(8)-1.28%
Revenue beat(12)6
Avg Revenue beat(12)-0.37%
Revenue beat(16)8
Avg Revenue beat(16)-0.26%
PT rev (1m)5.25%
PT rev (3m)6.49%
EPS NQ rev (1m)1.18%
EPS NQ rev (3m)1.33%
EPS NY rev (1m)0%
EPS NY rev (3m)2.42%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.22%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.68%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.97 | ||
| Fwd PE | 10.24 | ||
| P/S | 0.42 | ||
| P/FCF | 8.71 | ||
| P/OCF | 5.03 | ||
| P/B | 1.41 | ||
| P/tB | 1.97 | ||
| EV/EBITDA | 6.01 |
EPS(TTM)7.84
EY9.12%
EPS(NY)8.4
Fwd EY9.76%
FCF(TTM)9.88
FCFY11.49%
OCF(TTM)17.11
OCFY19.89%
SpS202.78
BVpS61.13
TBVpS43.75
PEG (NY)1.53
PEG (5Y)2.15
Graham Number103.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.14% | ||
| ROE | 8.2% | ||
| ROCE | 9.55% | ||
| ROIC | 7.07% | ||
| ROICexc | 7.54% | ||
| ROICexgc | 9.19% | ||
| OM | 4.76% | ||
| PM (TTM) | 2.47% | ||
| GM | 13.86% | ||
| FCFM | 4.87% |
ROA(3y)3.05%
ROA(5y)3.4%
ROE(3y)8.13%
ROE(5y)8.77%
ROIC(3y)7.78%
ROIC(5y)7.41%
ROICexc(3y)8.34%
ROICexc(5y)8.28%
ROICexgc(3y)10.22%
ROICexgc(5y)10.06%
ROCE(3y)10.45%
ROCE(5y)9.9%
ROICexgc growth 3Y0.12%
ROICexgc growth 5Y-3.49%
ROICexc growth 3Y-0.84%
ROICexc growth 5Y-4.32%
OM growth 3Y-1.98%
OM growth 5Y-3.67%
PM growth 3Y-17.39%
PM growth 5Y-12.05%
GM growth 3Y-1.57%
GM growth 5Y-0.26%
F-Score6
Asset Turnover1.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.67 | ||
| Debt/EBITDA | 1.49 | ||
| Cap/Depr | 91.3% | ||
| Cap/Sales | 3.57% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.32% | ||
| Profit Quality | 197.1% | ||
| Current Ratio | 1.18 | ||
| Quick Ratio | 0.83 | ||
| Altman-Z | 2.51 |
F-Score6
WACC8.44%
ROIC/WACC0.84
Cap/Depr(3y)138.93%
Cap/Depr(5y)118.27%
Cap/Sales(3y)5.12%
Cap/Sales(5y)4.53%
Profit Quality(3y)89.25%
Profit Quality(5y)130.62%
High Growth Momentum
Growth
EPS 1Y (TTM)6.11%
EPS 3Y11.89%
EPS 5Y5.09%
EPS Q2Q%28.99%
EPS Next Y7.19%
EPS Next 2Y9.74%
EPS Next 3Y12.09%
EPS Next 5Y11.21%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%2.07%
Revenue Next Year1%
Revenue Next 2Y1.89%
Revenue Next 3Y2.55%
Revenue Next 5Y1.77%
EBIT growth 1Y-1.63%
EBIT growth 3Y3.64%
EBIT growth 5Y-2.06%
EBIT Next Year72.06%
EBIT Next 3Y23.5%
EBIT Next 5Y14.63%
FCF growth 1Y290.79%
FCF growth 3Y-2.44%
FCF growth 5Y-10.38%
OCF growth 1Y24.73%
OCF growth 3Y7.32%
OCF growth 5Y-1.7%
MAGNA INTERNATIONAL INC / MG.CA FAQ
What is the fundamental rating for MG stock?
ChartMill assigns a fundamental rating of 4 / 10 to MG.CA.
What is the valuation status for MG stock?
ChartMill assigns a valuation rating of 4 / 10 to MAGNA INTERNATIONAL INC (MG.CA). This can be considered as Fairly Valued.
How profitable is MAGNA INTERNATIONAL INC (MG.CA) stock?
MAGNA INTERNATIONAL INC (MG.CA) has a profitability rating of 4 / 10.
What is the valuation of MAGNA INTERNATIONAL INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for MAGNA INTERNATIONAL INC (MG.CA) is 10.97 and the Price/Book (PB) ratio is 1.41.
What is the financial health of MAGNA INTERNATIONAL INC (MG.CA) stock?
The financial health rating of MAGNA INTERNATIONAL INC (MG.CA) is 3 / 10.