BorgWarner Inc. (NYSE:BWA) Given Consensus Recommendation of “Moderate Buy” by Analysts

BorgWarner Inc. (NYSE:BWA) has received an average rating of “Moderate Buy” from the fifteen analysts that are currently covering the firm, MarketBeat Ratings reports. Six analysts have rated the stock with a hold rating and nine have assigned a buy rating to the company. The average 1-year price target among brokers that have issued ratings on the stock in the last year is $74.00.

Several research analysts have weighed in on BWA shares. Wells Fargo & Company upped their price target on BorgWarner from $68.00 to $83.00 and gave the stock an “overweight” rating in a research note on Tuesday, June 2nd. Weiss Ratings restated a “hold (c)” rating on shares of BorgWarner in a research note on Monday, April 20th. UBS Group upgraded BorgWarner from a “neutral” rating to a “buy” rating and upped their price target for the stock from $61.00 to $95.00 in a research note on Wednesday, June 10th. JPMorgan Chase & Co. upped their price objective on BorgWarner from $73.00 to $75.00 and gave the stock an “overweight” rating in a report on Thursday, May 14th. Finally, TD Cowen upped their price objective on BorgWarner from $66.00 to $67.00 and gave the stock a “hold” rating in a report on Thursday, May 7th.

Insider Transactions at BorgWarner

In other news, CEO Joseph F. Fadool sold 29,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $67.31, for a total transaction of $1,951,990.00. Following the sale, the chief executive officer directly owned 405,964 shares of the company’s stock, valued at $27,325,436.84. This represents a 6.67% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Tania Wingfield sold 5,000 shares of the company’s stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $63.24, for a total value of $316,200.00. Following the sale, the executive vice president directly owned 35,365 shares in the company, valued at $2,236,482.60. This trade represents a 12.39% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 67,500 shares of company stock valued at $4,310,115 over the last 90 days. Insiders own 0.76% of the company’s stock.

Institutional Trading of BorgWarner

Several hedge funds have recently modified their holdings of BWA. Prosperity Bancshares Inc purchased a new stake in BorgWarner during the 4th quarter valued at $37,000. Sound Income Strategies LLC raised its holdings in BorgWarner by 9,888.9% during the 4th quarter. Sound Income Strategies LLC now owns 899 shares of the auto parts company’s stock valued at $42,000 after buying an additional 890 shares during the period. Cedar Mountain Advisors LLC purchased a new stake in BorgWarner during the 1st quarter valued at $55,000. Torren Management LLC purchased a new stake in BorgWarner during the 4th quarter valued at $48,000. Finally, Olistico Wealth LLC purchased a new stake in BorgWarner during the 4th quarter valued at $50,000. 95.67% of the stock is owned by hedge funds and other institutional investors.

BorgWarner Trading Up 0.2%

BWA stock opened at $68.25 on Monday. BorgWarner has a 1-year low of $33.13 and a 1-year high of $78.82. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.13 and a quick ratio of 1.75. The company has a market capitalization of $14.00 billion, a price-to-earnings ratio of 40.39, a PEG ratio of 1.30 and a beta of 1.07. The business has a 50 day simple moving average of $65.68 and a two-hundred day simple moving average of $56.39.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Wednesday, May 6th. The auto parts company reported $1.24 earnings per share for the quarter, topping the consensus estimate of $1.16 by $0.08. BorgWarner had a return on equity of 18.36% and a net margin of 2.53%.The business had revenue of $3.53 billion during the quarter, compared to the consensus estimate of $3.50 billion. During the same period in the prior year, the company posted $1.11 EPS. The firm’s revenue for the quarter was up .5% compared to the same quarter last year. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. Research analysts anticipate that BorgWarner will post 5.18 EPS for the current fiscal year.

BorgWarner Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Monday, June 1st were issued a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a dividend yield of 1.0%. The ex-dividend date of this dividend was Monday, June 1st. BorgWarner’s dividend payout ratio is 40.24%.

About BorgWarner

BorgWarner Inc is a global automotive supplier specializing in propulsion and drivetrain solutions for combustion, hybrid and electric vehicles. The company’s product portfolio includes turbochargers, thermal management systems, transmission components, e-Propulsion modules and advanced fuel-efficiency technologies. BorgWarner serves original equipment manufacturers (OEMs) across passenger cars, light trucks and commercial vehicles, supporting both legacy internal-combustion engines and emerging electrification trends.

Founded in 1928 through the merger of several driveline companies, BorgWarner has grown through strategic acquisitions and continuous investment in research and development.