Canada's Magna beats Q3 adjusted EPS estimates, raises FY free-cash-flow forecast
MGA•Magna reported Q3 adjusted EPS of $1.83, above the $1.59 consensus, as sales of $10.10 billion slightly beat estimates. It raised its 2026 free-cash-flow forecast to $1.85-$1.90 billion and approved a share buyback of up to 10% of its public float.
1. Quarterly results
Magna's Q3 sales fell 4% to $10.10 billion, slightly above the $10.01 billion consensus. Adjusted EPS rose 38% to $1.83, topping the $1.59 estimate.
2. 2026 outlook and buyback
Magna raised its 2026 free-cash-flow outlook to $1.85-$1.90 billion from $1.75-$1.85 billion and approved a new share buyback for up to 10% of its public float. It forecasts 2026 sales of $41.2-$42.0 billion, down from its previous $41.3-$42.5 billion range, and reaffirmed the midpoint of its adjusted EPS outlook of $6.85-$7.15. The company said productivity initiatives, favourable commercial items and tariff recoveries supported Q3 earnings growth, while lower vehicle production, divestitures and program end contributed to the sales decline.
