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

Shares of BorgWarner Inc. (NYSE:BWA) have been assigned an average recommendation of “Moderate Buy” from the seventeen brokerages that are currently covering the company, Marketbeat reports. Seven equities research analysts have rated the stock with a hold recommendation and ten have assigned a buy recommendation to the company. The average 1-year target price among brokerages that have covered the stock in the last year is $37.47.

A number of brokerages recently commented on BWA. Guggenheim decreased their price target on BorgWarner from $38.00 to $33.00 and set a “buy” rating for the company in a research report on Tuesday, April 22nd. Wells Fargo & Company increased their price objective on BorgWarner from $40.00 to $44.00 and gave the company an “overweight” rating in a report on Monday, May 19th. Cowen lowered BorgWarner from a “buy” rating to a “hold” rating in a report on Thursday, March 6th. Morgan Stanley reduced their price objective on BorgWarner from $45.00 to $40.00 and set an “overweight” rating for the company in a report on Monday, March 3rd. Finally, Bank of America increased their price objective on BorgWarner from $35.00 to $41.00 and gave the company a “buy” rating in a report on Monday.

Insider Activity at BorgWarner

In related news, VP Isabelle Mckenzie sold 5,000 shares of BorgWarner stock in a transaction on Friday, May 16th. The stock was sold at an average price of $33.25, for a total transaction of $166,250.00. Following the completion of the sale, the vice president now owns 63,445 shares of the company’s stock, valued at approximately $2,109,546.25. This trade represents a 7.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Tonit M. Calaway sold 27,736 shares of BorgWarner stock in a transaction on Monday, May 12th. The shares were sold at an average price of $32.83, for a total value of $910,572.88. Following the sale, the executive vice president now directly owns 214,521 shares of the company’s stock, valued at $7,042,724.43. This represents a 11.45% decrease in their position. The disclosure for this sale can be found here. 0.45% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On BorgWarner

Several large investors have recently added to or reduced their stakes in the business. Mirae Asset Global Investments Co. Ltd. raised its position in BorgWarner by 49.5% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 26,022 shares of the auto parts company’s stock valued at $838,000 after purchasing an additional 8,613 shares in the last quarter. State of Alaska Department of Revenue raised its position in BorgWarner by 96.3% during the fourth quarter. State of Alaska Department of Revenue now owns 51,935 shares of the auto parts company’s stock valued at $1,650,000 after purchasing an additional 25,475 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. raised its position in BorgWarner by 0.9% during the fourth quarter. Sumitomo Mitsui Trust Group Inc. now owns 48,349 shares of the auto parts company’s stock valued at $1,537,000 after purchasing an additional 450 shares in the last quarter. Principle Wealth Partners LLC purchased a new stake in BorgWarner during the fourth quarter valued at about $200,000. Finally, Allspring Global Investments Holdings LLC raised its position in BorgWarner by 3,195.4% during the fourth quarter. Allspring Global Investments Holdings LLC now owns 586,388 shares of the auto parts company’s stock valued at $18,366,000 after purchasing an additional 568,594 shares in the last quarter. Institutional investors own 95.67% of the company’s stock.

BorgWarner Stock Performance

Shares of BWA opened at $33.33 on Thursday. The company has a current ratio of 1.79, a quick ratio of 1.45 and a debt-to-equity ratio of 0.66. The company has a market capitalization of $7.32 billion, a price-to-earnings ratio of 23.31, a PEG ratio of 0.77 and a beta of 1.10. The stock has a 50 day moving average of $30.54 and a 200 day moving average of $30.69. BorgWarner has a 12 month low of $24.40 and a 12 month high of $37.29.

BorgWarner (NYSE:BWA) last issued its quarterly earnings results on Wednesday, May 7th. The auto parts company reported $1.11 EPS for the quarter, beating analysts’ consensus estimates of $0.98 by $0.13. The company had revenue of $3.52 billion during the quarter, compared to the consensus estimate of $3.39 billion. BorgWarner had a return on equity of 15.93% and a net margin of 2.40%. BorgWarner’s revenue was down 2.2% on a year-over-year basis. During the same period last year, the business posted $1.03 earnings per share. As a group, sell-side analysts forecast that BorgWarner will post 4.28 earnings per share for the current year.

BorgWarner Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, June 16th. Stockholders of record on Monday, June 2nd were issued a $0.11 dividend. This represents a $0.44 dividend on an annualized basis and a dividend yield of 1.32%. BorgWarner’s payout ratio is currently 35.20%.

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.