Magna downgraded to Neutral at BofA on lower auto production view

As previously reported, BofA downgraded Magna (MGA) to Neutral from Buy with a price target of $48, down from $52, after the firm lowered its North American auto production estimate to 16.1M from 16.7M to reflect plant downtime and a material increase in Chinese imports to Mexico. Magna was positioned to benefit from electric vehicles’ expansion in North America, largely from its battery enclosures and Powertrain Electrification, but the firm sees struggles to materialize in 2025 as EV growth has slowed and current industry dynamics remain volatile, the analyst tells investors.

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