Ritholtz Wealth Management Makes New Investment in BorgWarner Inc. $BWA

Ritholtz Wealth Management bought a new position in shares of BorgWarner Inc. (NYSE:BWA) in the 3rd quarter, according to its most recent disclosure with the SEC. The institutional investor bought 23,109 shares of the auto parts company’s stock, valued at approximately $1,016,000.

A number of other institutional investors have also recently added to or reduced their stakes in the stock. Wright Investors Service Inc. purchased a new position in shares of BorgWarner in the third quarter valued at approximately $334,000. Kera Capital Partners Inc. increased its position in shares of BorgWarner by 43.4% during the third quarter. Kera Capital Partners Inc. now owns 9,059 shares of the auto parts company’s stock worth $398,000 after purchasing an additional 2,741 shares in the last quarter. TD Private Client Wealth LLC raised its stake in BorgWarner by 32.5% in the 3rd quarter. TD Private Client Wealth LLC now owns 5,518 shares of the auto parts company’s stock valued at $243,000 after purchasing an additional 1,354 shares during the last quarter. Quent Capital LLC purchased a new position in BorgWarner in the 3rd quarter valued at $55,000. Finally, Sumitomo Mitsui Trust Group Inc. purchased a new position in BorgWarner in the 3rd quarter valued at $492,000. Institutional investors and hedge funds own 95.67% of the company’s stock.

BorgWarner Stock Performance

Shares of BWA opened at $47.21 on Tuesday. The company has a quick ratio of 1.69, a current ratio of 2.05 and a debt-to-equity ratio of 0.63. BorgWarner Inc. has a 52-week low of $24.40 and a 52-week high of $48.80. The company has a 50-day simple moving average of $45.00 and a 200-day simple moving average of $42.52. The company has a market capitalization of $10.10 billion, a PE ratio of 74.94, a P/E/G ratio of 0.92 and a beta of 1.06.

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

BorgWarner Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, December 15th. Shareholders of record on Monday, December 1st were issued a $0.17 dividend. The ex-dividend date was Monday, December 1st. This represents a $0.68 annualized dividend and a yield of 1.4%. BorgWarner’s payout ratio is 107.94%.

Insiders Place Their Bets

In other BorgWarner news, VP Isabelle Mckenzie sold 3,200 shares of BorgWarner stock in a transaction on Tuesday, November 4th. The shares were sold at an average price of $44.23, for a total value of $141,536.00. Following the transaction, the vice president owned 43,555 shares in the company, valued at $1,926,437.65. This trade represents a 6.84% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, VP Stefan Demmerle sold 15,000 shares of BorgWarner stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $45.52, for a total value of $682,800.00. Following the completion of the transaction, the vice president owned 209,040 shares in the company, valued at $9,515,500.80. The trade was a 6.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 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.

Analyst Upgrades and Downgrades

A number of research firms recently weighed in on BWA. Piper Sandler restated a “neutral” rating and set a $51.00 price target (down from $52.00) on shares of BorgWarner in a research report on Thursday, January 8th. JPMorgan Chase & Co. lifted their price objective on BorgWarner from $45.00 to $53.00 and gave the company an “overweight” rating in a research note on Monday, October 20th. Barclays upped their price objective on BorgWarner from $45.00 to $55.00 and gave the stock an “overweight” rating in a research report on Friday, October 10th. Weiss Ratings reiterated a “hold (c)” rating on shares of BorgWarner in a research note on Wednesday, October 8th. Finally, The Goldman Sachs Group increased their target price on BorgWarner from $45.00 to $52.00 and gave the company a “buy” rating in a report on Monday, September 29th. One investment analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and eight have given a Hold rating to the stock. According to data from MarketBeat, BorgWarner currently has a consensus rating of “Moderate Buy” and an average price target of $47.31.

About BorgWarner

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.