Company News

BUZZ-Magna International Inc: Citigroup cuts PT on 2019 guidance

** Citi Research cuts PT on U.S. shares of Canadian auto-parts maker Magna International Inc to $62 from $66

** Brokerage says PT reflects co’s 2019 guidance, which incorporated surprise setbacks in a few advanced driver-assistance system launches, among other challenges

** Magna cut estimate for FY19 net income attributable to co to $1.9 bln-$2.1 bln from $2.1 bln-$2.3 bln, earlier this month

** Citi maintains “buy” rating on stock

** Brokerage adds co’s FCF story appears largely intact and that Magna also taking an aggressive stance on buybacks

** Average rating by 8 analysts covering stock is “hold”, their median PT is $55

** Stock down 8% since results on May 9 (Reporting By Arundhati Sarkar in Bengaluru)