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MG: Expansion Initiatives and Leadership Changes Will Define Balanced Year Ahead

Update shared on 28 Nov 2025

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AnalystConsensusTarget's Fair Value
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1Y
7.6%
7D
-0.5%

Analysts have modestly reaffirmed Magna International's price target at $69.38, citing slight adjustments in discount rate and future price-to-earnings estimates as the foundation for their outlook.

What's in the News

  • GAC and Magna have launched a vehicle assembly program to accelerate electric mobility in Europe, with serial production of GAC’s electric SUV AION V now underway at Magna’s Graz facility. The AION V has debuted in Finland, Poland, and Portugal, with future market expansion planned. (Key Developments)
  • Magna is expanding operations in China by opening a new facility in Wuhu’s Jiujiang Economic Development Zone to produce electric drive systems for automakers, beginning with Chery and creating about 200 new jobs. (Key Developments)
  • The Board of Directors of Magna International has authorized a share buyback plan and has announced a share repurchase program for up to 25.3 million shares, pending Toronto Stock Exchange approval. (Key Developments)
  • Magna International has raised its earnings guidance for 2025, with expected total sales now projected between $41.1 billion and $42.1 billion. (Key Developments)
  • Philip D. Fracassa has been appointed as Chief Financial Officer, succeeding long-time CFO Patrick McCann, who will remain in an advisory role until February 2026. (Key Developments)

Valuation Changes

  • Consensus Analyst Price Target remains steady at CA$69.38, with no change from the previous estimate.
  • Discount Rate has decreased slightly from 8.53% to 8.49%.
  • Revenue Growth projection is virtually unchanged, holding at approximately 2.14%.
  • Net Profit Margin remains stable, with a minor increase from 4.03% to 4.03%.
  • Future P/E ratio shows a marginal decline from 9.32x to 9.31x.

Disclaimer

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