Magnera (NYSE:MAGN) Announces Quarterly Earnings Results

Magnera (NYSE:MAGN) released its quarterly earnings data on Thursday. The company reported ($0.56) EPS for the quarter, Zacks reports. Magnera had a negative net margin of 3.41% and a negative return on equity of 10.77%. The business had revenue of $857.00 million for the quarter.

Here are the key takeaways from Magnera’s conference call:

• Adjusted EBITDA rose 9% to $99 million, supported by full-run-rate Project CORE savings, merger synergies, manufacturing efficiencies, and disciplined cost management.
• Organic sales increased 1%, with continued strength in global wipes and infrastructure, including growth across disinfecting, personal care, industrial wipes, housewrap, cable wrap, and filtration.
• Magnera moved its full-year adjusted EBITDA outlook to the lower end of its prior guidance range, citing persistent raw-material inflation and macroeconomic uncertainty; European demand remained soft and pricing lagged costs in the region.
• The company reaffirmed full-year free cash flow guidance of approximately $90 million to $110 million, expects lower capital expenditures of about $60 million, and ended the quarter with roughly $575 million of available liquidity.
• Management said customer orders and inventory levels remain steady and expects broadly similar demand in the fiscal fourth quarter, while additional Project CORE and synergy benefits are expected to contribute about $20 million in 2027.

Magnera Trading Up 3.2%

Shares of MAGN traded up $0.41 during midday trading on Friday, hitting $12.94. The stock had a trading volume of 1,201,957 shares, compared to its average volume of 467,561. The stock’s 50 day moving average is $12.65 and its 200 day moving average is $11.94. The firm has a market cap of $463.07 million, a PE ratio of -6.60 and a beta of 1.74. The company has a debt-to-equity ratio of 1.87, a current ratio of 2.45 and a quick ratio of 1.55. Magnera has a 1 year low of $7.82 and a 1 year high of $15.52.

Wall Street Analysts Forecast Growth

MAGN has been the subject of a number of analyst reports. Wall Street Zen raised shares of Magnera from a “sell” rating to a “hold” rating in a report on Saturday, July 25th. Weiss Ratings upgraded Magnera from a “sell (d)” rating to a “sell (d+)” rating in a research report on Monday, June 1st. Finally, Wells Fargo & Company raised their price objective on Magnera from $13.00 to $16.00 and gave the company an “equal weight” rating in a research note on Wednesday, July 15th. Two investment analysts have rated the stock with a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, Magnera presently has an average rating of “Reduce” and a consensus price target of $16.00.

Institutional Trading of Magnera

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Scopia Capital Management LP boosted its position in shares of Magnera by 46.7% during the second quarter. Scopia Capital Management LP now owns 1,010,794 shares of the company’s stock valued at $12,210,000 after buying an additional 321,579 shares during the period. Nuveen LLC raised its holdings in shares of Magnera by 969.6% in the fourth quarter. Nuveen LLC now owns 823,177 shares of the company’s stock worth $12,463,000 after buying an additional 746,215 shares during the period. Jacobs Levy Equity Management Inc. raised its holdings in shares of Magnera by 427.4% in the fourth quarter. Jacobs Levy Equity Management Inc. now owns 786,083 shares of the company’s stock worth $11,901,000 after buying an additional 637,041 shares during the period. J. Goldman & Co LP lifted its stake in shares of Magnera by 22.7% during the 4th quarter. J. Goldman & Co LP now owns 538,220 shares of the company’s stock worth $8,149,000 after acquiring an additional 99,523 shares during the last quarter. Finally, Millennium Management LLC lifted its stake in shares of Magnera by 147.8% during the 4th quarter. Millennium Management LLC now owns 518,044 shares of the company’s stock worth $7,843,000 after acquiring an additional 308,956 shares during the last quarter. 76.92% of the stock is owned by hedge funds and other institutional investors.

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.