Every translation of the Bible contains Mary's prounouncement, "All generations shall call me Blessed."
And Mary was blessed ... to bear the Saviour of mankind.
Noone denies this.
The blessing that is extended to Mary in the Magnificat is the same as the blessing extending to Jesus. And Mary is told by Gabriel that the Lord is with her. This means that Mary is already in a state of grace, else her soul would obscure the Lord rather than magnify him.