Shares of BorgWarner Inc. (NYSE:BWA – Get Free Report) have earned an average rating of “Moderate Buy” from the fifteen brokerages that are presently covering the company, Marketbeat.com reports. Six equities research analysts have rated the stock with a hold recommendation and nine have given a buy recommendation to the company. The average twelve-month target price among brokers that have covered the stock in the last year is $78.8571.
BWA has been the subject of a number of research reports. Wells Fargo & Company boosted their price target on BorgWarner from $68.00 to $83.00 and gave the company an “overweight” rating in a research report on Tuesday, June 2nd. Robert W. Baird set a $79.00 price objective on BorgWarner in a research note on Thursday, August 6th. The Goldman Sachs Group reiterated a “buy” rating and set a $84.00 target price on shares of BorgWarner in a report on Thursday, June 11th. Weiss Ratings raised shares of BorgWarner from a “hold (c)” rating to a “hold (c+)” rating in a research report on Monday, June 29th. Finally, JPMorgan Chase & Co. raised their price target on shares of BorgWarner from $75.00 to $85.00 and gave the company an “overweight” rating in a report on Monday, August 10th.
View Our Latest Stock Report on BorgWarner
BorgWarner Stock Performance
BorgWarner (NYSE:BWA – Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The auto parts company reported $1.42 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.28 by $0.14. The company had revenue of $3.65 billion during the quarter, compared to analysts’ expectations of $3.58 billion. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The business’s quarterly revenue was up .3% compared to the same quarter last year. During the same period in the previous year, the company earned $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. Analysts expect that BorgWarner will post 5.2 EPS for the current year.
BorgWarner declared that its Board of Directors has approved a share buyback plan on Wednesday, August 5th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the auto parts company to reacquire up to 7.7% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s management believes its stock is undervalued.
BorgWarner Announces Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be given a $0.17 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $0.68 annualized dividend and a dividend yield of 1.0%. BorgWarner’s dividend payout ratio is presently 34.00%.
Insider Activity at BorgWarner
In other BorgWarner news, CAO Amy B. Kulikowski sold 2,900 shares of the firm’s stock in a transaction dated Tuesday, August 18th. The stock was sold at an average price of $68.60, for a total value of $198,940.00. Following the transaction, the chief accounting officer directly owned 9,725 shares of the company’s stock, valued at $667,135. This trade represents a 22.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Michael S. Hanley sold 5,000 shares of the business’s stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $65.51, for a total value of $327,550.00. Following the transaction, the director owned 34,313 shares in the company, valued at approximately $2,247,844.63. This represents a 12.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.76% of the company’s stock.
Institutional Investors Weigh In On BorgWarner
Several hedge funds have recently modified their holdings of the stock. Clearstead Trust LLC purchased a new position in BorgWarner in the 2nd quarter worth approximately $28,000. Prosperity Bancshares Inc acquired a new position in shares of BorgWarner during the fourth quarter worth $37,000. Ceredex Value Advisors LLC acquired a new position in shares of BorgWarner during the second quarter worth $40,000. Fiduciary Financial Advisors purchased a new position in shares of BorgWarner in the second quarter valued at $49,000. Finally, Cedar Mountain Advisors LLC purchased a new position in shares of BorgWarner in the first quarter valued at $55,000. 95.67% of the stock is currently owned by hedge funds and other institutional investors.
BorgWarner Company Profile
BorgWarner Inc (NYSE:BWA) is a global automotive technology company headquartered in Auburn Hills, Michigan. The company develops and supplies propulsion and drivetrain systems for passenger vehicles, commercial vehicles and off-highway applications, serving automakers and other transportation manufacturers worldwide.
Its product portfolio includes turbochargers, transmission systems, dual-clutch modules, four-wheel-drive systems, emissions technologies, and components for hybrid and internal-combustion vehicles.
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