Latest Ratios: P/E Ratio 20.0x · EV/EBITDA 4.9x · ROE 6.8%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $16.8B | $15.1B | $12.0B | $16.9B | $16.4B | $24.5B | $21.3B | $17.3B | $15.8B | $21.2B | $17.1B |
| Enterprise Value | $21.9B | $20.1B | $17.8B | $23.0B | $20.2B | $27.2B | $24.0B | $21.0B | $19.5B | $24.0B | $19.3B |
| P/E Ratio → | 20.05 | 17.83 | 11.87 | 13.97 | 27.67 | 16.19 | 28.10 | 9.81 | 6.88 | 9.61 | 8.41 |
| P/S Ratio | 0.40 | 0.35 | 0.28 | 0.40 | 0.43 | 0.68 | 0.65 | 0.44 | 0.39 | 0.54 | 0.47 |
| P/B Ratio | 1.36 | 1.17 | 1.00 | 1.38 | 1.44 | 2.00 | 1.81 | 1.56 | 1.42 | 1.81 | 1.67 |
| P/FCF | 5.84 | 6.59 | 8.23 | 28.17 | 39.52 | 16.05 | 9.97 | 6.88 | 7.64 | 14.40 | 10.81 |
| P/OCF | 4.68 | 4.18 | 3.30 | 5.38 | 7.81 | 8.34 | 6.49 | 4.37 | 4.25 | 6.36 | 5.04 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.47 | 0.42 | 0.54 | 0.53 | 0.75 | 0.74 | 0.53 | 0.48 | 0.62 | 0.53 |
| EV / EBITDA | 4.93 | 4.94 | 4.40 | 6.06 | 6.75 | 7.87 | 10.12 | 5.67 | 4.43 | 5.31 | 4.75 |
| EV / EBIT | 10.21 | 13.04 | 9.62 | 12.42 | 20.12 | 13.16 | 21.60 | 9.04 | 7.38 | 7.82 | 6.69 |
| EV / FCF | — | 8.81 | 12.23 | 38.20 | 48.79 | 17.83 | 11.25 | 8.35 | 9.43 | 16.34 | 12.20 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 10.3% | 10.3% | 13.5% | 13.1% | 12.3% | 14.2% | 13.6% | 13.7% | 14.1% | 14.6% | 14.6% |
| Operating Margin | 5.0% | 5.0% | 4.9% | 4.8% | 4.2% | 5.4% | 3.1% | 6.0% | 7.7% | 8.1% | 7.9% |
| Net Profit Margin | 2.0% | 2.0% | 2.4% | 2.8% | 1.6% | 4.2% | 2.3% | 4.5% | 5.6% | 5.7% | 5.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 6.8% | 6.8% | 8.3% | 10.3% | 5.0% | 12.6% | 6.6% | 15.8% | 20.1% | 20.1% | 21.0% |
| ROA | 2.7% | 2.7% | 3.2% | 4.0% | 2.1% | 5.2% | 2.8% | 6.8% | 8.9% | 9.2% | 9.6% |
| ROIC | 9.0% | 9.0% | 8.8% | 9.1% | 7.8% | 9.9% | 5.1% | 11.9% | 15.9% | 17.6% | 20.3% |
| ROCE | 10.9% | 10.9% | 11.1% | 11.4% | 8.9% | 10.4% | 5.6% | 14.4% | 19.6% | 21.1% | 21.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.52 | 0.52 | 0.59 | 0.59 | 0.45 | 0.46 | 0.51 | 0.45 | 0.39 | 0.31 | 0.31 |
| Debt / EBITDA | 1.64 | 1.64 | 1.75 | 1.91 | 1.70 | 1.64 | 2.53 | 1.35 | 1.00 | 0.79 | 0.78 |
| Net Debt / Equity | — | 0.40 | 0.49 | 0.49 | 0.34 | 0.22 | 0.23 | 0.33 | 0.33 | 0.24 | 0.22 |
| Net Debt / EBITDA | 1.25 | 1.25 | 1.44 | 1.59 | 1.28 | 0.79 | 1.15 | 1.00 | 0.84 | 0.63 | 0.54 |
| Debt / FCF | — | 2.22 | 4.00 | 10.02 | 9.27 | 1.78 | 1.28 | 1.48 | 1.80 | 1.94 | 1.39 |
| Interest Coverage | 7.26 | 7.26 | 5.99 | 7.64 | 7.97 | 16.97 | 10.58 | 22.38 | 23.41 | 34.17 | 28.80 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.25 | 1.25 | 1.08 | 1.06 | 1.14 | 1.30 | 1.37 | 1.26 | 1.15 | 1.21 | 1.17 |
| Quick Ratio | 0.87 | 0.87 | 0.74 | 0.71 | 0.76 | 0.92 | 1.02 | 0.87 | 0.82 | 0.83 | 0.85 |
| Cash Ratio | 0.15 | 0.15 | 0.10 | 0.09 | 0.11 | 0.28 | 0.34 | 0.15 | 0.07 | 0.08 | 0.11 |
| Asset Turnover | — | 1.36 | 1.38 | 1.33 | 1.36 | 1.25 | 1.14 | 1.53 | 1.57 | 1.53 | 1.62 |
| Inventory Turnover | 9.29 | 9.29 | 8.92 | 8.07 | 7.94 | 7.83 | 8.19 | 10.30 | 10.30 | 9.39 | 11.10 |
| Days Sales Outstanding | — | 64.84 | 62.85 | 67.21 | 65.51 | 63.52 | 71.49 | 54.86 | 59.05 | 62.75 | 61.74 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 3.1% | 3.6% | 4.5% | 3.1% | 3.1% | 2.1% | 2.2% | 2.6% | 2.8% | 1.9% | 2.3% |
| Payout Ratio | 64.5% | 64.5% | 53.4% | 43.0% | 86.8% | 33.9% | 61.7% | 25.4% | 19.5% | 18.1% | 19.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 5.0% | 5.6% | 8.4% | 7.2% | 3.6% | 6.2% | 3.6% | 10.2% | 14.5% | 10.4% | 11.9% |
| FCF Yield | 17.1% | 15.2% | 12.1% | 3.5% | 2.5% | 6.2% | 10.0% | 14.5% | 13.1% | 6.9% | 9.3% |
| Buyback Yield | 0.8% | 0.9% | 1.7% | 0.1% | 4.8% | 2.1% | 1.0% | 7.4% | 11.7% | 6.1% | 5.4% |
| Total Shareholder Yield | 3.9% | 4.5% | 6.2% | 3.2% | 7.9% | 4.2% | 3.2% | 10.0% | 14.5% | 7.9% | 7.6% |
| Shares Outstanding | — | $283M | $287M | $287M | $291M | $303M | $300M | $316M | $348M | $374M | $393M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying MGA stock.
Magna International Inc.'s current P/E ratio is 20.0x. The historical average is 14.5x. This places it at the 86th percentile of its historical range.
Magna International Inc.'s current EV/EBITDA is 4.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 5.4x.
Magna International Inc.'s return on equity (ROE) is 6.8%. The historical average is 11.7%.
Based on historical data, Magna International Inc. is trading at a P/E of 20.0x. This is at the 86th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Magna International Inc.'s current dividend yield is 3.11% with a payout ratio of 64.5%.
Magna International Inc. has 10.3% gross margin and 5.0% operating margin.
Magna International Inc.'s Debt/EBITDA ratio is 1.6x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Thin margins and customer pricing pressure
Low Forward Multiples Reflect Skepticism
Based on reported figures, Magna trades at 21.01 trailing P/E but only 8.84 forward P/E and 4.72 forward EV/EBITDA, a gap implying the market expects earnings to recover sharply from depressed trailing levels.
The compression from trailing to forward multiples suggests investors are pricing in a meaningful earnings rebound rather than the flat revenue trend visible in the data. The 6.04 PEG ratio, however, appears elevated against growth of roughly zero, which indicates the forward earnings estimate carries substantial execution risk. Relative to peers such as Lear at 14.00 P/E and Autoliv at 12.97, Magna's forward discount looks more like a conglomerate and legacy ICE exposure discount than a mispricing, and investors should monitor whether margin recovery materializes.
Thin Margins Limit Earning Power
As reported in financial statements, Magna's gross margin ranged from 9.6% to 14.6% across ten quarters while net margin stayed between roughly -0.1% and 4.7%, leaving little buffer against cost inflation.
The gap between gross margin and net margin indicates that operating expenses, restructuring, and interest absorb most of the gross profit, which suggests limited pricing power against OEM customers. Net margin volatility from negative readings in 2026Q1 and 2025Q4 to 4.7% in 2024Q3 points to earnings driven heavily by volume and one-time items rather than a stable structural margin. Compared with Autoliv's 6.8% and Visteon's 5.3% net margins, Magna's profitability appears structurally lower, warranting further investigation into whether this reflects temporary or persistent conditions.
Returns Oscillating Near Cost of Capital
Based on Magna's reported figures, ROIC moved between 1.3% and 3.7% over the ten quarters while ROE stayed below 4%, suggesting returns are not clearly compounding.
ROIC consistently near or below typical cost of capital indicates the large fixed-asset base is not generating durable excess returns, consistent with the asset-heavy manufacturing model. The decline from 3.7% in 2025Q3 to 1.9% in 2026Q1 suggests operational margin swings are the primary driver rather than capital efficiency gains. Relative to Visteon's 19.5% ROIC, Magna's returns appear weak, and investors should monitor whether the ADAS and EV pivot can lift returns on the capital already deployed.
Leverage Easing but Coverage Volatile
According to reported figures, Magna's debt-to-EBITDA ranged from 5.2 to 10.8 while interest coverage swung between 3.4 and 18.0, indicating debt service comfort that has varied considerably by quarter.
Falling total debt from $7.6B to $6.4B over the period suggests a deliberate deleveraging effort, though the reported 0.65% D/E figure appears inconsistent with these balance sheet amounts and should be verified. Debt-to-EBITDA remaining above 5x in every quarter is elevated for an industrial supplier and suggests limited headroom if earnings fall in a downturn. Investors should monitor whether leases and pension obligations, which may not be fully captured in the supplied figures, change the coverage picture.
Trailing P/E Misapplied to Cyclical Supplier
The trailing P/E is most commonly misapplied to Magna because quarterly net income swings from negative to elevated levels, making the 21.01 multiple a poor representation of normalized earnings power.
Trailing P/E is distorted by working capital releases, restructuring charges, and equity-accounted joint venture income that do not reflect recurring operating earnings. A normalized measure such as EV/EBITDA adjusted for restructuring, or free cash flow yield averaged over a full cycle, would better capture sustainable economics. Investors should treat the 21.01 trailing figure with caution and focus on through-cycle cash generation instead.