BorgWarner (NYSE:BWA) Price Target Raised to $50.00 at Evercore ISI

BorgWarner (NYSE:BWA) had its target price hoisted by Evercore ISI from $42.00 to $50.00 in a research report report published on Monday morning, MarketBeat Ratings reports. They currently have an outperform rating on the auto parts company’s stock.

A number of other research analysts also recently issued reports on the company. Zacks Research raised BorgWarner from a “hold” rating to a “strong-buy” rating in a report on Friday, September 12th. Wall Street Zen raised BorgWarner from a “buy” rating to a “strong-buy” rating in a report on Saturday, July 12th. Piper Sandler boosted their price target on BorgWarner from $37.00 to $44.00 and gave the company an “overweight” rating in a report on Friday, August 1st. Morgan Stanley boosted their price objective on BorgWarner from $40.00 to $42.00 and gave the company an “overweight” rating in a research report on Tuesday, August 12th. Finally, Baird R W upgraded BorgWarner from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, September 3rd. Two research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and six have given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $44.64.

BorgWarner Trading Down 0.0%

BorgWarner stock opened at $41.20 on Monday. BorgWarner has a 52 week low of $24.40 and a 52 week high of $44.97. The company has a market capitalization of $8.91 billion, a price-to-earnings ratio of 43.82, a price-to-earnings-growth ratio of 1.36 and a beta of 1.09. The stock has a 50-day moving average price of $42.62 and a 200 day moving average price of $35.64. The company has a quick ratio of 1.66, a current ratio of 2.02 and a debt-to-equity ratio of 0.64.

BorgWarner (NYSE:BWA) last announced its quarterly earnings results on Thursday, July 31st. The auto parts company reported $1.21 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.06 by $0.15. BorgWarner had a return on equity of 16.17% and a net margin of 1.50%.The company had revenue of $3.64 billion during the quarter, compared to the consensus estimate of $3.56 billion. During the same period in the previous year, the company posted $1.19 earnings per share. BorgWarner’s revenue for the quarter was up 1.0% on a year-over-year basis. BorgWarner has set its FY 2025 guidance at 4.450-4.65 EPS. Sell-side analysts anticipate that BorgWarner will post 4.28 EPS for the current year.

BorgWarner announced that its Board of Directors has approved a stock buyback program on Thursday, July 31st that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the auto parts company to purchase up to 13.2% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board believes its shares are undervalued.

BorgWarner Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, September 15th. Investors of record on Tuesday, September 2nd were given a dividend of $0.17 per share. The ex-dividend date was Tuesday, September 2nd. This is a positive change from BorgWarner’s previous quarterly dividend of $0.11. This represents a $0.68 annualized dividend and a dividend yield of 1.7%. BorgWarner’s dividend payout ratio (DPR) is presently 72.34%.

Insider Buying and Selling

In related news, Director Alexis P. Michas sold 8,772 shares of the business’s stock in a transaction that occurred on Tuesday, September 2nd. The stock was sold at an average price of $42.31, for a total transaction of $371,143.32. Following the completion of the sale, the director directly owned 78,903 shares in the company, valued at approximately $3,338,385.93. The trade was a 10.01% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Stefan Demmerle sold 5,000 shares of the business’s stock in a transaction that occurred on Wednesday, August 13th. The stock was sold at an average price of $40.50, for a total value of $202,500.00. Following the sale, the vice president owned 229,040 shares of the company’s stock, valued at $9,276,120. The trade was a 2.14% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 31,272 shares of company stock worth $1,263,318. 0.63% of the stock is owned by corporate insiders.

Institutional Trading of BorgWarner

Several large investors have recently made changes to their positions in BWA. Global X Japan Co. Ltd. increased its position in shares of BorgWarner by 133.4% during the first quarter. Global X Japan Co. Ltd. now owns 915 shares of the auto parts company’s stock worth $26,000 after purchasing an additional 523 shares in the last quarter. Caitong International Asset Management Co. Ltd grew its holdings in BorgWarner by 1,133.3% in the 2nd quarter. Caitong International Asset Management Co. Ltd now owns 777 shares of the auto parts company’s stock valued at $26,000 after buying an additional 714 shares in the last quarter. Assetmark Inc. grew its holdings in BorgWarner by 81.8% in the 2nd quarter. Assetmark Inc. now owns 809 shares of the auto parts company’s stock valued at $27,000 after buying an additional 364 shares in the last quarter. Addison Advisors LLC grew its holdings in BorgWarner by 1,647.8% in the 2nd quarter. Addison Advisors LLC now owns 804 shares of the auto parts company’s stock valued at $27,000 after buying an additional 758 shares in the last quarter. Finally, Manchester Capital Management LLC purchased a new stake in BorgWarner in the 1st quarter valued at $30,000. 95.67% of the stock is currently owned by hedge funds and other institutional investors.

BorgWarner Company 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.