
TSE:MG
This summary was created by AI, based on 3 opinions in the last 12 months.
Magna International (MG-T) has faced challenges since its heavy investment in electric vehicles in 2021, largely due to unmet demand and the negative effects of tariffs. However, the company has taken significant steps to address these issues, especially in its partnerships with Chinese OEMs, leading to a recovery in market share within innovative fields like smart door handles and driverless technology. Recently, the company reported a strong quarterly performance that exceeded market expectations, highlighting its resilience amid headwinds from CUSMA and ongoing complexities in auto supply chains. The automotive sector, which has been under pressure from tariffs, is showing renewed vigor as investors begin to return, signaling a potential recovery for stocks in this space.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company is cheap based on metrics. Solid balance sheet, and it is well run. Could buy here. The chip shortage won’t last forever. They are well positioned for the move towards EVs. Looks fine to enter for longer term investors. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company reported an EPS of $4.20 In 2020 and is expected to rise to $4.70 in 2021. Analysts expect $6.62 for 2022. The stock is quite attractive today based on a PEG of 0.4. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company has numerous EV partnerships with various makers and is a supplier to car makers. It also has more revenues from outside of North America than in North America. 5i is comfortable with buying today at these levels. Unlock Premium - Try 5i Free