Magna International Inc
MGA: XNYS (USA)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| $26.00 | Mvbm | Jdvtknbkj |
Magna Is One of the Largest Auto Suppliers in the World
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Business Strategy and Outlook
Magna International is one of the largest, most diversified auto parts suppliers in the world. However, large and diversified is no guarantee of economic profits for investors. While breadth in product and services can be advantageous with regard to cross-selling--commercial activities that bolster content per vehicle and market penetration--we see only limited evidence that Magna's diversified strategy has benefited investors in the form of higher margins and ROIC.