The Globe and Mail reports in its Wednesday, Oct. 30, edition that RBC's Tom Narayan has reaffirmed his "sector perform" call for Magna International. The Globe's David Leeder writes that Mr. Narayan gave his share target a $5 trim to $42 (all figures U.S.). Analysts on average target the shares at $48.96. Mr. Narayan says the sentiment toward North American auto parts suppliers is "negative" heading into third quarter earnings season. He says in a note: "Our Q3 EBIT [for Magna] is well below consensus and assumes a 5.1-per-cent margin after the company posted 5.3 per cent in Q2 and our Q3 LVP forecast is down 6 per cent year-over-year. '24 guide implies H2 EBIT up 32 per cent while H2 Rev down 2.5 per cent. H2 margins to be 6.5 per cent vs 4.8 per cent in H1. We think it likely that Magna cuts guidance. Consensus already below the bottom end of the range. Magna consensus is assuming significant growth at $2.5-billion, up from $2.28-billion, and on top of LVP that could be declining in 2025. We lower our '25 EBIT to $2.13-billion from $2.47-billion until we see evidence of an H2/24 recovery as guided by mgmt. We worry about further production cuts coming in 2025 as OEMs seek to counter elevated dealer inventory levels."