Magna International Inc

Magna International is international

In a recent email from “Profits Unlimited” the author recommended a company I was not familiar with. After reviewing the business model and information on Seeking Alpha, I bought 50 shares of MGA for my ROTH IRA and another 50 shares for Cindie’s ROTH IRA.

Buy alert message from Profits Unlimited

Seeking Alpha Ratings

MGA is more of a value investment than a true growth investment.

Although ratings are no guarantee of the future growth and profitability of an investment, regardless of the person recommending them, I generally like to see what others are saying. Seeking Alpha provides a quick way to see how an investment stacks up.

Seeking Alpha Dividends

The Seeking Alpha Dividend Scorecard gives me the numbers I need to determine if the investment is likely to continue to pay increasing dividends that are supported by business growth and at a dividend payout ratio that makes sense. MGA fits my requirements on this front as well.

Company Profile

Magna International Inc. designs, engineers, and manufactures components, assemblies, systems, subsystems, and modules for original equipment manufacturers (OEMs) of vehicles and light trucks worldwide. The company operates through four segments: Body Exteriors & Structures, Power & Vision, Seating Systems, and Complete Vehicles.

The Body Exteriors & Structures segment provides body systems, chassis systems, and engineering and testing; exterior systems, including fascia and trims, front end modules, liftgate and door modules, active aerodynamics, lightweight composites, sealing systems, engineered glass, and running board and roof racks; and roof systems, such as sliding folding and modular roofs, and retractable hard tops and soft tops.

The Power & Vision segment offers dedicated hybrid, dual clutch, hybrid dual clutch, and manual transmissions; driveline systems; metal-forming solutions; engineering services; driver assistance systems; front, rear, and surround camera systems, as well as ultrasonic sensors, ICON RADAR, and LiDAR; electronic controllers; interior and exterior mirrors, actuators, door handles, and overhead consoles; latching systems, door modules, window systems, power closure systems, hinges and wire forming rods, and handle assemblies; and head, tail, and fog lamps, and other lighting products.

The Seating Systems segment provides seat structures, mechanism and hardware solutions, and foam and trim products.

The Complete Vehicles segment offers vehicle manufacturing and engineering services. The company serves OEMs and automobile manufacturers. Magna International Inc. was founded in 1957 and is headquartered in Aurora, Canada.

Full Disclosure

Cindie and I own 100 shares of MGA as a long-term investment.

LINK: Shareholder Information