Magna International rides on global automotive demand as supplier of choice
Toronto-listed Magna International, a global mobility technology company, is one of the world’s largest suppliers in the automotive space. Magna makes body, exteriors and chassis, powertrain, active driver assistance, electronics, mechatronics, seating systems, roofing, and lighting systems and mirrors for the automotive industry.
Our case for the company is based on the recovery from the pandemic, which should boost global demand for the automotive industry. The ability to contain the virus should be better in the future, and this should result in less social movement restriction, which would in turn boost vehicle sales. Magna also has a stellar record for financial performance, and is wellpositioned to capture growing market opportunities given its business model. Magna’s strategic portfolio positions it for strong free cash flow and sales growth, further aided by its position as a supplier of choice for automakers.