Magna International (NYSE:MGA) Shares Break Above 50-Day Moving Average Following Analyst Downgrade

Magna International Inc. (NYSE:MGA) (TSE:MG) shares passed above its fifty day moving average during trading on Monday after Barclays raised their price target on the stock from $68.00 to $70.00. The stock has a fifty day moving average of $64.89 and traded as high as $66.18. Barclays currently has an equal weight rating on the stock. Magna International shares last traded at $65.4320, with a volume of 988,636 shares.

Other research analysts have also recently issued research reports about the stock. TD lowered their price target on shares of Magna International from $80.00 to $77.00 and set a “buy” rating for the company in a report on Thursday, October 8th. UBS Group upped their price objective on Magna International from $62.00 to $64.00 and gave the stock a “neutral” rating in a report on Thursday, July 9th. Wells Fargo & Company raised their price target on Magna International from $62.00 to $67.00 and gave the company an “equal weight” rating in a research report on Monday, August 3rd. Morgan Stanley upped their target price on Magna International from $65.00 to $69.00 and gave the stock an “equal weight” rating in a research report on Tuesday, August 18th. Finally, JPMorgan Chase & Co. cut shares of Magna International from an “overweight” rating to a “neutral” rating and decreased their price objective for the company from $77.00 to $72.00 in a research report on Tuesday, September 15th. One investment analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, twelve have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $68.73.

Institutional Trading of Magna International

Hedge funds and other institutional investors have recently modified their holdings of the company. ARGA Investment Management LP grew its holdings in shares of Magna International by 11.0% in the 3rd quarter. ARGA Investment Management LP now owns 4,030,060 shares of the company’s stock worth $256,706,000 after acquiring an additional 397,793 shares during the last quarter. TD Waterhouse Canada Inc. grew its position in Magna International by 10.7% in the second quarter. TD Waterhouse Canada Inc. now owns 2,130,562 shares of the company’s stock worth $134,577,000 after acquiring an additional 206,433 shares in the last quarter. Amundi raised its holdings in Magna International by 4.2% during the second quarter. Amundi now owns 1,781,357 shares of the company’s stock valued at $117,778,000 after buying an additional 71,927 shares in the last quarter. Hillsdale Investment Management Inc. grew its holdings in Magna International by 14.8% during the first quarter. Hillsdale Investment Management Inc. now owns 832,575 shares of the company’s stock valued at $46,486,000 after purchasing an additional 107,150 shares during the last quarter. Finally, QV Investors Inc. grew its position in shares of Magna International by 33.3% in the third quarter. QV Investors Inc. now owns 739,472 shares of the company’s stock valued at $47,220,000 after purchasing an additional 184,631 shares during the last quarter. Institutional investors own 67.49% of the company’s stock.

Magna International Trading Up 2.5%

The company has a debt-to-equity ratio of 0.38, a current ratio of 1.22 and a quick ratio of 0.88. The company has a market capitalization of $16.99 billion, a price-to-earnings ratio of 20.97, a price-to-earnings-growth ratio of 0.68 and a beta of 1.46. The business has a fifty day moving average price of $64.89 and a 200 day moving average price of $62.70.

Magna International (NYSE:MGA) (TSE:MG) last posted its earnings results on Friday, October 30th. The company reported $1.83 earnings per share for the quarter, beating analysts’ consensus estimates of $1.58 by $0.25. Magna International had a net margin of 1.80% and a return on equity of 15.04%. The business had revenue of $9.86 billion for the quarter, compared to analysts’ expectations of $10.01 billion. During the same quarter in the previous year, the firm posted $1.33 earnings per share. The firm’s revenue for the quarter was down 3.9% on a year-over-year basis. On average, equities analysts expect that Magna International Inc. will post 7.03 EPS for the current fiscal year.

Magna International Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, November 27th. Shareholders of record on Friday, November 13th will be paid a $0.4950 dividend. The ex-dividend date of this dividend is Friday, November 13th. This represents a $1.98 dividend on an annualized basis and a dividend yield of 3.0%. Magna International’s payout ratio is currently 63.46%.

About Magna International

Magna International Inc is a global automotive supplier headquartered in Aurora, Ontario, Canada. The company designs, engineers and manufactures components and systems for automakers, serving vehicle manufacturers across North America, Europe and Asia.

Its products and services span several automotive categories, including body and chassis structures, exterior systems, powertrain and driveline components, seating, vehicle electronics, lighting, mirrors, and advanced driver assistance technologies.