BorgWarner Inc. $BWA Position Boosted by Geode Capital Management LLC

Geode Capital Management LLC lifted its position in BorgWarner Inc. (NYSE:BWA) by 0.1% in the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 3,825,759 shares of the auto parts company’s stock after acquiring an additional 2,855 shares during the quarter. Geode Capital Management LLC owned 1.77% of BorgWarner worth $128,107,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also modified their holdings of the business. LSV Asset Management grew its position in shares of BorgWarner by 36.7% during the 1st quarter. LSV Asset Management now owns 5,889,080 shares of the auto parts company’s stock valued at $168,722,000 after buying an additional 1,580,935 shares during the last quarter. Millennium Management LLC boosted its stake in BorgWarner by 144.7% in the first quarter. Millennium Management LLC now owns 2,009,744 shares of the auto parts company’s stock valued at $57,579,000 after acquiring an additional 1,188,466 shares during the period. Leith Wheeler Investment Counsel Ltd. bought a new position in shares of BorgWarner during the first quarter valued at approximately $28,989,000. Public Sector Pension Investment Board raised its position in shares of BorgWarner by 1,121.2% during the 1st quarter. Public Sector Pension Investment Board now owns 693,551 shares of the auto parts company’s stock worth $19,870,000 after purchasing an additional 636,757 shares during the period. Finally, Cubist Systematic Strategies LLC acquired a new stake in shares of BorgWarner during the 1st quarter worth approximately $16,488,000. 95.67% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on BWA. Evercore ISI upped their price objective on BorgWarner from $42.00 to $50.00 and gave the stock an “outperform” rating in a research note on Monday, October 13th. Bank of America lowered shares of BorgWarner from a “buy” rating to a “neutral” rating and upped their price target for the stock from $41.00 to $46.00 in a research report on Wednesday, September 10th. Piper Sandler increased their price objective on shares of BorgWarner from $37.00 to $44.00 and gave the stock an “overweight” rating in a report on Friday, August 1st. JPMorgan Chase & Co. boosted their target price on shares of BorgWarner from $45.00 to $53.00 and gave the company an “overweight” rating in a research note on Monday, October 20th. Finally, The Goldman Sachs Group upped their target price on shares of BorgWarner from $45.00 to $52.00 and gave the stock a “buy” rating in a research report on Monday, September 29th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $45.85.

BorgWarner Stock Performance

BWA stock opened at $43.10 on Thursday. The company has a 50-day simple moving average of $43.70 and a 200 day simple moving average of $38.79. The company has a market capitalization of $9.22 billion, a P/E ratio of 45.85, a PEG ratio of 1.58 and a beta of 1.06. 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 Inc. has a fifty-two week low of $24.40 and a fifty-two week high of $46.39.

BorgWarner (NYSE:BWA) last released its earnings results on Thursday, October 30th. The auto parts company reported $1.24 EPS for the quarter, beating the consensus estimate of $1.16 by $0.08. BorgWarner had a net margin of 1.50% and a return on equity of 16.17%. The firm had revenue of $3.59 billion for the quarter, compared to analysts’ expectations of $3.58 billion. During the same quarter last year, the company earned $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. Sell-side analysts predict that BorgWarner Inc. 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. This represents a $0.68 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend is Monday, December 1st. BorgWarner’s dividend payout ratio (DPR) is presently 107.94%.

BorgWarner declared that its board has authorized a stock buyback plan on Thursday, July 31st that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the auto parts company to buy up to 13.2% of its stock through open market purchases. Stock buyback plans are often an indication that the company’s management believes its stock is undervalued.

Insider Activity

In related news, VP Isabelle Mckenzie sold 3,200 shares of the firm’s stock in a transaction dated 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 transaction, the vice president owned 43,555 shares of the company’s stock, valued at $1,926,437.65. This trade represents a 6.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, VP Stefan Demmerle sold 15,000 shares of the business’s stock in a transaction dated Tuesday, November 11th. The stock was sold at an average price of $45.52, for a total transaction of $682,800.00. Following the completion of the sale, the vice president owned 209,040 shares in the company, valued at approximately $9,515,500.80. This trade represents a 6.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 31,972 shares of company stock worth $1,425,479. 0.45% of the stock is owned by company insiders.

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.