WallStSmart

LKQ Corporation (LKQ)vsMagna International Inc (MGA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Magna International Inc generates 212% more annual revenue ($42.67B vs $13.69B). LKQ leads profitability with a 3.4% profit margin vs 1.8%. MGA appears more attractively valued with a PEG of 0.44. MGA earns a higher WallStSmart Score of 64/100 (C+).

LKQ

Buy

50

out of 100

Grade: C-

Growth: 2.7Profit: 5.5Value: 8.0Quality: 6.0
Piotroski: 3/9Altman Z: 2.51

MGA

Buy

64

out of 100

Grade: C+

Growth: 5.3Profit: 5.0Value: 8.7Quality: 5.5
Piotroski: 3/9Altman Z: 2.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LKQUndervalued (+65.8%)

Margin of Safety

+65.8%

Fair Value

$101.88

Current Price

$24.11

$77.77 discount

UndervaluedFair: $101.88Overvalued
MGAUndervalued (+47.2%)

Margin of Safety

+47.2%

Fair Value

$109.51

Current Price

$66.13

$43.38 discount

UndervaluedFair: $109.51Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LKQ2 strengths · Avg: 9.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

P/E RatioValuation
13.8x8/10

Attractively priced relative to earnings

MGA3 strengths · Avg: 8.7/10
PEG RatioValuation
0.4410/10

Growing faster than its price suggests

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

EPS GrowthGrowth
27.8%8/10

Earnings expanding 27.8% YoY

Areas to Watch

LKQ4 concerns · Avg: 2.5/10
Profit MarginProfitability
3.4%3/10

3.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-3.0%2/10

Revenue declined 3.0%

EPS GrowthGrowth
-29.0%2/10

Earnings declined 29.0%

MGA4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

Return on EquityProfitability
6.4%3/10

ROE of 6.4% — below average capital efficiency

Profit MarginProfitability
1.8%3/10

1.8% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : LKQ

The strongest argument for LKQ centers on Price/Book, P/E Ratio. PEG of 1.06 suggests the stock is reasonably priced for its growth.

Bull Case : MGA

The strongest argument for MGA centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.44 suggests the stock is reasonably priced for its growth.

Bear Case : LKQ

The primary concerns for LKQ are Profit Margin, Piotroski F-Score, Revenue Growth. Thin 3.4% margins leave little buffer for downturns.

Bear Case : MGA

The primary concerns for MGA are Revenue Growth, Return on Equity, Profit Margin. Thin 1.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

MGA carries more volatility with a beta of 1.83 — expect wider price swings.

MGA is growing revenue faster at 3.3% — sustainability is the question.

MGA generates stronger free cash flow (654M), providing more financial flexibility.

Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MGA scores higher overall (64/100 vs 50/100). LKQ offers better value entry with a 65.8% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

LKQ Corporation

CONSUMER CYCLICAL · AUTO PARTS · USA

LKQ Corporation (Like Kind and Quality) is an American provider of alternative and speciality parts to repair and accessorise automobiles and other vehicles.

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Magna International Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

Magna International Inc. designs, designs and manufactures components, assemblies, systems, subsystems and modules for vehicle and light truck original equipment manufacturers worldwide. The company is headquartered in Aurora, Canada.

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