Magna InternationalMGA -0.62%77 Quick Ratio is 0.88 as of Mar. 2026, which is 4% above its 10-year median of 0.85. GuruFocus rates MGA with a GF Score™ of 77/100 and a GF Value™ of $48.84 (Significantly Overvalued). The stock has 9 warning signs investors should review. Among 1,337 Vehicles & Parts companies, Magna International ranks worse than 62.6% on this metric.
Magna International has a quick ratio of 0.88. It indicates that the company cannot currently fully pay back its current liabilities.
The historical rank and industry rank for Magna International's Quick Ratio or its related term are showing as below:
MGA'
s Quick Ratio Range Over the Past 10 Years
Min: 0.71 Med: 0.85 Max: 1.04
Current: 0.88
During the past 13 years, Magna International's highest Quick Ratio was 1.04. The lowest was 0.71. And the median was 0.85.
MGA's Quick Ratio is ranked worse than 62.6% of 1337
companies
in the Vehicles & Parts industry
Industry Median: 1.06
vs MGA: 0.88
Magna International (NYSE:MGA) Quick Ratio Explanation
The quick ratio is more conservative than the Current Ratio because it excludes inventories from current assets. The ratio derives its name presumably from the fact that assets such as cash and marketable securities are quick sources of cash. Inventories generally take time to be converted into cash, and if they have to be sold quickly, the company may have to accept a lower price than book value of these inventories. As a result, they are justifiably excluded from assets that are ready sources of immediate cash.
In general, low or decreasing quick ratios generally suggest that a company is over-leveraged, struggling to maintain or grow sales, paying bills too quickly or collecting receivables too slowly. On the other hand, a high or increasing quick ratio generally indicates that a company is experiencing solid top-line growth, quickly converting receivables into cash, and easily able to cover its financial obligations. Such companies often have faster inventory turnover and cash conversion cycles.
The higher the quick ratio, the better the company's liquidity position.
Magna International Quick Ratio Related Terms
Magna International Quick Ratio Historical Data
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The historical data trend for Magna International's Quick Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Auto Parts subindustry, Magna International's Quick Ratio, along with its competitors' market caps and Quick Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Magna International Quick Ratio vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Magna International's Quick Ratio distribution charts can be found below:
* The bar in red indicates where Magna International's Quick Ratio falls into.
The quick ratio measures a company's ability to meet its short-term obligations with its most liquid assets. For this reason, the ratio excludes inventories from current assets.
Magna International's Quick Ratio for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Magna International (MGA) has a Quick Ratio of 0.88 as of Mar. 2026. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Magna International and its competitors. This is near median its historical median of 0.85. Over the past decade, Magna International's Quick Ratio has ranged from 0.71 to 1.04. According to the industry distribution chart, Magna International ranks #837 out of 1337 companies in the Vehicles & Parts industry, placing it in the top 62.6%.
Is Magna International's Quick Ratio too high?
Magna International's current Quick Ratio of 0.88 is near median its 10-year median of 0.85. Over the past 10 years, this metric has ranged from a low of 0.71 to a high of 1.04. The Vehicles & Parts industry median Quick Ratio is 1.06. Magna International's value of 0.88 is 17% below this industry median. Based on the distribution chart, Magna International ranks #837 out of 1337 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Magna International has a GF Score™ of 77/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Magna International's Quick Ratio compare to ORLY and AZO?
According to the Vehicles & Parts industry distribution chart, Magna International ranks #837 out of 1337 companies for Quick Ratio. This places Magna International in the lower half of its industry. The industry median Quick Ratio is 1.06. Magna International's value of 0.88 is 17% below this benchmark. Historically, Magna International's own Quick Ratio has ranged from 0.71 to 1.04 over the past decade. While the company's 10-year median is 0.85 vs. the industry median of 1.06, Magna International has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Quick Ratio for a Vehicles & Parts company?
The median Quick Ratio among Vehicles & Parts companies is 1.06, based on 1,337 companies in the industry. Companies in the top quartile (top 25%) have a Quick Ratio significantly above this median, while those in the bottom quartile fall well below. However, Quick Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Magna International's current Quick Ratio of 0.88 is 17% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Quick Ratio mean?
A high Quick Ratio can signal that a stock is expensive relative to its fundamentals. Quick ratio is the ratio of current assets less inventory to current liabilities. View historical data on Magna International and its competitors. For the Vehicles & Parts industry, the median Quick Ratio is 1.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Magna International's current Quick Ratio is 0.88, which is near median its own 10-year median of 0.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Magna International stock overvalued right now?
Based on GuruFocus' analysis, Magna International (MGA) is currently considered Significantly Overvalued. The stock's GF Value™ is $48.84, compared to a current price of $64.07 — trading 31.2% above its estimated fair value. The current Quick Ratio is 0.88, which is near median its 10-year median of 0.85 and 17% below the Vehicles & Parts industry median of 1.06. Magna International's overall GF Score™ is 77/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Quick Ratio calculated?
Quick Ratio is calculated from a company's financial statements. For Magna International (MGA), the current Quick Ratio is 0.88 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Magna International (MGA) Overvalued in 2026?
Based on GuruFocus' analysis, Magna International stock appears to be overvalued.
The current stock price of $64.07 is trading 31.2% above its estimated GF Value™ of $48.84.
GuruFocus considers Magna International to be Significantly Overvalued.
Key valuation signals for MGA:
Quick Ratio: 0.88 (near median its 10-year median of 0.85)
GF Value™: $48.84 vs. price of $64.07 (31.2% above fair value)
Industry Position: 17% below the Vehicles & Parts median (#837 of 1337)
No single metric tells the full story. See the MGA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Magna International prides itself on an entrepreneurial culture and a corporate constitution that outlines the distribution of profits to various stakeholders. This automotive supplier's product groups include exteriors, interiors, seating, roof systems, body and chassis, powertrain, vision and electronic systems, closure systems, electric vehicle systems, tooling and engineering, and contract vehicle assembly. In 2025, 48.6% of Magna's USD 42 billion of revenue came from North America, while Europe accounted for approximately 38% and Asia the remainder. The firm's top six customers constituted 75.9% of revenue, with the top three being GM, Mercedes, and Ford. GM was the largest contributor at 15.6%. Magna was founded in 1957, has about 144,000 employees, and is based in Aurora, Ontario.
77GF Score
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