XVARY Composite Score
24
/ 100
Weak
Combines growth, value, risk, and momentum factors into a single institutional-grade score.
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What it is
Magnera makes engineered materials for tea filters, personal hygiene, packaging, and industrial uses.
How it gets paid
Last year Magnera made $3.2B in revenue.
Why it's growing
Revenue grew 46.5% last year. Sales were up 13% vs. prior year.
What just happened
Magnera posted $792M in revenue and lost $0.95 a share.
At a Glance
C balance sheet — red flag territory — real financial stress
5/100 earnings predictability — expect surprises
1.0% return on capital — nothing to write home about
-$4.47 fy2025 eps est
$3B fy2025 rev est
XVARY composite: 24/100 — weak
What They Do
Magnera makes engineered materials for tea filters, personal hygiene, packaging, and industrial uses.
You get 15 manufacturing sites across 7 countries and 8,500 employees. That is not a hobby. It sells into 3 daily-use buckets: tea and coffee filtration, personal hygiene, and packaging. Your supplier list does not change fast when the product touches things people buy every day.
How They Make Money
$3.2B
annual revenue · their business grew +46.5% last year
total revenue
$3.2B
+46.5%
The Products That Matter
Engineered filtration materials
Tea Bags
consumer staples input
this sits inside a $3B revenue base, which gives you scale, but the company-wide 13.5% gross margin tells you these are not luxury economics.
scale, not pricing power
Single-serve filtration supply
Single-Serve Coffee Filters
high-volume category
the appeal is repeat demand, but repeat demand has not translated into strong profitability when quarterly EPS still came in at -$0.95.
repeat demand
Absorbent and hygiene materials
Personal Hygiene Materials
staples exposure
stable end markets help, but they have not erased a recent $34M quarterly net loss or the weight of $2.0B in debt.
defensive end market
Key Numbers
$3.2B
annual revenue
Revenue means money coming in. At $3.2B, every 1% move is about $32M, so small changes matter.
13.5%
gross margin
Gross margin means what stays after direct costs. At 13.5%, the cushion is thin.
$2.0B
long-term debt
Debt means money you owe. $2.0B equals 83% of capital, so the balance sheet is carrying a heavy load.
1.6
beta
Beta means how wild the stock is versus the market. At 1.6, a 10% market move can feel like 16% here.
Financial Health
C
Strength
- balance sheet grade C — very weak — significant financial distress
- risk rank 5 — safer than 5% of stocks
- price stability 5 / 100
- long-term debt $2.0B (83% of capital)
C — balance sheet grade and long-term debt are flagged. this stock carries more risk than average.
Total Return vs. Market
source: institutional data · return history unavailable
What Just Happened
missed estimates
Magnera posted $792M in revenue and lost $0.95 a share.
Sales were up 13% vs. prior year. Gross margin was 13.5%, which kept the loss smaller than last year but did not put the business in the black.
$792M
revenue
$0.95
eps
13.5%
gross margin
the number that mattered
The $792M print matters because it was 13% above last year while EPS stayed at -$0.95.
source: company earnings report, 2026
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What Could Go Wrong
The #1 risk here is debt-heavy losses in a low-margin materials business.
Med
$2.0B of debt leaves little room for a bad quarter
MAGN carries $2.0B in long-term debt and debt equals 83% of capital. That is a lot of leverage for a company with a $392M market cap.
If earnings stay negative, the stock can remain cheap for a very rational reason.
Med
13.5% gross margin is not much cushion
Gross margin is only 13.5%, and the latest quarter still ended in a $34M net loss. In a commodity-like supply business, small cost moves matter more than management slides make them sound.
Margin pressure hits earnings fast when you start from a thin base.
Med
Growth is too slow to bail out the capital structure on its own
The reported organic growth rate is 2%, and trailing twelve-month revenue growth is 2.6%. That is improvement, not escape velocity.
A slow-growth business can work. A slow-growth business with heavy leverage has to execute almost perfectly.
With $2.0B in debt against a $392M market cap, this is less a margin-of-safety story than a refinancing-and-execution story.
Source: institutional data · regulatory filings · risk analysis
Pay Attention To
The number that mattered
Operating income staying above zero
Q1 operating income improved to $14M from a $22M loss a year earlier. If that flips back negative, the turnaround case gets much weaker.
Calendar
Q2 2026 earnings report
Expected August 2026. You want to see whether the latest $34M net loss narrows and whether the operating line keeps moving in the right direction.
Balance-sheet risk
Debt and interest expense in the next 10-Q
The filing due in May 2026 matters because $2.0B in debt is the whole story. You are reading that document for leverage, not narrative.
Trend
Organic growth above the current 2% pace
A materials company does not need hypergrowth. It does need growth strong enough to make 83% debt to capital feel less dangerous than it does today.
Analyst Rankings
earnings predictability
5 / 100
a 5 / 100 score means quarterly results have been hard to model. in human-speak, analysts do not trust the earnings path yet.
risk rank
5
this stock is safer than roughly 5% of the market. that is the opposite of defensive.
Source: institutional data
Institutional Activity
institutional ownership data for MAGN is being compiled.
Source: institutional data
Price Targets
3-5 year target range
$13
Current price
Target midpoint · from current
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