Magnera
MAGN on NYSE. Magnera sells materials for wipes, healthcare, apparel and filtration to consumer brands. Market value $418m.
Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to September 2025.
Should I look at this?
Look carefully before going further
Why it could be worth it
Read the warning sign in its own filings
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $26.95 of spare cash in the past 12 months. A savings account pays about $4.
You pay 32.4 years of operating profit for the business. The average large US company costs around 18.
Each dollar kept in the business earns 0 cents a year. Above 10 is good.
Quality score: 44 of 100. Price score: 33 of 100. Our list needs 70 on quality and 60 on price.
$11.71 a share, 50% above its 1-year low
Over the past year the price has ranged from $7.82 to $15.52.
Pays no dividend
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
Spare cash swings from quarter to quarter here: $113 million in the past 12 months, $36 million in the year to September 2025.
| Revenue | |||||
| Revenue | $916m | $1.1bn | $1.5bn | $1.4bn | $3.2bn |
| Operating margin | |||||
| Operating margin | 5.4% | 2.6% | -11.0% | 0.2% | 0.2% |
| Debt to equity | |||||
| Debt to equity | 0.55 | 1.47 | 2.69 | 3.42 | 1.83 |
| Shares outstanding | |||||
| Shares outstanding | 0.04bn | 0.04bn | 0.05bn | 0.05bn | 0.04bn |
Health checks
- Free cash flow positive3 of 5 years
- Accounting looks honest (Beneish)Not enough data
- Financial strength (Piotroski)Not enough data
- Profit backed by cash (accruals)Not enough data
- Debt1.83× equity
- Revenue growth, five yearsStrong, 24.1% a year
- Buying back its own sharesYes, 20% fewer since 2020
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $857 million last quarter, up 2% on a year ago.
- A loss of $20 million, compared with a loss of $18 million a year ago.
- It keeps 2 cents of each $1 of sales as operating profit, up from 0 cents a year earlier.
- 1% more shares than a year ago. Each share owns a bit less of the company.
- Debt is $1.6 billion more than cash, down from $1.7 billion a year ago.
- Sales grew on a year ago in 3 of the last 4 quarters.
| Quarter to | Amount |
|---|---|
| September 2024 | $332m |
| December 2024 | $702m |
| March 2025 | $824m |
| June 2025 | $839m |
| September 2025 | $839m |
| December 2025 | $792m |
| March 2026 | $796m |
| June 2026 | $857m |
| Quarter to | Amount |
|---|---|
| September 2024 | -$15m |
| December 2024 | -$60m |
| March 2025 | -$41m |
| June 2025 | -$18m |
| September 2025 | -$40m |
| December 2025 | -$34m |
| March 2026 | -$18m |
| June 2026 | -$20m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 25 November 2025
- Next quarterly (estimated, 10-Q)
- 5 November 2026
Who owns it
2 long-term investors we follow own it, unchanged from 2 last quarter. 178 funds in all.
- Engine CapitalArnaud Ajdler
- Value
- $26m
- Share of fund
- 2.6%
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| Engine CapitalArnaud Ajdler | $26m | 2.6% | |
| LSV Asset ManagementJosef Lakonishok | $2m | <0.1% | Cut |
Largest holders overall
- Newtyn Management$33m
- BlackRock$31mAdded
- Engine Capital$26m
- Littlejohn$22mCut
- Vanguard Capital Management$18m
- Morgan Stanley$18mCut
- Madison Avenue Partners, LP$15mCut
- Diameter Capital Partners LP$14m
- Assenagon Asset Management$13mAdded
- DG Capital Management$13mCut
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
4 investors own more than 5%.
- Newtyn Management, LLCPassive investor7.7%+1.3 ptsSince 31 March 2026
- BlackRock, Inc.Passive investor7.1%Since 30 June 2025
- Madison Avenue Partners, LPPassive investorat least 4.4%−0.6 pts(filed with 5 related holders)Since 31 March 2026
- Morgan StanleyPassive investorat least 3.9%−1.4 pts(filed with 1 related holder)Since 30 June 2026
- Cetus Capital VI, L.P.Passive investorSold down below 5%Since 28 July 2026
- Ancora Advisors LLCPassive investorSold down below 5%Since 31 December 2025
- The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
Newtyn Management, LLC Passive investor | 7.7%+1.3 pts | 31 March 2026 | |
BlackRock, Inc. Passive investor | 7.1% | 30 June 2025 | |
Madison Avenue Partners, LP Passive investor | at least 4.4%−0.6 pts (filed with 5 related holders) | 31 March 2026 | |
Morgan Stanley Passive investor | at least 3.9%−1.4 pts (filed with 1 related holder) | 30 June 2026 | |
Cetus Capital VI, L.P. Passive investor | Sold down below 5% | 28 July 2026 | |
Ancora Advisors LLC Passive investor | Sold down below 5% | 31 December 2025 | |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
No insider bought or sold on the open market in the last 12 months.
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
1 serious warning sign in Magnera’s filings.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 25 Nov 2025, plus the 10-Q filed 6 Aug 2026 and 6 later 8-Ks.
Weak checks on its own accounts
SeriousThe company said its checks on its own accounts did not work at year end. Mistakes could slip into the numbers.
“Based on this evaluation, and due to the material weaknesses in internal control over financial reporting described below, they concluded that our disclosure controls and procedures were not effective as of that date.”
Show the full paragraph
As of September 27, 2025, our Chief Executive Officer and Chief Financial Officer evaluated the effectiveness of our disclosure controls and procedures. Based on this evaluation, and due to the material weaknesses in internal control over financial reporting described below, they concluded that our disclosure controls and procedures were not effective as of that date. Notwithstanding this conclusion, our management believes that the consolidated financial statements included in this Form 10-K present fairly, in all material respects, the Company’s financial position, results of operations, and cash flows in conformity with U.S. GAAP.
From the 10-K filed 25 November 2025, Item 9A. Controls and Procedures. Read it in the filing
Changed auditor
Worth knowingThe company changed its auditor (the firm that checks its books) in the last two years.
Cover page of the 10-K filed 25 Nov 2025: it names a different audit firm from the one named in the annual report before.
From the cover page of the 10-K filed 25 November 2025. Open the filing
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
- It isn't cheap on profits: 32.4× operating profit.
Whether the price already reflects the risks is what the deep dive is for.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.