Zacks Research Predicts BorgWarner’s Q4 Earnings (NYSE:BWA)

BorgWarner Inc. (NYSE:BWA) – Equities research analysts at Zacks Research lifted their Q4 2026 earnings per share estimates for shares of BorgWarner in a report released on Wednesday, March 4th. Zacks Research analyst Team now anticipates that the auto parts company will earn $1.36 per share for the quarter, up from their prior forecast of $1.12. The consensus estimate for BorgWarner’s current full-year earnings is $4.28 per share. Zacks Research also issued estimates for BorgWarner’s FY2027 earnings at $5.55 EPS.

BorgWarner (NYSE:BWA) last posted its earnings results on Wednesday, February 11th. The auto parts company reported $1.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.16 by $0.19. BorgWarner had a return on equity of 17.89% and a net margin of 1.93%.The company had revenue of $3.57 billion for the quarter, compared to analysts’ expectations of $3.49 billion. During the same period last year, the business posted $1.01 earnings per share. The firm’s quarterly revenue was up 3.9% compared to the same quarter last year. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS.

A number of other research analysts have also commented on the company. Wells Fargo & Company raised their price target on BorgWarner from $52.00 to $75.00 and gave the company an “overweight” rating in a report on Thursday, February 12th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of BorgWarner in a report on Wednesday, January 21st. New Street Research set a $66.00 price objective on BorgWarner in a report on Thursday, February 12th. Morgan Stanley set a $60.00 target price on shares of BorgWarner in a report on Thursday, February 12th. Finally, UBS Group raised shares of BorgWarner from a “sell” rating to a “neutral” rating and set a $55.00 target price on the stock in a research report on Friday. Eight equities research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $61.31.

BorgWarner Stock Performance

BWA opened at $51.72 on Monday. BorgWarner has a twelve month low of $24.40 and a twelve month high of $70.08. The company has a current ratio of 2.07, a quick ratio of 1.70 and a debt-to-equity ratio of 0.69. The stock has a market cap of $10.71 billion, a PE ratio of 41.38, a price-to-earnings-growth ratio of 1.05 and a beta of 1.04. The business’s 50 day moving average is $52.06 and its 200-day moving average is $46.62.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. Commonwealth of Pennsylvania Public School Empls Retrmt SYS grew its stake in BorgWarner by 7.8% in the second quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 56,411 shares of the auto parts company’s stock valued at $1,889,000 after purchasing an additional 4,078 shares in the last quarter. CWM LLC increased its position in BorgWarner by 218.3% in the 3rd quarter. CWM LLC now owns 235,861 shares of the auto parts company’s stock worth $10,368,000 after purchasing an additional 161,755 shares during the last quarter. Jackson Creek Investment Advisors LLC purchased a new stake in shares of BorgWarner during the 3rd quarter worth about $1,876,000. Columbia Bank acquired a new stake in shares of BorgWarner during the 2nd quarter valued at about $239,000. Finally, Ritholtz Wealth Management acquired a new stake in shares of BorgWarner during the 3rd quarter valued at about $1,016,000. Institutional investors and hedge funds own 95.67% of the company’s stock.

Insiders Place Their Bets

In other news, EVP Tonit M. Calaway sold 9,725 shares of the stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $62.61, for a total value of $608,882.25. Following the completion of the sale, the executive vice president directly owned 230,526 shares of the company’s stock, valued at $14,433,232.86. This represents a 4.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Isabelle Mckenzie sold 2,458 shares of the firm’s stock in a transaction that occurred on Wednesday, February 18th. The stock was sold at an average price of $61.54, for a total transaction of $151,265.32. Following the sale, the vice president owned 66,351 shares of the company’s stock, valued at approximately $4,083,240.54. This represents a 3.57% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 49,550 shares of company stock worth $3,156,141. 0.63% of the stock is currently owned by company insiders.

BorgWarner Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 16th. Investors of record on Monday, March 2nd will be paid a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 1.3%. The ex-dividend date of this dividend is Monday, March 2nd. BorgWarner’s dividend payout ratio is currently 54.40%.

Key Stories Impacting BorgWarner

Here are the key news stories impacting BorgWarner this week:

• Positive Sentiment: Zacks Research raised multiple quarterly and full‑year earnings estimates — including lifting FY2026 to $5.03 (from $4.66) and issuing FY2028 at $5.93 — signaling a stronger earnings trajectory than previously modeled. This is a fundamental catalyst that can support higher valuation. Zacks/MarketBeat Estimates Lift
• Positive Sentiment: UBS upgraded BWA from “sell” to “neutral” and set a $55 price target (~6.6% above the current price), reflecting improving analyst sentiment and reducing downside risk from prior negative coverage. Benzinga: UBS Upgrade
• Neutral Sentiment: Zacks published a feature arguing BorgWarner is a “strong growth stock” highlighting style/score metrics that could attract growth-minded investors, but this is narrative support rather than a fresh financial catalyst. Here’s Why BorgWarner is a Strong Growth Stock
• Neutral Sentiment: Another Zacks piece asks if investors are undervaluing BWA, which can influence sentiment and flows but doesn’t change fundamentals by itself. Are Investors Undervaluing BorgWarner?
• Neutral Sentiment: A Zacks summary of Wall Street price targets highlights a consensus implying ~27.7% upside, which may attract momentum buyers but is a forward-looking estimate with typical uncertainty. Wall Street Analysts Think BWA Could Surge

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.