Ariel Investments LLC Trims Stake in BorgWarner Inc. $BWA

Ariel Investments LLC lessened its stake in shares of BorgWarner Inc. (NYSE:BWA) by 90.5% in the 2nd quarter, according to its most recent disclosure with the SEC. The firm owned 64,987 shares of the auto parts company’s stock after selling 621,015 shares during the period. Ariel Investments LLC’s holdings in BorgWarner were worth $2,176,000 as of its most recent SEC filing.

Several other institutional investors have also recently made changes to their positions in BWA. Commonwealth of Pennsylvania Public School Empls Retrmt SYS increased its stake in BorgWarner by 7.8% in 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 buying an additional 4,078 shares in the last quarter. Pallas Capital Advisors LLC bought a new position in shares of BorgWarner in the second quarter worth about $567,000. Columbia Bank purchased a new stake in shares of BorgWarner during the second quarter worth about $239,000. Zurich Insurance Group Ltd FI bought a new stake in BorgWarner during the 1st quarter valued at approximately $1,223,000. Finally, Sivia Capital Partners LLC purchased a new position in BorgWarner in the 2nd quarter worth approximately $339,000. Institutional investors own 95.67% of the company’s stock.

Wall Street Analyst Weigh In

BWA has been the subject of a number of research analyst reports. UBS Group increased their price objective on shares of BorgWarner from $43.00 to $46.00 and gave the company a “neutral” rating in a report on Monday, October 6th. Zacks Research lowered shares of BorgWarner from a “strong-buy” rating to a “hold” rating in a research report on Monday, October 13th. Morgan Stanley reaffirmed an “equal weight” rating and set a $49.00 target price (up from $42.00) on shares of BorgWarner in a research note on Monday. Baird R W upgraded shares of BorgWarner from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, September 3rd. Finally, Weiss Ratings restated a “hold (c)” rating on shares of BorgWarner in a research report on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and seven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $46.46.

BorgWarner Stock Performance

BorgWarner stock opened at $42.07 on Wednesday. The company’s 50-day moving average price is $43.41 and its 200-day moving average price is $39.90. The company has a quick ratio of 1.69, a current ratio of 2.05 and a debt-to-equity ratio of 0.63. The company has a market cap of $9.00 billion, a PE ratio of 66.78, a price-to-earnings-growth ratio of 1.02 and a beta of 1.06. BorgWarner Inc. has a twelve month low of $24.40 and a twelve month high of $46.39.

BorgWarner (NYSE:BWA) last announced 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. The firm had revenue of $3.59 billion during the quarter, compared to the consensus estimate of $3.58 billion. BorgWarner had a net margin of 0.94% and a return on equity of 16.72%. The firm’s revenue for the quarter was up 4.1% compared to the same quarter last year. During the same quarter last year, the firm earned $1.09 EPS. BorgWarner has set its FY 2025 guidance at 4.600-4.750 EPS. On average, equities research analysts forecast that BorgWarner Inc. will post 4.28 EPS for the current fiscal year.

BorgWarner Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, December 15th. Stockholders of record on Monday, December 1st will be issued a $0.17 dividend. The ex-dividend date is Monday, December 1st. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.6%. BorgWarner’s payout ratio is 107.94%.

Insider Activity at BorgWarner

In related news, VP Isabelle Mckenzie sold 3,200 shares of the stock in a transaction 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 sale, the vice president owned 43,555 shares in the company, valued at approximately $1,926,437.65. This represents a 6.84% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, VP Stefan Demmerle sold 15,000 shares of the firm’s stock in a transaction on Tuesday, November 11th. The stock was sold at an average price of $45.52, for a total value of $682,800.00. Following the completion of the sale, the vice president owned 209,040 shares of the company’s stock, valued at approximately $9,515,500.80. This represents a 6.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 23,200 shares of company stock worth $1,054,336. Corporate insiders own 0.63% of the company’s stock.

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.