These Were Last Week’s 10 Worst Dividend Stocks

4. Magna International Inc. (NYSE:MGA)

Dividend yield: 5.13%

Dividend payout ratio: 53.98%

Ex-Dividend Date: February 28, 2025

Number of Hedge Funds: 16

The Canada-based parts manufacturer for automakers, Magna International Inc. (NYSE:MGA), experienced a decline in its value by 3.08% between February 10 and February 14, 2025.

Magna International Inc. (NYSE:MGA)’s performance is heavily influenced by the industry-specific challenges, which increased after the new Presidency in the U.S. The latest U.S. tariffs are expected to be unfavorable for many importers, including steel and aluminum importers, especially from Canada and Mexico. On February 3, the duties have been paused temporarily for a month. The actual effect of these new tariffs remains uncertain in the long run. After considering these effects, the company changed its expected Fiscal 2026 revenue from $51.20 billion to $42.60 billion. This is negatively reflected in the last week’s share price performances.

Magna International Inc. (NYSE:MGA) offers a dividend yield of 5.13%. It has set its dividend payout ratio at 53.98%. The latter indicates a balance between using earnings for dividend payouts and retaining them for reinvestment. Sixteen hedge fund portfolios tracked by Insider Monkey owned stakes in the company at the end of Q3 2024, suggesting institutional investors’ interest in the stock. Investors willing to invest in Magna can do so, before February 28, 2025.