Update shared on 14 Nov 2025
Fair value Increased 2.95%Analysts have raised their fair value estimate for Magna International by approximately $2, bringing it to $69.38. This change reflects slightly higher revenue growth and improved profit margin expectations.
What's in the News
- Magna International's Board of Directors has authorized a new share buyback plan, to be effective from October 31, 2025. The authorization allows for the repurchase of up to 25,300,000 shares, subject to Toronto Stock Exchange approval. The program aims to cancel purchased shares and fund stock-based compensation, and will remain valid until November 6, 2026. (Company Announcement)
- The company updated its earnings guidance for the full year 2025 and now expects total sales between $41.1 billion and $42.1 billion, up from the previous range of $40.4 billion to $42.0 billion. (Company Guidance)
- Magna celebrates its first full year of scaled global production of its Driver Monitoring System, launched with a Germany-based OEM in China. The technology, which won a 2024 Automotive News PACE Award, supports driver and occupant safety with advanced camera and sensor systems. (Company Update)
- Magna has entered into an agreement with XPENG to assemble two new smart electric vehicles for the European market. Production will begin in the third quarter of 2025 and marks the start of a long-term collaboration for future models. (Client Announcement)
- Philip D. Fracassa has been appointed as Magna International's new Chief Financial Officer. He succeeds Patrick McCann, who will remain in an advisory role until February 2026. (Executive Change)
Valuation Changes
- The Fair Value Estimate has risen slightly from CA$67.39 to CA$69.38, reflecting improved outlooks.
- The Discount Rate has increased moderately from 8.22% to 8.53%.
- Revenue Growth expectations have edged up from 1.99% to 2.14% annually.
- Net Profit Margin projections have improved, moving from 3.87% to 4.03%.
- The Future P/E Ratio has decreased marginally from 9.46x to 9.32x.
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