Magna International Inc. logo MGA - Magna International Inc.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 15
HOLD 14
SELL 1
STRONG
SELL
0
| PRICE TARGET: $69.00 DETAILS
HIGH: $80.00
LOW: $55.00
MEDIAN: $69.00
CONSENSUS: $69.00
DOWNSIDE: 5.54%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Overvalued Strong
Trading 52.7% above fair value
Current Price $73.05
Bear Case $41.86 42.7% downside ($41.86 - $73.05) / $73.05 = -42.7% $2.99 × 14x P/E
Fair Value $47.84 34.5% downside ($47.84 - $73.05) / $73.05 = -34.5% $2.99 × 16x P/E
Bull Case $53.82 26.3% downside ($53.82 - $73.05) / $73.05 = -26.3% $2.99 × 18x P/E

Adjust Assumptions

16.0x
2.99$

Key Value Driver

Normalized P/E multiple (16x base case)

Implied Market Multiple 24.4x

Plain-Language Summary

Applying a 16x P/E to adjusted EPS of $2.99, the base-case value is $47.84 per share. DDM cross-check: $42.23.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (30 analysts) $69.00
Analyst Range $55.00 – $80.00
Divergence from AlphaVal 31%

Warnings

Wall Street's average price target is $69.00 (from 30 analysts). Our estimate is 31% below the consensus -- consider that gap carefully.

Key Risks

  • Growth DCF inappropriate — terminal value assumptions dominate
  • EV/EBITDA misleading for regulated businesses where capex is mandated
  • Regulatory risk is a fat tail not visible in normal multiples