11:00 AM EDT, 05/04/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We lower our 12-month price target toCAD48 from CAD54, based on a 2026 P/E multiple of 6.5x, a justified discount to historic averages. We lower our adjusted EPS estimates to $4.40 from $5.25 for 2025 and to $5.40 from $6.40 for 2026. MG posted Q1 adjusted EPS of $0.78 vs. $1.08 (-28%), well short of the $0.86 consensus. The miss was driven by much weaker-than-expected margins, as revenue fell 8% to $10.07B ($340M ahead of consensus) and adjusted EBIT margin contracted 80 bps to 3.5% (60 bps below consensus). MG's 2025 adjusted net income guidance of $1.3B-$1.5B was unchanged, but it does not include the impact of tariffs. MG's Q1 margin performance was particularly disappointing, with declines driven by its Seating Systems segment. We maintain Hold, preferring auto suppliers with greater exposure to faster-growing segments of the market and expect a significant cut to 2025 guidance when updated for expected tariff impacts, particularly adjusted EBIT margin guidance of 5.1%-5.6% given the weak Q1 total of 3.5%.