Magna International Inc. (NYSE:MGA) to Issue $0.48 Quarterly Dividend

Magna International Inc. (NYSE:MGA) (TSE:MG) declared a quarterly dividend on Friday, August 2nd, Zacks reports. Investors of record on Friday, August 16th will be given a dividend of 0.475 per share on Friday, August 30th. This represents a $1.90 dividend on an annualized basis and a dividend yield of 4.70%. The ex-dividend date is Friday, August 16th.

Magna International has increased its dividend payment by an average of 4.8% per year over the last three years. Magna International has a payout ratio of 29.1% meaning its dividend is sufficiently covered by earnings. Research analysts expect Magna International to earn $6.87 per share next year, which means the company should continue to be able to cover its $1.90 annual dividend with an expected future payout ratio of 27.7%.

Magna International Stock Down 6.0 %

Shares of NYSE:MGA traded down $2.58 during mid-day trading on Friday, reaching $40.43. 3,694,438 shares of the stock were exchanged, compared to its average volume of 1,528,292. The company has a quick ratio of 0.76, a current ratio of 1.09 and a debt-to-equity ratio of 0.38. The company has a market cap of $11.62 billion, a P/E ratio of 11.49, a P/E/G ratio of 0.59 and a beta of 1.59. Magna International has a one year low of $40.11 and a one year high of $65.27. The stock’s 50 day simple moving average is $43.40 and its 200-day simple moving average is $49.21.

Magna International (NYSE:MGA) (TSE:MG) last posted its quarterly earnings data on Friday, August 2nd. The company reported $1.35 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.46 by ($0.11). The firm had revenue of $10.96 billion for the quarter, compared to the consensus estimate of $11.01 billion. Magna International had a return on equity of 12.96% and a net margin of 2.35%. The firm’s quarterly revenue was down .2% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.50 earnings per share. As a group, equities research analysts predict that Magna International will post 5.68 EPS for the current year.

Analysts Set New Price Targets

Several research analysts recently commented on MGA shares. National Bankshares reduced their price target on Magna International from $60.00 to $57.00 and set a “market perform” rating for the company in a research report on Monday, May 6th. TD Securities reduced their price target on Magna International from $62.00 to $57.00 and set a “buy” rating for the company in a research report on Monday, July 15th. Wells Fargo & Company reduced their price target on Magna International from $49.00 to $46.00 and set an “equal weight” rating for the company in a research report on Tuesday, June 25th. Royal Bank of Canada cut their price objective on Magna International from $59.00 to $57.00 and set an “outperform” rating for the company in a research report on Monday, July 29th. Finally, Bank of America cut their price objective on Magna International from $65.00 to $62.00 and set a “buy” rating for the company in a research report on Monday, July 22nd. Twelve investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $53.82.

Magna International Company Profile

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.