Magna price target lowered to $41 from $42 at RBC Capital

RBC Capital analyst Tom Narayan lowered the firm’s price target on Magna (MGA) to $41 from $42 and keeps a Sector Perform rating on the shares after its Q3 earnings miss. The company also cut its FY24 guidance above consensus levels and announced a share buyback plan, supported by better free cash flow and despite macro headwinds, while other suppliers are cutting below consensus and warning on future volatility, the analyst tells investors in a research note. Investor sentiment may improve, but RBC remains concerned about macros in FY25, especially with OEMs cutting production in the U.S. and Europe, the firm added.