South Dakota Investment Council Increases Position in BorgWarner Inc. $BWA

South Dakota Investment Council lifted its holdings in shares of BorgWarner Inc. (NYSE:BWA) by 198.6% during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 61,318 shares of the auto parts company’s stock after acquiring an additional 40,781 shares during the quarter. South Dakota Investment Council’s holdings in BorgWarner were worth $2,053,000 as of its most recent filing with the SEC.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the company. Cambiar Investors LLC bought a new stake in BorgWarner in the second quarter valued at about $9,986,000. GAM Holding AG grew its holdings in BorgWarner by 19.3% in the 2nd quarter. GAM Holding AG now owns 49,306 shares of the auto parts company’s stock worth $1,651,000 after buying an additional 7,982 shares in the last quarter. AMG National Trust Bank grew its holdings in BorgWarner by 0.9% in the 2nd quarter. AMG National Trust Bank now owns 50,699 shares of the auto parts company’s stock worth $1,697,000 after buying an additional 453 shares in the last quarter. IFG Advisory LLC bought a new position in BorgWarner in the 2nd quarter worth approximately $232,000. Finally, Strs Ohio lifted its position in BorgWarner by 9.1% in the second quarter. Strs Ohio now owns 63,366 shares of the auto parts company’s stock worth $2,121,000 after purchasing an additional 5,290 shares during the period. 95.67% of the stock is owned by institutional investors.

Analyst Ratings Changes

A number of brokerages have recently commented on BWA. Bank of America downgraded BorgWarner from a “buy” rating to a “neutral” rating and increased their price objective for the company from $41.00 to $46.00 in a research report on Wednesday, September 10th. UBS Group upped their price target on shares of BorgWarner from $43.00 to $46.00 and gave the stock a “neutral” rating in a research note on Monday, October 6th. Wall Street Zen raised shares of BorgWarner from a “buy” rating to a “strong-buy” rating in a research report on Saturday, July 12th. The Goldman Sachs Group increased their target price on shares of BorgWarner from $45.00 to $52.00 and gave the stock a “buy” rating in a research report on Monday, September 29th. Finally, JPMorgan Chase & Co. upped their price target on shares of BorgWarner from $45.00 to $53.00 and gave the company an “overweight” rating in a report on Monday, October 20th. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and six have given a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $45.85.

Insider Activity at BorgWarner

In related news, VP Stefan Demmerle sold 5,000 shares of the firm’s stock in a transaction that occurred on Wednesday, August 13th. The shares were sold at an average price of $40.50, for a total value of $202,500.00. Following the completion of the sale, the vice president owned 229,040 shares of the company’s stock, valued at $9,276,120. This trade represents a 2.14% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, VP Isabelle Mckenzie sold 2,500 shares of the firm’s stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $40.01, for a total transaction of $100,025.00. Following the completion of the transaction, the vice president directly owned 55,945 shares in the company, valued at approximately $2,238,359.45. The trade was a 4.28% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 31,272 shares of company stock valued at $1,263,318 over the last quarter. Corporate insiders own 0.45% of the company’s stock.

BorgWarner Stock Performance

NYSE BWA opened at $43.83 on Tuesday. The firm has a market cap of $9.48 billion, a price-to-earnings ratio of 46.63, a PEG ratio of 1.58 and a beta of 1.09. The company has a 50 day moving average of $43.39 and a 200-day moving average of $37.45. The company has a current ratio of 2.02, a quick ratio of 1.66 and a debt-to-equity ratio of 0.64. BorgWarner Inc. has a 1-year low of $24.40 and a 1-year high of $44.97.

BorgWarner (NYSE:BWA) last posted its quarterly earnings data on Thursday, October 30th. The auto parts company reported $1.24 earnings per share for the quarter, topping the consensus estimate of $1.16 by $0.08. The company had revenue of $3.59 billion during the quarter, compared to analyst estimates of $3.58 billion. BorgWarner had a net margin of 1.50% and a return on equity of 16.17%. The company’s revenue was up 4.1% on a year-over-year basis. During the same quarter last year, the business posted $1.09 earnings per share. BorgWarner has set its FY 2025 guidance at 4.600-4.750 EPS. On average, equities analysts forecast that BorgWarner Inc. will post 4.28 earnings per share for the current fiscal year.

BorgWarner declared that its Board of Directors has authorized a share repurchase program on Thursday, July 31st that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the auto parts company to repurchase up to 13.2% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its stock is undervalued.

BorgWarner Profile

BorgWarner Inc, together with its subsidiaries, provides solutions for combustion, hybrid, and electric vehicles worldwide. It offers turbochargers, eBoosters, eTurbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, cabin heaters, battery modules and systems, battery heaters, and battery charging.