Critical Survey: Magnera (MAGN) vs. Its Rivals

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Magnera	-6.97%	-10.62%	-3.97%
Magnera Competitors	2.15%	8.13%	3.89%

Volatility and Risk

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

Earnings and Valuation

This table compares Magnera and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Magnera	$702.00 million	-$60.00 million	-1.17
Magnera Competitors	$4.94 billion	$119.73 million	33.69

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

Insider & Institutional Ownership

76.9% of Magnera shares are owned by institutional investors. Comparatively, 73.4% of shares of all “Paper mills” companies are owned by institutional investors. 2.3% of Magnera shares are owned by insiders. Comparatively, 5.3% of shares of all “Paper mills” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and price targets for Magnera and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magnera	0	0	1	0	3.00
Magnera Competitors	130	994	500	113	2.34

Magnera currently has a consensus target price of $24.00, suggesting a potential upside of 11.84%. As a group, “Paper mills” companies have a potential upside of 21.84%. Given Magnera’s rivals higher possible upside, analysts plainly believe Magnera has less favorable growth aspects than its rivals.

Summary

Magnera rivals beat Magnera on 9 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.