Magna Int'l. (A) (MG.TO)

They announced a partnership with Lift on self driving cars. He models 10% share price growth. They trade at a pretty good discount to peers.

Magna is an auto parts manufacturer. It is also in Europe. He has warm feelings for Magna. If you own it, you would probably do OK with it.

News of partnering with Lyft on driverless cars: A very good move for Magna, innovative and the market will like it.

With the steel and aluminum tariff possible is this at risk? He thinks the auto sector has already been facing headwinds lately. This company is cheap relative to the peer group and it is growing faster. If you own it, it is on the long term moving average. If it can hold at these levels, you should continue to hold it. He thinks it needs to hold $51 US.

They’ve diversified well and can do well with electric, traditional and hybrid cars. They’ve also diversified geographically. Europe was strong in their last quarter. They also raised their dividend. If you own the shares, definitely keep them. But before buying more shares, wait to see what is happening with NAFTA.

The company keeps making gains. 10% earnings growth. They increased their dividend by 20%. We are not at peak auto yet. A very good product mix for what the marketplace is looking for. A top pick for him in the show. He would hold the fear on the NAFTA thing.

Does global diversification help this company? It also makes cars in European markets which can often run in different cycles. This should help it perform better than most Canadian competitors.

A Canadian leader in the autos supply space. From a timing perspective you might want to wait a little. NAFTA and those negotiations is impacting them. He things in terms of valuation and execution they are an A-plus. Their strong balance sheet gives them flexibility for an acquisition.

The worry is that U.S. auto sales have peaked. This worry has been there for a while and the stock has done well throughout it. Magna is a classic example of buying a great business at a great price. The stock has made a real move upward, with naysayers saying auto sales throughout. The stock price is still low, at 9x P/E, with a yield of 2.1%. The growth perspective is good because they are diversified, selling to all the major manufacturers, and they made great bets on the electrification hybrids and they’ve spent money on the driverless cars. (Analysts' price target is $78.43).

Just had their investors day with very good guidance. Balance sheet is spectacular. Generating strong cash flows. 7 to 8 times earnings. You will probably see double digit growth. He thinks tit could get to $100.

Car companies in the US have done well and so has this one. We are still in an upward trend. We want it to break above the recent high to about $75. Seasonally car companies are getting stronger through to about April.

It has been trading in an uptrend channel, shows volatility. Currently looking as though it is testing the bottom of the channel at about $65. If it doesn’t break $65 with too much conviction, it looks safe. This week’s drop could be a buying opportunity.

Doesn't think will NAFTA be a big issue, because the car industry is so integrated among countries. Improving ROIC, now at 11%. Good dividend. You can't go wrong.

He regrets not owning it. The issue is the 17 million cars sold in North America and this seems like a peak to him. This is not when you want to buy auto. He prefers material stocks to this one.

This is a global business. It has lots of business in Europe. It’s the largest, independent, complete vehicle assembler. They are putting whole cars together. They're going to grow the business 25% a year over the next 3 years. It is growing at a faster growth rate than the industry by about 25%, but trading at a discounted earnings multiple to the industry, so it's cheaper, but growing faster. He would be comfortable owning this.