Analyzing Magnera (MAGN) and Its Peers

Magnera (NYSE:MAGN) is one of 18 public companies in the “Paper mills” industry, but how does it contrast to its competitors? We will compare Magnera to similar businesses based on the strength of its valuation, dividends, analyst recommendations, profitability, earnings, institutional ownership and risk.

Profitability

This table compares Magnera and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Magnera	-6.97%	-22.40%	-4.57%
Magnera Competitors	4.41%	9.01%	4.30%

Insider and Institutional Ownership

76.9% of Magnera shares are held by institutional investors. Comparatively, 73.4% of shares of all “Paper mills” companies are held by institutional investors. 2.3% of Magnera shares are held by insiders. Comparatively, 5.3% of shares of all “Paper mills” companies are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Risk and Volatility

Magnera has a beta of 1.67, suggesting that its stock price is 67% more volatile than the S&P 500. Comparatively, Magnera’s competitors have a beta of 1.30, suggesting that their average stock price is 30% more volatile than the S&P 500.

Valuation and Earnings

This table compares Magnera and its competitors gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Magnera	$702.00 million	-$79.05 million	-1.17
Magnera Competitors	$7.26 billion	$390.72 million	34.92

Magnera’s competitors have higher revenue and earnings than Magnera. Magnera is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a breakdown of current recommendations for Magnera and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magnera	0	0	1	0	3.00
Magnera Competitors	129	984	500	112	2.34

Magnera presently has a consensus price target of $24.00, suggesting a potential upside of 11.52%. As a group, “Paper mills” companies have a potential upside of 10.95%. Given Magnera’s stronger consensus rating and higher probable upside, research analysts clearly believe Magnera is more favorable than its competitors.

Summary

Magnera competitors beat Magnera on 8 of the 13 factors compared.

About Magnera

Magnera’s purpose is to better the world with new possibilities made real. By continuously co-creating and innovating with our partners, we develop original material solutions that make a brighter future possible. With a breadth of technologies and a passion for what we create, Magnera’s solutions propel our customers’ goals forward and solve end-users’ problems, every day.