Please opine on their earnings release this morning, looks good, and any forward looking changes. Thx.
EPS of $1.46 beat estimates by ~10%; sales of $10.68B beat by 3%. Magna's top line remains near record levels, pushed higher by Body Exteriors and Structures, a unit that's regaining operating leverage, while EV-focused products are at risk from fading consumer demand. Global light-vehicle output rose 4% year over year, driving a 15% increase in sales -- to $10.7 billion -- signaling that production gains may be more difficult to come by. A margin recovery, absent for much of the pandemic, is beginning to emerge, buoyed by higher volume for an automotive supplier built for scale and cost discipline. The profitability outlook for the Power & Vision segment, catering to vehicle electrification and advanced safety features, is brightening, earning an Ebit margin of 5.9% in 3Q, now outperforming the Seating as well as the Complete Vehicles businesses. Investors loved the quarter. They have been waiting a while for any good news. With this news and a possible interest rate pivot, the stock looks good at its low valuation.