Toronto, Feb 17, 2026, 08:37 EST — Premarket
- Magna shares slipped at the open, giving back some ground following Friday’s strong jump.
- Uncertainty over recalls and tariffs has investors sizing up the supplier’s 2026 outlook.
- Shares are approaching their 52-week high as the market opens.
Magna International Inc shares edged down roughly 2% ahead of Tuesday’s open, cooling off after the Canadian auto-parts name jumped almost 19% in its previous session. Indications put the stock at $67.36, compared with its Friday finish at $68.73. Investing
With U.S. markets closed Monday for Washington’s Birthday, traders get their first read on Magna’s post-earnings surge when the bell rings Tuesday. New York Stock Exchange
Magna’s shift lands at a time when suppliers are judged on a tight range of factors: current earnings from gas, hybrid, and EV programs, plus the level of cost-cutting possible as volumes remain unpredictable.
Magna is forecasting 2026 sales between $41.9 billion and $43.5 billion, with adjusted EBIT margin seen landing in a 6.0% to 6.6% range. Adjusted diluted EPS? The company is guiding for $6.25 to $7.25. “We closed 2025 with a strong fourth quarter,” CEO Swamy Kotagiri said. The company also bumped its quarterly dividend up to $0.495 a share and plans to buy back the roughly 22 million shares still covered by its current repurchase program. The dividend goes out March 13 to shareholders who are on record as of Feb. 27. (Adjusted figures exclude items like impairment charges that can distort reported profit.)
Even so, there are some numbers that remain murky. Magna has been hashing things out with Ford over rearview-camera recalls, saying it’s still too early to put a figure on potential costs. The company also recorded a $591 million charge linked to its electronics business, citing sales that fell short of expectations. Over at BorgWarner, the company spotlighted demand for electrified powertrains and ongoing cost reductions, factors that helped lift its latest quarterly adjusted profit. Reuters
Bulls face a clear risk: any slowdown in auto builds or heavier-than-anticipated recall costs could erase Friday’s surge in a hurry. For a global supplier with an extended supply chain, tariffs remain a lurking variable.
Traders on Tuesday will be looking to see if the stock sticks close to its highs after the opening bell, and if any new analyst notes surface in the wake of the earnings reset.
Broader market action could be a headwind. With a heavy slate of U.S. data on deck, investors are eyeing any shifts in rate expectations—moves that filter through to auto demand by way of financing costs. The Wall Street Journal
Magna shareholders are eyeing the Feb. 27 record date for the dividend. Any updates from the company on recall negotiations or 2026 demand could come as markets swing back into full gear.
