CA - Magna: Attractive Entry For Long Term Returns
2024-04-07 13:07:13 ET
Summary
- Magna International's Q4-2023 results were below consensus, with lower adjusted EBITDA and sales growth.
- The company's guidance for 2024 showed improvement in adjusted EBIT margin but still fell below consensus expectations.
- Despite disappointments, Magna's stock remains cheap and has potential for long-term returns, especially if paired with longer-dated covered calls.
In our last coverage of Magna International ( MGA ), ( MG:CA ) we had a bullish outlook. That outlook was tempered by the risks facing the company and we suggested that the best way to play this was via defensive covered calls....
Magna: Attractive Entry For Long Term Returns