Magna International Inc. (NYSE:MGA) Sees Significant Increase in Short Interest

Magna International Inc. (NYSE:MGA) (TSE:MG) was the target of a significant growth in short interest in the month of February. As of February 28th, there was short interest totalling 15,830,000 shares, a growth of 67.3% from the February 13th total of 9,460,000 shares. Based on an average daily volume of 1,740,000 shares, the short-interest ratio is currently 9.1 days. Approximately 6.0% of the shares of the company are sold short.

Magna International Trading Up 2.7 %

MGA stock traded up $0.97 during midday trading on Friday, reaching $36.45. 1,677,639 shares of the company traded hands, compared to its average volume of 1,685,974. Magna International has a 52-week low of $33.30 and a 52-week high of $56.12. The company has a debt-to-equity ratio of 0.35, a quick ratio of 0.77 and a current ratio of 1.08. The business has a 50 day moving average of $38.88 and a 200-day moving average of $41.18. The firm has a market capitalization of $10.27 billion, a price-to-earnings ratio of 10.38, a P/E/G ratio of 0.63 and a beta of 1.65.

Magna International (NYSE:MGA) (TSE:MG) last released its earnings results on Friday, February 14th. The company reported $1.69 EPS for the quarter, beating analysts’ consensus estimates of $1.46 by $0.23. The firm had revenue of $10.63 billion for the quarter, compared to analysts’ expectations of $10.32 billion. Magna International had a return on equity of 12.78% and a net margin of 2.36%. The company’s quarterly revenue was up 1.7% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.33 earnings per share. As a group, sell-side analysts expect that Magna International will post 5.87 earnings per share for the current fiscal year.

Magna International Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 14th. Stockholders of record on Friday, February 28th were paid a dividend of $0.485 per share. This is a boost from Magna International’s previous quarterly dividend of $0.48. The ex-dividend date was Friday, February 28th. This represents a $1.94 dividend on an annualized basis and a dividend yield of 5.32%. Magna International’s dividend payout ratio is currently 55.27%.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. Avior Wealth Management LLC grew its stake in shares of Magna International by 2,400.0% during the fourth quarter. Avior Wealth Management LLC now owns 625 shares of the company’s stock valued at $26,000 after buying an additional 600 shares during the last quarter. LRI Investments LLC grew its stake in Magna International by 2,126.5% in the fourth quarter. LRI Investments LLC now owns 757 shares of the company’s stock worth $32,000 after purchasing an additional 723 shares in the last quarter. Millstone Evans Group LLC bought a new position in Magna International in the fourth quarter worth approximately $33,000. Lindbrook Capital LLC grew its stake in Magna International by 43.1% in the fourth quarter. Lindbrook Capital LLC now owns 1,036 shares of the company’s stock worth $43,000 after purchasing an additional 312 shares in the last quarter. Finally, Thurston Springer Miller Herd & Titak Inc. grew its stake in Magna International by 37.2% in the fourth quarter. Thurston Springer Miller Herd & Titak Inc. now owns 1,111 shares of the company’s stock worth $46,000 after purchasing an additional 301 shares in the last quarter. Institutional investors own 67.49% of the company’s stock.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on the company. CIBC lowered their price objective on Magna International from $44.00 to $36.50 and set a “neutral” rating on the stock in a research report on Wednesday, March 5th. The Goldman Sachs Group downgraded Magna International from a “neutral” rating to a “sell” rating and lowered their price objective for the company from $42.00 to $41.00 in a research report on Wednesday, December 11th. Wells Fargo & Company lowered their price objective on Magna International from $46.00 to $44.00 and set an “equal weight” rating on the stock in a research report on Monday, December 16th. Bank of America downgraded Magna International from a “buy” rating to a “neutral” rating and lowered their price objective for the company from $52.00 to $48.00 in a research report on Tuesday, March 4th. Finally, Morgan Stanley lowered their price objective on Magna International from $43.00 to $40.00 and set an “equal weight” rating on the stock in a research report on Monday, March 3rd. One equities research analyst has rated the stock with a sell rating, thirteen have assigned a hold rating and six have issued a buy rating to the company’s stock. According to MarketBeat, the company presently has an average rating of “Hold” and a consensus target price of $47.03.

Magna International Company Profile

Magna International Inc designs, engineers, and manufactures components, assemblies, systems, subsystems, and modules for original equipment manufacturers of vehicles and light trucks worldwide. It operates through four segments: Body Exteriors & Structures, Power & Vision, Seating Systems, and Complete Vehicles.