BorgWarner Inc. (NYSE:BWA) Given Average Recommendation of “Moderate Buy” by Brokerages

Shares of BorgWarner Inc. (NYSE:BWA) have earned a consensus recommendation of “Moderate Buy” from the seventeen brokerages that are covering the stock, MarketBeat.com reports. Six research analysts have rated the stock with a hold recommendation, ten have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1-year price target among analysts that have covered the stock in the last year is $46.0769.

A number of analysts have recently issued reports on BWA shares. JPMorgan Chase & Co. lifted their price target on BorgWarner from $45.00 to $53.00 and gave the company an “overweight” rating in a research report on Monday, October 20th. Zacks Research lowered shares of BorgWarner from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 13th. Bank of America lowered shares of BorgWarner from a “buy” rating to a “neutral” rating and increased their price target for the stock from $41.00 to $46.00 in a report on Wednesday, September 10th. Morgan Stanley raised their price objective on shares of BorgWarner from $40.00 to $42.00 and gave the company an “overweight” rating in a research report on Tuesday, August 12th. Finally, Evercore ISI lifted their price objective on shares of BorgWarner from $50.00 to $53.00 and gave the stock an “outperform” rating in a report on Monday, November 24th.

BorgWarner Stock Performance

NYSE BWA opened at $43.19 on Thursday. The company’s 50 day simple moving average is $43.50 and its two-hundred day simple moving average is $39.58. The company has a debt-to-equity ratio of 0.63, a current ratio of 2.05 and a quick ratio of 1.69. BorgWarner has a 1 year low of $24.40 and a 1 year high of $46.39. The stock has a market capitalization of $9.24 billion, a PE ratio of 68.55, a P/E/G ratio of 1.04 and a beta of 1.06.

BorgWarner (NYSE:BWA) last released its quarterly earnings results on Thursday, October 30th. The auto parts company reported $1.24 EPS for the quarter, beating analysts’ consensus estimates of $1.16 by $0.08. BorgWarner had a net margin of 0.94% and a return on equity of 16.72%. The firm had revenue of $3.59 billion during the quarter, compared to analyst estimates of $3.58 billion. During the same period in the previous year, the business earned $1.09 EPS. The business’s revenue for the quarter was up 4.1% on a year-over-year basis. BorgWarner has set its FY 2025 guidance at 4.600-4.750 EPS. Analysts predict that BorgWarner will post 4.28 earnings per share for the current fiscal year.

BorgWarner Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, December 15th. Shareholders of record on Monday, December 1st will be paid a dividend of $0.17 per share. The ex-dividend date of this dividend is Monday, December 1st. This represents a $0.68 annualized dividend and a yield of 1.6%. BorgWarner’s payout ratio is 107.94%.

Insider Activity

In other BorgWarner news, VP Stefan Demmerle sold 15,000 shares of the stock in a transaction that occurred on Tuesday, November 11th. The shares were sold at an average price of $45.52, for a total transaction of $682,800.00. Following the transaction, the vice president directly owned 209,040 shares in the company, valued at $9,515,500.80. This trade represents a 6.70% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP Isabelle Mckenzie sold 3,200 shares of the business’s stock in a transaction that occurred on Tuesday, November 4th. The stock was sold at an average price of $44.23, for a total transaction of $141,536.00. Following the completion of the sale, the vice president owned 43,555 shares of the company’s stock, valued at approximately $1,926,437.65. The trade was a 6.84% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 23,200 shares of company stock worth $1,054,336 over the last quarter. Corporate insiders own 0.63% of the company’s stock.

Hedge Funds Weigh In On BorgWarner

Several institutional investors and hedge funds have recently made changes to their positions in the business. Commonwealth of Pennsylvania Public School Empls Retrmt SYS grew its position in BorgWarner by 7.8% during the 2nd quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 56,411 shares of the auto parts company’s stock worth $1,889,000 after acquiring an additional 4,078 shares during the last quarter. Avantax Advisory Services Inc. boosted its stake in shares of BorgWarner by 13.3% during the first quarter. Avantax Advisory Services Inc. now owns 13,258 shares of the auto parts company’s stock valued at $380,000 after purchasing an additional 1,555 shares during the period. Pallas Capital Advisors LLC bought a new position in shares of BorgWarner in the second quarter worth approximately $567,000. Zurich Insurance Group Ltd FI purchased a new position in shares of BorgWarner in the first quarter worth $1,223,000. Finally, Sivia Capital Partners LLC bought a new stake in BorgWarner during the 2nd quarter valued at $339,000. Institutional investors own 95.67% of the company’s stock.

About BorgWarner

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.