Major U.S. Averages Close Mixed as CPI Data Falls Short of Expectations
The major averages closed in a mixed fashion for the day as traders reacted to a full slate of earnings releases as well as the January consumer price index release. The Bureau of Labor Statistics said that CPI for last month rose 0.2%, reflecting a gain of 2.4% on an annualized basis. Both inflation figures were lower than consensus estimates of 0.3% and 2.5%, respectively. Despite the positive finish, the Dow, S&P and Nasdaq still had weekly losses of 1% to 2% as investors continued a rotation out of technology and other risk-sensitive sectors amid worries about AI.Looking to commodities, gold traded higher once again, surpassing the $5,000 threshold as precious metals continue to show signs of strength as a defensive hedge. Oil, meanwhile, was fractionally higher to cap off a strong week for the commodity.Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.1. STOCK NEWS:Pinterestreportedand provided a lower-than-expected outlook for Q1Airbnbreportedbut better-than-expected revenueDraftKingsreportedand provided downbeat FY26 revenue guidanceCoinbasereportedAlibabawill be added to a U.S. list of firms aiding China's military,2. WALL STREET CALLS:Pinterestwasto Neutral or equivalent ratings by at least 8 firms after earningsRokuto Buy at RosenblattAirbnbto Outperform at Evercore ISI and to Buy at Deutsche BankNorwegian Cruise Lineto Neutral at JPMorganMerckto Buy at Deutsche Bank3. AROUND THE WEB:Zillowis betting on AI as Google'sreal estate tests spark buyout chatter, Wired reportsSpaceX is weighing dual-class IPO shares to "empower" founder Elon Musk, Bloomberg saysRussia has blocked WhatsApp, citing Meta's"unwillingness to comply with Russian law," and is proposing that Russians switch to the state-owned Max app, Reuters reportsAmazonis directing internal teams to use its in-house AI coding assistant, Kiro, for production work, a move that has drawn criticism from roughly 1,500 employees advocating for the use of Anthropic's Claude Code instead, Business Insider saysMicrosoftis planning to pursue "true self-sufficiency" in the AI space by building its own models and reducing reliance on OpenAI, FT says4. MOVERS:TRI Pointeincreases after announcing it will befor $47.00 per share in cashCorsair Gaminggains after, providing guidance for Q1 and FY26, and announcing its Board authorizes the repurchase of up to $50M sharesRivianand Magnahigher in New York afterBright Horizonsfalls afterand providing guidance for FY26Disc Medicine (IRON) drops after confirming receipt of afor bitopertin5. EARNINGS/GUIDANCE:Moderna, with EPS and revenue beating consensusInstacart, with the company commenting, "In Q4, we delivered our strongest quarterly GTV growth in three years"Wendy'sand provided guidance for Fy256Wynn Resorts, with EPS missing consensusDauch Corporationand provided guidance for FY26INDEXES:The Dow rose 48.95, or 0.099%, to 49,500.93, the Nasdaq lost 50.48, or 0.22%, to 22,546.67, and the S&P 500 advanced 3.41, or 0.05%, to 6,836.17.
Trade with 70% Backtested Accuracy
Analyst Views on MGA
About MGA
About the author

- Q1 Financial Performance: Magna International reported a net loss of $12 million in Q1, translating to a loss of $0.04 per share, contrasting sharply with last year's profit of $146 million or $0.52 per share, primarily due to significant losses related to asset sales.
- Sales Growth: Despite a 7% decline in global light vehicle production, the company achieved a 3% increase in sales, reaching $10.38 billion compared to $10.07 billion last year, indicating resilience in its market position.
- Adjusted Earnings Outlook: For fiscal 2026, Magna projects adjusted earnings per share between $6.25 and $7.25, with an adjusted EBIT margin expected to range from 6.0% to 6.6%, reflecting confidence in future profitability.
- Impact of Asset Losses: The latest results included a $485 million loss on assets related to the Lighting and Rooftop Systems businesses, although adjusted EBIT rose 58% to $558 million, with the adjusted EBIT margin expanding by 190 basis points to 5.4%, indicating operational improvements amidst financial challenges.
- Significant Sales Growth: In Q1 2026, Magna International reported sales of $10.4 billion, a 3% increase year-over-year, despite a 7% decline in global light vehicle production, demonstrating the company's resilience and enhancing market confidence.
- Adjusted EBIT Surge: Adjusted EBIT rose from $354 million in 2025 to $558 million, a 58% increase, with an EBIT margin expanding to 5.4%, reflecting successful operational efficiency and cost control, further solidifying profitability.
- Continued Shareholder Returns: The company returned $575 million to shareholders in Q1 through share repurchases and dividends, showcasing strong cash flow and commitment to investors, thereby boosting investor trust.
- Stable Outlook: Despite global economic challenges, Magna maintains its 2026 outlook unchanged, expecting sales between $41.5 billion and $43.1 billion, indicating confidence in future growth and a clear strategic direction.
- Earnings Surprise: Magna International reported a Q1 non-GAAP EPS of $1.38, exceeding expectations by $0.37, indicating a strong improvement in profitability that is likely to positively impact stock performance.
- Revenue Growth: The company achieved revenues of $10.4 billion in Q1, reflecting a 3.0% year-over-year increase and surpassing analyst expectations by $130 million, demonstrating sustained competitiveness in the market.
- 2026 Outlook Update: Magna revised its total sales outlook for 2026 to between $41.5 billion and $43.1 billion, reflecting optimism about future market demand, with upward adjustments in sales expectations across all business segments indicating healthy overall business development.
- Adjusted EBIT Margin: The adjusted EBIT margin remains stable at 6.0% to 6.6%, showcasing the company's ongoing efforts in cost control and operational efficiency, which helps to bolster investor confidence and support future growth.
- Earnings Announcement Date: Magna International is set to release its Q1 earnings on May 1 before market open, with a consensus EPS estimate of $1.01, reflecting a significant year-over-year increase of 29.5%, indicating strong profitability.
- Revenue Expectations: The anticipated revenue for Q1 stands at $10.27 billion, representing a modest year-over-year growth of 1.7%, which, while limited, still demonstrates the company's stable performance in the market.
- Historical Performance Review: Over the past two years, Magna has beaten EPS estimates 50% of the time and revenue estimates 75% of the time, showcasing the company's reliability in financial performance and market confidence.
- Estimate Revision Dynamics: In the last three months, EPS estimates have seen two upward revisions and five downward adjustments, while revenue estimates have experienced one upward revision and three downward adjustments, reflecting analyst divergence and market uncertainty regarding the company's future performance.
- New Stock Additions: Richard Pzena added a total of 9 stocks in Q1 2026, with KT Corp (NYSE:KT) being the largest addition at 7,175,547 shares, valued at $153.92 million, representing 0.5% of the portfolio.
- Key Position Increases: Pzena increased stakes in 65 stocks, notably Humana Inc (NYSE:HUM) with an additional 1,398,774 shares, a 34.35% increase, bringing total shares to 5,470,982 and valued at $948.61 million, indicating confidence in the healthcare sector.
- Complete Exits: In Q1 2026, Pzena completely exited 8 holdings, including Comerica Inc (CMA) and Charter Communications Inc (NASDAQ:CHTR), impacting the portfolio by -0.1% and -0.07% respectively, reflecting a lack of optimism about these companies' prospects.
- Portfolio Overview: As of Q1 2026, Pzena's portfolio comprised 158 stocks, primarily concentrated in 11 industries including Financial Services, Technology, and Healthcare, demonstrating the effectiveness of his diversified investment strategy.
- Earnings Call Schedule: Magna International will hold its Q1 2026 earnings call on May 1, 2026, at 8:00 AM ET, aimed at updating investors on the latest financial performance and strategic direction.
- Webcast Registration: Investors can register via the provided link to participate in the live webcast, ensuring they receive real-time updates on the company's performance and enhancing investor engagement.
- Replay Information: A replay of the call will be available two hours after the event until May 8, 2026, allowing investors who could not attend live to access key information.
- Company Background: Magna International is one of the world's largest automotive suppliers, with nearly seven decades of industry experience, committed to providing reliable partnerships to automakers in North America, Europe, and China, showcasing its leadership in the automotive sector.









