Magna International Stock Fundamentals
| MG Stock | CAD 63.63 0.85 1.35% |
Magna International fundamentals help investors to digest information that contributes to Magna International's financial success or failures. It also enables traders to predict the movement of Magna Stock. The fundamental analysis module provides a way to measure Magna International's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Magna International stock.
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Magna International Company Return On Asset Analysis
Magna International's Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Current Magna International Return On Asset | 0.0393 |
Most of Magna International's fundamental indicators, such as Return On Asset, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Magna International is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
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Based on the latest financial disclosure, Magna International has a Return On Asset of 0.0393. This is 96.39% lower than that of the Specialty Retail sector and 94.96% lower than that of the Consumer Discretionary industry. The return on asset for all Canada stocks is 128.07% lower than that of the firm.
Magna International Fundamental Drivers Relationships
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. You can analyze the relationship between different fundamental ratios across Magna International competition to find correlations between indicators driving Magna International's intrinsic value. More Info.Magna International is considered to be number one stock in return on equity category among its peers. It also is considered to be number one stock in return on asset category among its peers reporting about 0.41 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Magna International is roughly 2.41 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Magna International by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Magna International's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Magna Return On Asset Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Magna International's direct or indirect competition against its Return On Asset to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Magna International could also be used in its relative valuation, which is a method of valuing Magna International by comparing valuation metrics of similar companies.Magna International is currently under evaluation in return on asset category among its peers.
Magna Fundamentals
| Return On Equity | 0.0949 | |||
| Return On Asset | 0.0393 | |||
| Profit Margin | 0.03 % | |||
| Operating Margin | 0.05 % | |||
| Current Valuation | 27.42 B | |||
| Shares Outstanding | 287.34 M | |||
| Shares Owned By Insiders | 6.10 % | |||
| Shares Owned By Institutions | 76.62 % | |||
| Number Of Shares Shorted | 4.85 M | |||
| Price To Earning | 26.34 X | |||
| Price To Book | 1.06 X | |||
| Price To Sales | 0.43 X | |||
| Revenue | 42.8 B | |||
| Gross Profit | 4.65 B | |||
| EBITDA | 3.98 B | |||
| Net Income | 1.29 B | |||
| Cash And Equivalents | 720 M | |||
| Cash Per Share | 5.76 X | |||
| Total Debt | 7.22 B | |||
| Debt To Equity | 0.45 % | |||
| Current Ratio | 1.30 X | |||
| Book Value Per Share | 42.72 X | |||
| Cash Flow From Operations | 3.15 B | |||
| Short Ratio | 3.58 X | |||
| Earnings Per Share | 5.26 X | |||
| Price To Earnings To Growth | 0.45 X | |||
| Target Price | 48.01 | |||
| Number Of Employees | 162 K | |||
| Beta | 1.6 | |||
| Market Capitalization | 18.28 B | |||
| Total Asset | 32.26 B | |||
| Retained Earnings | 9.3 B | |||
| Working Capital | 803 M | |||
| Annual Yield | 0.04 % | |||
| Five Year Return | 2.57 % | |||
| Net Asset | 32.26 B | |||
| Last Dividend Paid | 1.9 |
About Magna International Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Magna International's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Magna International using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Magna International based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.Magna International Inc. designs, engineers, and manufactures components, assemblies, systems, subsystems, and modules for original equipment manufacturers of vehicles and light trucks worldwide. Magna International Inc. was founded in 1957 and is headquartered in Aurora, Canada. MAGNA INTERNATIONAL operates under Auto Parts classification in Canada and is traded on Toronto Stock Exchange. It employs 161000 people.
Pair Trading with Magna International
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.Moving together with Magna Stock
| 0.7 | FFH-PH | Fairfax Financial | PairCorr |
| 0.78 | BMO-PE | Bank of Montreal Earnings Call This Week | PairCorr |
| 0.87 | BMO | Bank of Montreal Earnings Call This Week | PairCorr |
| 0.85 | RY-PS | Royal Bank Earnings Call This Week | PairCorr |
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.Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Magna International. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as various price indices. To learn how to invest in Magna Stock, please use our How to Invest in Magna International guide.You can also try the Premium Stories module to follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope.