Market Analysts see Magna International Inc. [MGA] falling to $58. Time to buy?

Magna International Inc. [NYSE: MGA] traded at a high on Thursday, posting a 0.44 gain after which it closed the day’ session at $54.64. The company report on February 13, 2024 at 6:30 AM that TSX Accepts Notice of Intention to Make Normal Course Issuer Bid.

The primary purposes of the Bid are purchases for cancellation, as well as purchases to fund Magna’s stock-based compensation awards or programs and/or Magna’s obligations to its deferred profit sharing plans. Magna may purchase its Common Shares, from time to time, if it believes that the market price of its Common Shares is attractive and that the purchase would be an appropriate use of corporate funds and in the best interests of the Corporation.

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The results of the trading session contributed to over 4089716 shares changing hands. Over the past one week, the price volatility of Magna International Inc. stands at 1.97% while the volatility over the past one month is 2.33%.

The market cap for MGA stock reached $15.67 billion, with 286.55 million shares outstanding and 268.03 million shares in the current float. Compared to the average trading volume of 1.11M shares, MGA reached a trading volume of 4089716 in the most recent trading day, which is why market watchdogs consider the stock to be active.

What do top market gurus say about Magna International Inc. [MGA]?

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for MGA shares is $62.88 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on MGA stock is a recommendation set at 2.30. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

Goldman have made an estimate for Magna International Inc. shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on January 03, 2024. While these analysts kept the previous recommendation, UBS raised their target price to Neutral. The new note on the price target was released on September 13, 2023, representing the official price target for Magna International Inc. stock. Previously, the target price had yet another raise to $61, while Scotiabank analysts kept a Sector Perform rating on MGA stock. On July 06, 2023, analysts increased their price target for MGA shares from 65 to 85.

The Average True Range (ATR) for Magna International Inc. is set at 1.50, with the Price to Sales ratio for MGA stock in the period of the last 12 months amounting to 0.37. The Price to Book ratio for the last quarter was 1.32, with the Price to Cash per share for the same quarter was set at 4.18.

How has MGA stock performed recently?

Magna International Inc. [MGA] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 0.94. With this latest performance, MGA shares dropped by -2.45% in over the last four-week period, additionally sinking by -2.15% over the last 6 months – not to mention a drop of -1.37% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for MGA stock in for the last two-week period is set at 44.70, with the RSI for the last a single of trading hit 43.28, and the three-weeks RSI is set at 46.13 for Magna International Inc. [MGA]. The present Moving Average for the last 50 days of trading for this stock 56.46, while it was recorded at 54.78 for the last single week of trading, and 55.52 for the last 200 days.

Magna International Inc. [MGA]: Deeper insight into the fundamentals

Magna International Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.71 and a Current Ratio set at 1.06.

Earnings analysis for Magna International Inc. [MGA]

With the latest financial reports released by the company, Magna International Inc. posted 1.11/share EPS, while the average EPS was predicted by analysts to be reported at 0.85/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 30.60%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for MGA. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Magna International Inc. go to 24.20%.

Insider trade positions for Magna International Inc. [MGA]

The top three institutional holders of MGA stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2815%. BLACKROCK INC., holding 1.03 billion shares of the stock with an approximate value of $176.59 billion in MGA stocks shares; and BERKSHIRE HATHAWAY INC, currently with $156.75 billion in MGA stock with ownership which is approximately 5.8325%.