WallStSmart

Magna International Inc (MGA)vsStrattec Security Corporation (STRT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Magna International Inc generates 7069% more annual revenue ($42.01B vs $586.03M). STRT leads profitability with a 4.6% profit margin vs 2.0%. MGA appears more attractively valued with a PEG of 0.51. STRT earns a higher WallStSmart Score of 65/100 (C+).

MGA

Buy

56

out of 100

Grade: C

Growth: 3.3Profit: 5.0Value: 7.3Quality: 5.8
Piotroski: 4/9Altman Z: 2.45

STRT

Buy

65

out of 100

Grade: C+

Growth: 5.3Profit: 5.5Value: 10.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

MGASignificantly Overvalued (-190.1%)

Margin of Safety

-190.1%

Fair Value

$19.92

Current Price

$56.11

$36.19 premium

UndervaluedFair: $19.92Overvalued
STRTUndervalued (+70.8%)

Margin of Safety

+70.8%

Fair Value

$308.88

Current Price

$81.83

$227.05 discount

UndervaluedFair: $308.88Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MGA3 strengths · Avg: 8.7/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

PEG RatioValuation
0.518/10

Growing faster than its price suggests

Free Cash FlowQuality
$1.32B8/10

Generating 1.3B in free cash flow

STRT2 strengths · Avg: 10.0/10
P/E RatioValuation
11.1x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Areas to Watch

MGA4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.1%4/10

2.1% revenue growth

Return on EquityProfitability
7.1%3/10

ROE of 7.1% — below average capital efficiency

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

EPS GrowthGrowth
-35.7%2/10

Earnings declined 35.7%

STRT3 concerns · Avg: 3.3/10
EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

Market CapQuality
$306.11M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.6%3/10

4.6% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : MGA

The strongest argument for MGA centers on Price/Book, PEG Ratio, Free Cash Flow. PEG of 0.51 suggests the stock is reasonably priced for its growth.

Bull Case : STRT

The strongest argument for STRT centers on P/E Ratio, Price/Book. PEG of 1.17 suggests the stock is reasonably priced for its growth.

Bear Case : MGA

The primary concerns for MGA are Revenue Growth, Return on Equity, Profit Margin. Thin 2.0% margins leave little buffer for downturns.

Bear Case : STRT

The primary concerns for STRT are EPS Growth, Market Cap, Profit Margin. Thin 4.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

STRT is growing revenue faster at 5.9% — sustainability is the question.

MGA generates stronger free cash flow (1.3B), providing more financial flexibility.

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

Bottom Line

STRT scores higher overall (65/100 vs 56/100). 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.

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.

Strattec Security Corporation

CONSUMER CYCLICAL · AUTO PARTS · USA

Strattec Security Corporation designs, develops, manufactures and markets automotive access control products under the VAST Automotive Group brand primarily in North America. The company is headquartered in Milwaukee, Wisconsin.

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