Magna’s adjusted third-quarter EPS was US$1.83, above the supplied calendar estimate of US$1.61, even as sales fell 4% from a year earlier.
Magna International Inc. (TSX: MG) reported its third-quarter 2026 results before markets opened on October 30. Adjusted EPS beat the supplied estimate by 13.7%, rising from US$1.33 a year earlier. Revenue was US$10.06 billion, down 4% year over year. For Canadian investors, the key question is whether stronger profits and cash flow can hold up as sales and vehicle production soften. Magna reaffirmed the midpoint of its full-year adjusted EPS outlook and raised its free cash flow outlook.
Recent earnings trend
Magna International Inc
MG.TO
MG.TO
Magna International Inc
WealthAwesomeMarket cap
$23.79B
P/E
23.6x
Div. yield
2.18%
Div. / share
$1.97
52W high
$100.87
52W low
$62.50
1W change
-0.65%
Beta
1.81
Analyst Price Targets
Based on analyst covering MG · as of Nov 2, 2026
Wall Street analysts forecast MG stock price to rise 4.2% over the next 12 months.
Consensus
NeutralBased on avg. target vs last close (formal rating unavailable for Canadian listings)
Avg. Target
C$92.64
+4.2% Upside
Previously C$92.84 on Oct 30, 2026
Current Price
C$88.91
Last close
Targets are snapshotted when they change. Unchanged figures keep their original date. Not financial advice.
Wealth Awesome Price Forecast
WA ModelStatistical 90-day price range based on MG's historical volatility
30-Day Vol
26.4%
Annualized
90-Day Vol
32.5%
Annualized
Trend (90d)
-48.4%
Annualized drift
90d Mean
C$74.79
Expected price
| Horizon | Expected | 68% Range (1σ) |
|---|---|---|
| 30 trading days | C$83.93 | C$76.61 – C$91.94 |
| 60 trading days | C$79.22 | C$69.64 – C$90.13 |
| 90 trading days | C$74.79 | C$63.86 – C$87.58 |
Methodology: Range is calculated using 30-day realized volatility via geometric Brownian motion (log-normal model). 68% band = ±1σ, 95% band = ±2σ. This is a statistical model, not a prediction. Past volatility does not guarantee future results. Not financial advice.
Analyst coverage: 16 analyst(s) cover this name; upcoming EPS consensus is available.
Beat estimates in 4 of the last 4 comparable quarter(s).
| Fiscal period | Report date | Actual EPS | Estimate | Surprise |
|---|---|---|---|---|
| 2026-12-31 | 2027-02-12 | — | 2.1400 | — |
| 2026-09-30 | 2026-10-30 | 1.8300 | 1.6100 | +13.7% |
| 2026-06-30 | 2026-07-31 | 1.8600 | 1.5300 | +21.6% |
| 2026-03-31 | 2026-05-01 | 1.3800 | 1.0100 | +36.6% |
| 2025-12-31 | 2026-02-13 | 2.1800 | 1.8000 | +21.1% |
| 2025-09-30 | 2025-10-31 | 1.3300 | 1.2500 | +6.4% |
Investor takeaway: Productivity gains and commercial items helped lift adjusted earnings and margins despite lower sales. The question is how long those gains can last in a cyclical auto-supply business. Adjusted EBIT rose 11% to US$683 million, and the adjusted EBIT margin increased 90 basis points to 6.8%. Magna generated US$584 million in free cash flow and returned US$658 million to shareholders through dividends and share buybacks. Management reaffirmed the midpoint of its full-year adjusted EPS outlook and raised its free cash flow outlook. Follow the company’s results and fundamentals on the Magna stock page.
US$1.83 adjusted EPS
Adjusted EPS beat the supplied calendar estimate of US$1.61 by 13.7%, up from US$1.33 a year earlier. Adjusted EPS is a non-GAAP measure. Magna reported diluted EPS of US$1.44 for the quarter.
Bull case
Magna improved its margins and cash generation even as sales fell: adjusted EBIT rose 11%, and adjusted EPS climbed from US$1.33 to US$1.83 year over year. The company pointed to productivity and efficiency gains, favourable commercial items, and tariff recoveries. Its new normal course issuer bid allows it to repurchase up to 10% of its public float over 12 months, alongside its regular dividends. The 2.18% dividend yield may appeal to Canadian investors looking for income, but it does not guarantee future returns.
Bear case
Lower global light vehicle production, divestitures, customer price concessions, and weaker engineering revenue weighed on sales. Magna also cited lower organic sales and an unfavourable product mix, higher commodity costs, and foreign-exchange losses as factors behind reduced earnings. Its reported profit margin is 1.78%, so execution and industry conditions remain important to its outlook. The stock closed at C$88.91, below its 50-day moving average of C$91.36 but above its 200-day average of C$87.05. These figures reflect recent trading, not a forecast.
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