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

BorgWarner Inc. (NYSE:BWA) has been assigned a consensus rating of “Moderate Buy” from the fifteen brokerages that are currently covering the company, Marketbeat.com reports. Seven analysts have rated the stock with a hold rating and eight have given a buy rating to the company. The average twelve-month price objective among brokers that have updated their coverage on the stock in the last year is $61.3077.

BWA has been the topic of a number of recent research reports. UBS Group upgraded BorgWarner from a “sell” rating to a “neutral” rating and set a $55.00 target price on the stock in a research note on Friday, March 6th. Weiss Ratings reiterated a “hold (c)” rating on shares of BorgWarner in a report on Wednesday, January 21st. Morgan Stanley set a $60.00 price target on BorgWarner in a research note on Thursday, February 12th. The Goldman Sachs Group increased their price objective on BorgWarner from $54.00 to $78.00 and gave the stock a “buy” rating in a report on Thursday, February 12th. Finally, Bank of America initiated coverage on shares of BorgWarner in a research report on Wednesday, March 4th. They set a “neutral” rating on the stock.

BorgWarner Trading Down 3.8%

Shares of NYSE:BWA opened at $50.52 on Friday. The firm has a fifty day moving average of $52.73 and a two-hundred day moving average of $46.90. The company has a quick ratio of 1.70, a current ratio of 2.07 and a debt-to-equity ratio of 0.69. BorgWarner has a 12-month low of $24.40 and a 12-month high of $70.08. The firm has a market capitalization of $10.46 billion, a P/E ratio of 40.41, a price-to-earnings-growth ratio of 1.07 and a beta of 1.04.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Wednesday, February 11th. The auto parts company reported $1.35 earnings per share for the quarter, topping analysts’ consensus estimates of $1.16 by $0.19. BorgWarner had a net margin of 1.93% and a return on equity of 17.89%. The business had revenue of $3.57 billion for the quarter, compared to the consensus estimate of $3.49 billion. During the same period in the prior year, the business posted $1.01 earnings per share. BorgWarner’s revenue for the quarter was up 3.9% compared to the same quarter last year. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. On average, equities analysts expect that BorgWarner will post 4.28 EPS for the current fiscal year.

BorgWarner Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, March 16th. Stockholders of record on Monday, March 2nd will be paid a dividend of $0.17 per share. The ex-dividend date is Monday, March 2nd. This represents a $0.68 annualized dividend and a dividend yield of 1.3%. BorgWarner’s dividend payout ratio is 54.40%.

Insider Buying and Selling at BorgWarner

In other BorgWarner news, VP Stefan Demmerle sold 2,500 shares of the stock in a transaction on Tuesday, March 10th. The shares were sold at an average price of $53.03, for a total transaction of $132,575.00. Following the transaction, the vice president directly owned 233,746 shares of the company’s stock, valued at $12,395,550.38. This represents a 1.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, EVP Paul Arthur Farrell sold 12,012 shares of the firm’s stock in a transaction dated Thursday, March 12th. The shares were sold at an average price of $52.31, for a total value of $628,347.72. Following the transaction, the executive vice president owned 38,238 shares in the company, valued at approximately $2,000,229.78. This trade represents a 23.90% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 78,083 shares of company stock worth $4,638,585 in the last ninety days. Company insiders own 0.45% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Root Financial Partners LLC acquired a new stake in BorgWarner in the 3rd quarter worth approximately $27,000. Twin Peaks Wealth Advisors LLC acquired a new position in BorgWarner during the second quarter valued at approximately $32,000. Prosperity Bancshares Inc bought a new position in shares of BorgWarner in the fourth quarter valued at approximately $37,000. Mather Group LLC. bought a new position in shares of BorgWarner in the third quarter valued at approximately $41,000. Finally, Sound Income Strategies LLC lifted its stake in shares of BorgWarner by 9,888.9% in the fourth quarter. Sound Income Strategies LLC now owns 899 shares of the auto parts company’s stock worth $42,000 after buying an additional 890 shares during the last quarter. Institutional investors and hedge funds own 95.67% of the company’s stock.

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.