Magna International Operating Margin vs. Net Income

MGA Stock  USD 64.60  0.38  0.58%   
Taking into consideration Magna International's profitability measurements, Magna International is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in March. Profitability indicators assess Magna International's ability to earn profits and add value for shareholders.

Magna International Operating Profit Margin

0.0703

At present, Magna International's Price To Sales Ratio is projected to slightly decrease based on the last few years of reporting. The current year's EV To Sales is expected to grow to 0.57, whereas Days Sales Outstanding is forecasted to decline to 48.50. At present, Magna International's Net Income is projected to decrease significantly based on the last few years of reporting. The current year's Net Income Applicable To Common Shares is expected to grow to about 1.2 B, whereas Accumulated Other Comprehensive Income is projected to grow to (726.4 M). At present, Magna International's Pretax Profit Margin is projected to slightly decrease based on the last few years of reporting. The current year's Operating Profit Margin is expected to grow to 0.07, whereas Gross Profit is forecasted to decline to about 3 B.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.180.1031
Way Up
Pretty Stable
Net Profit Margin0.02740.0197
Significantly Up
Slightly volatile
Operating Profit Margin0.07030.0502
Significantly Up
Slightly volatile
Pretax Profit Margin0.05760.0311
Way Up
Slightly volatile
Return On Assets0.04140.0269
Way Up
Slightly volatile
Return On Equity0.07290.0676
Significantly Up
Slightly volatile
For Magna International profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Magna International to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Magna International utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Magna International's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Magna International over time as well as its relative position and ranking within its peers.
Check out Correlation Analysis.
For information on how to trade Magna Stock refer to our How to Trade Magna Stock guide.The next projected EPS of Magna International is estimated to be 1.631 with future projections ranging from a low of 1.56 to a high of 1.75. Magna International's most recent 12-month trailing earnings per share (EPS TTM) is at 2.93. Please be aware that the consensus of earnings estimates for Magna International is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
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Magna International is projected to generate 1.631 in earnings per share on the 30th of June 2026. Magna International earnings estimates show analyst consensus about projected Magna International EPS (Earning Per Share). It derives the highest and the lowest estimates based on Magna International's historical volatility. Many public companies, such as Magna International, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm. By analyzing Magna International's earnings estimates, investors can diagnose different trends across Magna International's analyst sentiment over time as well as compare current estimates against different timeframes.
Is Automotive Parts & Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Magna International. Expected growth trajectory for Magna significantly influences the price investors are willing to assign. The financial industry is built on trying to define current growth potential and future valuation accurately. Comprehensive Magna International assessment requires weighing all these inputs, though not all factors influence outcomes equally.
Quarterly Earnings Growth
(0.36)
Dividend Share
1.95
Earnings Share
2.93
Revenue Per Share
149.13
Quarterly Revenue Growth
0.021
Investors evaluate Magna International using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Magna International's intrinsic value - the estimated true worth - helps identify when the stock trades at a discount or premium to fair value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. External factors like market trends, sector rotation, and investor psychology can cause Magna International's market price to deviate significantly from intrinsic value.
Understanding that Magna International's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Magna International represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Conversely, Magna International's market price signifies the transaction level at which participants voluntarily complete trades.

Magna International Net Income vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Magna International's current stock value. Our valuation model uses many indicators to compare Magna International value to that of its competitors to determine the firm's financial worth.
Magna International is rated below average in operating margin category among its peers. It is considered to be number one stock in net income category among its peers making up about  12,404,589,515  of Net Income per Operating Margin. At present, Magna International's Operating Profit Margin is projected to slightly decrease based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Magna International's earnings, one of the primary drivers of an investment's value.

Magna Net Income vs. Operating Margin

Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Magna International

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.07 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Magna International

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
843.51 M
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.

Magna Net Income Comparison

Magna International is currently under evaluation in net income category among its peers.

Magna International Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Magna International, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Magna International will eventually generate negative long term returns. The profitability progress is the general direction of Magna International's change in net profit over the period of time. It can combine multiple indicators of Magna International, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-764.6 M-726.4 M
Operating Income2.1 B1.3 B
Income Before Tax1.3 B1.1 B
Total Other Income Expense Net-816 M-775.2 M
Net Income843.5 M924.7 M
Income Tax Expense432.4 M311.2 M
Net Income Applicable To Common Shares829 M1.2 B
Net Income From Continuing Ops986.4 M1.2 B
Net Interest Income-189.9 M-180.4 M
Interest Income112.7 M118.3 M
Change To Netincome272.6 M286.2 M
Net Income Per Share 2.99  1.64 
Income Quality 4.34  4.56 
Net Income Per E B T 0.63  0.54 

Magna Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Magna International. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Magna International position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Magna International's important profitability drivers and their relationship over time.

Magna International Earnings Estimation Breakdown

The calculation of Magna International's earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of Magna International is estimated to be 1.631 with the future projection ranging from a low of 1.56 to a high of 1.75. Please be aware that this consensus of annual earnings estimates for Magna International is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
0.0
1.56
Lowest
Expected EPS
1.631
1.75
Highest

Magna International Earnings Projection Consensus

Suppose the current estimates of Magna International's value are higher than the current market price of the Magna International stock. In this case, investors may conclude that Magna International is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and Magna International's stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 30th of June 2026Current EPS (TTM)
1983.66%
0.0
1.631
2.93

Magna International Earnings History

Earnings estimate consensus by Magna International analysts from Wall Street is used by the market to judge Magna International's stock performance. Investors also use these earnings estimates to evaluate and project the stock performance into the future in order to make their investment decisions. However, we suggest analyzing not only Magna International's upcoming profit reports and earnings-per-share forecasts but also comparing them to our different valuation methods.

Magna International Quarterly Gross Profit

1.34 Billion

At present, Magna International's Retained Earnings are projected to increase significantly based on the last few years of reporting. The current year's Earnings Yield is expected to grow to 0.06, whereas Price Earnings Ratio is forecasted to decline to 10.34. The current year's Common Stock Shares Outstanding is expected to grow to about 354.4 M. The current year's Net Income Applicable To Common Shares is expected to grow to about 1.2 B.
Hype
Prediction
LowEstimatedHigh
64.5167.3770.23
Details
Intrinsic
Valuation
LowRealHigh
58.1470.3673.22
Details
Naive
Forecast
LowNextHigh
64.7267.5970.45
Details
20 Analysts
Consensus
LowTargetHigh
61.0867.1274.50
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Magna International. Your research has to be compared to or analyzed against Magna International's peers to derive any actionable benefits. When done correctly, Magna International's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Magna International. Note that many institutional investors and large investment bankers can move markets due to the volume of Magna assets they manage. They also follow analysts to some degree and often drive overall investor sentiments towards Magna International. With so many stockholders watching consensus numbers, the difference between actual and projected earnings is one of the most critical factors driving Magna International's stock price in the short term.

Magna International Earnings per Share Projection vs Actual

Actual Earning per Share of Magna International refers to what the company shows during its earnings calls or quarterly reports. The Expected EPS is what analysts covering Magna International predict the company's earnings will be in the future. The higher the earnings per share of Magna International, the better is its profitability. While calculating the Earning per Share, we use the weighted ratio, as the number of shares outstanding can change over time.

Magna International Estimated Months Earnings per Share

For an investor who is primarily interested in generating an income out of investing in entities such as Magna International, the EPS ratio can tell if the company is intending to increase its current dividend. Although EPS is an essential tool for investors, it should not be used in isolation. EPS of Magna International should always be considered in relation to other companies to make a more educated investment decision.

Magna Quarterly Analyst Estimates and Surprise Metrics

Earnings surprises can significantly impact Magna International's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate.
Reported
Fiscal Date
Estimated EPS
Reported EPS
Surprise
null
nullnullnullnull
2026-02-13
2025-12-311.772.180.4123 
2025-11-07
2025-09-301.21.330.1310 
2025-08-01
2025-06-301.151.440.2925 
2025-05-02
2025-03-310.860.78-0.08
2025-02-14
2024-12-311.521.690.1711 
2024-11-01
2024-09-301.41.28-0.12
2024-08-02
2024-06-301.441.35-0.09
2024-05-03
2024-03-311.251.08-0.1713 
2024-02-09
2023-12-311.481.33-0.1510 
2023-11-03
2023-09-301.331.460.13
2023-08-04
2023-06-301.231.50.2721 
2023-05-05
2023-03-310.851.110.2630 
2023-02-10
2022-12-311.060.91-0.1514 
2022-11-04
2022-09-301.131.07-0.06
2022-07-29
2022-06-300.940.83-0.1111 
2022-04-29
2022-03-311.11.280.1816 
2022-02-11
2021-12-310.861.30.4451 
2021-11-05
2021-09-300.640.56-0.0812 
2021-08-06
2021-06-301.391.40.01
2021-05-06
2021-03-311.571.860.2918 
2021-02-19
2020-12-312.032.830.839 
2020-11-06
2020-09-301.351.950.644 
2020-08-07
2020-06-30-1.63-1.71-0.08
2020-05-07
2020-03-310.81.40.675 
2020-02-21
2019-12-311.331.410.08
2019-11-08
2019-09-301.331.410.08
2019-08-08
2019-06-301.541.590.05
2019-05-09
2019-03-311.691.63-0.06
2019-02-22
2018-12-311.61.630.03
2018-11-08
2018-09-301.511.560.05
2018-08-08
2018-06-301.741.67-0.07
2018-05-10
2018-03-311.691.840.15
2018-02-22
2017-12-311.551.570.02
2017-11-09
2017-09-301.321.370.05
2017-08-11
2017-06-301.471.490.02
2017-05-11
2017-03-311.341.540.214 
2017-02-24
2016-12-311.361.31-0.05
2016-11-03
2016-09-301.21.290.09
2016-08-05
2016-06-301.341.410.07
2016-05-05
2016-03-311.191.220.03
2016-02-26
2015-12-311.111.220.11
2015-11-05
2015-09-301.090.97-0.1211 
2015-08-07
2015-06-301.181.190.01
2015-05-07
2015-03-311.11.120.02
2015-02-25
2014-12-311.121.260.1412 
2014-11-05
2014-09-300.991.110.1212 
2014-08-08
2014-06-301.111.190.08
2014-05-08
2014-03-310.991.00.01
2014-03-03
2013-12-310.771.170.451 
2013-11-06
2013-09-300.670.770.114 
2013-08-09
2013-06-300.820.890.07
2013-05-10
2013-03-310.720.80.0811 
2013-03-01
2012-12-310.570.840.2747 
2012-11-08
2012-09-300.510.560.05
2012-08-09
2012-06-300.640.740.115 
2012-05-10
2012-03-310.650.730.0812 
2012-02-23
2011-12-310.510.730.2243 
2011-11-03
2011-09-300.490.47-0.02
2011-08-05
2011-06-300.680.56-0.1217 
2011-05-04
2011-03-310.570.670.117 
2011-02-23
2010-12-310.510.5-0.01
2010-11-04
2010-09-300.380.520.1436 
2010-08-06
2010-06-300.360.70.3494 
2010-05-06
2010-03-310.20.460.26130 
2010-02-25
2009-12-310.21-0.01-0.22104 
2009-11-05
2009-09-30-0.050.110.16320 
2009-08-07
2009-06-30-0.25-0.32-0.0728 
2009-05-06
2009-03-31-0.39-0.45-0.0615 
2009-02-24
2008-12-31-0.17-0.170.0
2008-11-04
2008-09-300.220.04-0.1881 
2008-08-06
2008-06-300.460.510.0510 
2008-05-01
2008-03-310.380.450.0718 
2008-02-27
2007-12-310.430.36-0.0716 
2007-11-06
2007-09-300.340.380.0411 
2007-08-09
2007-06-300.460.640.1839 
2007-05-10
2007-03-310.340.490.1544 
2007-02-27
2006-12-310.290.25-0.0413 
2006-11-07
2006-09-300.320.23-0.0928 
2006-08-08
2006-06-300.50.49-0.01
2006-05-02
2006-03-310.440.50.0613 
2006-02-28
2005-12-310.450.460.01
2005-11-08
2005-09-300.350.350.0
2005-08-10
2005-06-300.470.480.01
2005-05-03
2005-03-310.430.42-0.01
2005-02-28
2004-12-310.430.450.02
2004-11-04
2004-09-300.330.340.01
2004-08-05
2004-06-300.490.48-0.01
2004-05-06
2004-03-310.440.460.02
2004-02-26
2003-12-310.410.420.01
2003-11-05
2003-09-300.30.310.01
2003-08-06
2003-06-300.420.440.02
2003-05-08
2003-03-310.360.410.0513 
2003-02-25
2002-12-310.350.360.01
2002-11-07
2002-09-300.30.310.01
2002-08-07
2002-06-300.460.45-0.01
2002-05-09
2002-03-310.420.41-0.01
2002-02-19
2001-12-310.320.330.01
2001-11-07
2001-09-300.240.260.02
2001-08-08
2001-06-300.350.410.0617 
2001-05-03
2001-03-310.260.390.1350 
2001-02-22
2000-12-310.30.320.02
2000-11-17
2000-09-300.250.23-0.02
2000-08-18
2000-06-300.380.380.0
2000-05-18
2000-03-310.380.390.01
2000-02-22
1999-12-310.340.340.0
1999-11-08
1999-09-300.210.220.01
1999-08-12
1999-06-300.330.330.0
1999-05-17
1999-03-310.290.310.02
1998-12-10
1998-09-300.40.440.0410 
1998-09-21
1998-06-300.330.31-0.02
1998-06-10
1998-03-310.440.520.0818 
1998-03-11
1997-12-310.320.330.01
1997-12-04
1997-09-300.330.32-0.01
1997-09-22
1997-06-300.350.33-0.02
1997-06-12
1997-03-310.40.40.0
1997-03-12
1996-12-310.320.3-0.02
1996-12-05
1996-09-300.330.340.01
1996-09-23
1996-06-300.310.310.0
1996-06-14
1996-03-310.260.260.0
1996-03-08
1995-12-310.280.26-0.02
1995-09-15
1995-06-300.260.340.0830 
1995-06-05
1995-03-310.320.330.01
1995-02-28
1994-12-310.290.30.01

Use Magna International in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Magna International position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Magna International will appreciate offsetting losses from the drop in the long position's value.

Magna International Pair Trading

Magna International Pair Trading Analysis

The ability to find closely correlated positions to Magna International could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Magna International when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Magna International - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Magna International to buy it.
The correlation of Magna International is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Magna International moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Magna International moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Magna International can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Magna International position

In addition to having Magna International in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

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Apparel
Apparel Theme
Companies manufacturing textile accessories and apparel products. The Apparel theme has 22 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Apparel Theme or any other thematic opportunities.
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When determining whether Magna International offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Magna International's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Magna International Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Magna International Stock:
Check out Correlation Analysis.
For information on how to trade Magna Stock refer to our How to Trade Magna Stock guide.
You can also try the Bonds Directory module to find actively traded corporate debentures issued by US companies.
To fully project Magna International's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Magna International at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Magna International's income statement, its balance sheet, and the statement of cash flows.
Potential Magna International investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Magna International investors may work on each financial statement separately, they are all related. The changes in Magna International's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Magna International's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.