Magna International (NYSE: MGA) (TSE: MG) reported earnings for its third quarter of Fiscal Year 2022. Adjusted earnings per share came in at $1.07, which missed analysts’ consensus estimate of $1.08 per share. Sales increased 17.7% year-over-year, with revenue hitting $9.3 billion. This beat analysts’ target by $150 million.
Looking forward, management reduced its guidance, expecting revenue and net income for Fiscal Year 2022 to be in the ranges of $37.4 billion to $38.4 billion and $1.3 billion to $1.4 billion, respectively.
The lower guidance can be attributed to lower vehicle production expectations along with higher operating costs.
Is MGA Stock a Good Buy Now?
MGA stock has a Strong Buy consensus rating based on seven Buys, two Holds, and zero Sells assigned in the past three months. The average MGA stock price target of $65.94 implies 17.75% upside potential.