Hsbc Holdings PLC Sells 214,152 Shares of BorgWarner Inc. $BWA

Hsbc Holdings PLC cut its holdings in BorgWarner Inc. (NYSE:BWA) by 28.4% during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 540,280 shares of the auto parts company’s stock after selling 214,152 shares during the quarter. Hsbc Holdings PLC’s holdings in BorgWarner were worth $35,785,000 as of its most recent SEC filing.

Several other institutional investors also recently modified their holdings of the business. Beacon Pointe Advisors LLC bought a new stake in BorgWarner during the second quarter worth about $581,000. Empowered Funds LLC bought a new position in shares of BorgWarner during the second quarter valued at approximately $18,574,000. United Capital Financial Advisors LLC purchased a new position in shares of BorgWarner during the second quarter valued at approximately $887,000. Hill City Capital LP bought a new stake in shares of BorgWarner in the 2nd quarter worth approximately $53,264,088. Finally, Equitable Holdings Inc. bought a new stake in shares of BorgWarner in the 2nd quarter worth approximately $201,000. 95.67% of the stock is currently owned by institutional investors.

Insider Transactions at BorgWarner

In related news, Director Rajesh Kalathur bought 7,407 shares of the firm’s stock in a transaction that occurred on Wednesday, August 19th. The shares were bought at an average cost of $67.59 per share, with a total value of $500,639.13. Following the acquisition, the director owned 7,407 shares in the company, valued at $500,639.13. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CAO Amy B. Kulikowski sold 2,900 shares of BorgWarner stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $68.60, for a total value of $198,940.00. Following the transaction, the chief accounting officer owned 9,725 shares in the company, valued at $667,135. This trade represents a 22.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.76% of the company’s stock.

BorgWarner Trading Down 0.0%

Shares of NYSE:BWA opened at $67.53 on Tuesday. The stock’s 50-day simple moving average is $65.17 and its two-hundred day simple moving average is $62.27. The stock has a market capitalization of $13.75 billion, a price-to-earnings ratio of 33.77, a PEG ratio of 1.21 and a beta of 1.12. BorgWarner Inc. has a 52-week low of $40.50 and a 52-week high of $78.82. The company has a debt-to-equity ratio of 0.67, a quick ratio of 1.76 and a current ratio of 2.13.

BorgWarner (NYSE:BWA) last released its quarterly earnings results on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, beating the consensus estimate of $1.28 by $0.14. The firm had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.58 billion. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The business’s revenue for the quarter was up .3% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. Analysts expect that BorgWarner Inc. will post 5.2 EPS for the current year.

BorgWarner declared that its board has approved a stock repurchase program on Wednesday, August 5th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the auto parts company to buy up to 7.7% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s leadership believes its shares are undervalued.

BorgWarner Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Tuesday, September 1st will be given a $0.17 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $0.68 annualized dividend and a yield of 1.0%. BorgWarner’s dividend payout ratio (DPR) is presently 34.00%.

Analysts Set New Price Targets

A number of research analysts recently weighed in on the company. Morgan Stanley raised their price objective on BorgWarner from $67.00 to $71.00 and gave the company an “equal weight” rating in a research report on Thursday, August 6th. Wolfe Research reissued an “outperform” rating and issued a $95.00 target price on shares of BorgWarner in a report on Wednesday, June 3rd. Weiss Ratings raised BorgWarner from a “hold (c)” rating to a “hold (c+)” rating in a research note on Monday, June 29th. Wells Fargo & Company lifted their price target on BorgWarner from $68.00 to $83.00 and gave the stock an “overweight” rating in a research report on Tuesday, June 2nd. Finally, Robert W. Baird set a $79.00 price target on shares of BorgWarner in a research note on Thursday, August 6th. Nine investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $76.67.

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.