WallStSmart

China Automotive Systems Inc (CAAS)vsMagna International Inc (MGA)

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Smart Verdict

WallStSmart Research — data-driven comparison

Magna International Inc generates 5011% more annual revenue ($42.67B vs $834.86M). CAAS leads profitability with a 6.9% profit margin vs 1.8%. CAAS appears more attractively valued with a PEG of 0.37. CAAS earns a higher WallStSmart Score of 68/100 (B-).

CAAS

Strong Buy

68

out of 100

Grade: B-

Growth: 8.7Profit: 5.5Value: 8.3Quality: 7.0
Piotroski: 5/9Altman Z: 2.16

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

Intrinsic value data unavailable for CAAS.

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

CAAS6 strengths · Avg: 9.5/10
PEG RatioValuation
0.3710/10

Growing faster than its price suggests

P/E RatioValuation
2.8x10/10

Attractively priced relative to earnings

Price/BookValuation
0.4x10/10

Reasonable price relative to book value

EPS GrowthGrowth
94.0%10/10

Earnings expanding 94.0% YoY

Debt/EquityHealth
0.179/10

Conservative balance sheet, low leverage

Revenue GrowthGrowth
17.0%8/10

17.0% revenue growth

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

CAAS2 concerns · Avg: 3.0/10
Market CapQuality
$161.72M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
6.9%3/10

6.9% margin — thin

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 : CAAS

The strongest argument for CAAS centers on PEG Ratio, P/E Ratio, Price/Book. Revenue growth of 17.0% demonstrates continued momentum. PEG of 0.37 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 : CAAS

The primary concerns for CAAS are Market Cap, Profit Margin.

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

CAAS profiles as a growth stock while MGA is a value play — different risk/reward profiles.

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

CAAS is growing revenue faster at 17.0% — sustainability is the question.

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

Bottom Line

CAAS scores higher overall (68/100 vs 64/100) and 17.0% revenue growth. MGA offers better value entry with a 47.2% margin of safety. Both earn "Strong 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.

China Automotive Systems Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

China Automotive Systems, Inc. manufactures and sells automotive components and systems in the People's Republic of China. The company is headquartered in Jingzhou City, the People's Republic of China.

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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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