Mg–1.2Al–0.3Ca–0.4Mn–0.3Zn (AXMZ1000) (wt%) alloy was rolled in three different conditions in order to understand the effects of the rolling conditions on the microstructure and mechanical properties. The sheet subjected to high temperature reheating at 500 °C for 5 min prior to each 100 °C rolling delivers the highest Index Erichsen (I.E.) value of 7.0 mm. The sheet rolled at 300 °C with 500 °C reheating for 5 min delivers the lowest I.E value of 5.4 mm, while the sheet continuously rolled at the same temperature shows a moderate I.E. value of 6.0 mm. Systematic observations of the microstructures of T4-treated and 3 mm stretched formed samples reveal that the large stretch formability of the sheet rolled at 100 °C with 500 °C reheating is associated the weak basal texture and fine-grained microstructure.