Michael Hanley Sells 5,000 Shares of BorgWarner (NYSE:BWA) Stock

BorgWarner Inc. (NYSE:BWA) Director Michael Hanley sold 5,000 shares of BorgWarner stock in a transaction that occurred on Friday, August 28th. The stock was sold at an average price of $65.51, for a total transaction of $327,550.00. Following the transaction, the director directly owned 34,313 shares in the company, valued at $2,247,844.63. This trade represents a 12.72% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink.

BorgWarner Price Performance

Shares of BorgWarner stock opened at $65.08 on Thursday. BorgWarner Inc. has a 52-week low of $40.50 and a 52-week high of $78.82. The stock has a market capitalization of $13.25 billion, a price-to-earnings ratio of 32.54, a price-to-earnings-growth ratio of 1.14 and a beta of 1.12. The company has a fifty day moving average of $65.23 and a 200-day moving average of $62.18. 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 issued its earnings results on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, topping analysts’ consensus estimates of $1.28 by $0.14. The company had revenue of $3.65 billion for 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 firm’s revenue was up .3% compared to the same quarter last year. During the same quarter last year, the company earned $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. Equities research analysts expect that BorgWarner Inc. will post 5.2 EPS for the current year.

BorgWarner Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be paid a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend is Tuesday, September 1st. BorgWarner’s payout ratio is 34.00%.

BorgWarner announced that its Board of Directors has authorized a stock repurchase plan on Wednesday, August 5th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the auto parts company to purchase up to 7.7% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s board of directors believes its stock is undervalued.

Institutional Investors Weigh In On BorgWarner

Several hedge funds have recently made changes to their positions in BWA. Clearstead Trust LLC purchased a new position in BorgWarner during the second quarter valued at $28,000. Prosperity Bancshares Inc purchased a new stake in shares of BorgWarner in the 4th quarter worth about $37,000. Ceredex Value Advisors LLC bought a new position in shares of BorgWarner in the 2nd quarter worth about $40,000. Fiduciary Financial Advisors bought a new position in shares of BorgWarner in the 2nd quarter worth about $49,000. Finally, Cedar Mountain Advisors LLC purchased a new position in BorgWarner during the 1st quarter valued at about $55,000. 95.67% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several analysts have weighed in on the company. JPMorgan Chase & Co. boosted their price objective on BorgWarner from $75.00 to $85.00 and gave the company an “overweight” rating in a research report on Monday, August 10th. Sanford C. Bernstein raised shares of BorgWarner to a “buy” rating in a research report on Wednesday, June 10th. Barclays upped their price objective on shares of BorgWarner from $83.00 to $85.00 and gave the company an “overweight” rating in a research note on Monday, August 10th. TD Cowen raised their target price on BorgWarner from $67.00 to $68.00 and gave the stock a “hold” rating in a research note on Thursday, August 6th. Finally, Wells Fargo & Company upped 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. Nine investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $76.67.

BorgWarner Company Profile

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.