Blue Trust Inc. Raises Stock Position in BorgWarner Inc. $BWA

Blue Trust Inc. increased its stake in BorgWarner Inc. (NYSE:BWA) by 14.4% in the 2nd quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 16,194 shares of the auto parts company’s stock after acquiring an additional 2,043 shares during the quarter. Blue Trust Inc.’s holdings in BorgWarner were worth $542,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. New York State Teachers Retirement System increased its holdings in BorgWarner by 3.8% in the 1st quarter. New York State Teachers Retirement System now owns 219,180 shares of the auto parts company’s stock worth $6,280,000 after acquiring an additional 7,977 shares in the last quarter. Avantax Advisory Services Inc. increased its holdings in BorgWarner by 13.3% in the 1st quarter. Avantax Advisory Services Inc. now owns 13,258 shares of the auto parts company’s stock worth $380,000 after acquiring an additional 1,555 shares in the last quarter. Sage Rhino Capital LLC purchased a new stake in BorgWarner in the 1st quarter worth $235,000. Brown Advisory Inc. purchased a new stake in BorgWarner in the 1st quarter worth $522,000. Finally, Pallas Capital Advisors LLC purchased a new stake in shares of BorgWarner during the second quarter worth $567,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on BWA shares. Evercore ISI upped their target price on shares of BorgWarner from $38.00 to $42.00 and gave the stock an “outperform” rating in a report on Monday, August 4th. Wells Fargo & Company upped their target price on shares of BorgWarner from $50.00 to $54.00 and gave the stock an “overweight” rating in a report on Thursday, September 25th. Morgan Stanley upped their target price on shares of BorgWarner from $40.00 to $42.00 and gave the stock an “overweight” rating in a report on Tuesday, August 12th. Baird R W raised shares of BorgWarner from a “hold” rating to a “strong-buy” rating in a report on Wednesday, September 3rd. Finally, Weiss Ratings reaffirmed a “hold (c)” rating on shares of BorgWarner in a report on Wednesday, October 8th. Two analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and six have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $44.07.

Insiders Place Their Bets

In other BorgWarner news, VP Isabelle Mckenzie sold 2,500 shares of the stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $40.01, for a total transaction of $100,025.00. Following the completion of the transaction, the vice president owned 55,945 shares of the company’s stock, valued at $2,238,359.45. This trade represents a 4.28% 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, Director Alexis P. Michas sold 8,772 shares of the stock in a transaction dated Tuesday, September 2nd. The stock was sold at an average price of $42.31, for a total transaction of $371,143.32. Following the transaction, the director directly owned 78,903 shares of the company’s stock, valued at approximately $3,338,385.93. This trade represents a 10.01% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 31,272 shares of company stock valued at $1,263,318 over the last 90 days. 0.63% of the stock is owned by company insiders.

BorgWarner Trading Down 1.1%

Shares of BWA opened at $41.18 on Monday. The company has a current ratio of 2.02, a quick ratio of 1.66 and a debt-to-equity ratio of 0.64. BorgWarner Inc. has a 12-month low of $24.40 and a 12-month high of $44.97. The firm has a 50-day moving average price of $42.56 and a 200 day moving average price of $35.54. The firm has a market capitalization of $8.91 billion, a P/E ratio of 43.81, a P/E/G ratio of 1.36 and a beta of 1.09.

BorgWarner (NYSE:BWA) last announced its quarterly earnings data on Thursday, July 31st. The auto parts company reported $1.21 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.06 by $0.15. BorgWarner had a net margin of 1.50% and a return on equity of 16.17%. The firm had revenue of $3.64 billion during the quarter, compared to analyst estimates of $3.56 billion. During the same quarter in the prior year, the firm posted $1.19 earnings per share. BorgWarner’s quarterly revenue was up 1.0% on a year-over-year basis. BorgWarner has set its FY 2025 guidance at 4.450-4.65 EPS. Sell-side analysts forecast that BorgWarner Inc. will post 4.28 EPS for the current year.

BorgWarner Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, September 15th. Shareholders of record on Tuesday, September 2nd were paid a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a yield of 1.7%. This is a boost from BorgWarner’s previous quarterly dividend of $0.11. The ex-dividend date of this dividend was Tuesday, September 2nd. BorgWarner’s payout ratio is 72.34%.

BorgWarner announced that its Board of Directors has initiated a stock buyback program on Thursday, July 31st that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the auto parts company to buy up to 13.2% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board believes its shares are undervalued.

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.