BorgWarner Inc. (NYSE:BWA) Receives $41.41 Consensus PT from Analysts

Shares of BorgWarner Inc. (NYSE:BWA) have been given a consensus recommendation of “Moderate Buy” by the fifteen brokerages that are covering the firm, MarketBeat.com reports. Five research analysts have rated the stock with a hold rating and ten have given a buy rating to the company. The average 12 month target price among analysts that have updated their coverage on the stock in the last year is $41.07.

A number of equities analysts have commented on BWA shares. JPMorgan Chase & Co. lifted their price objective on shares of BorgWarner from $50.00 to $51.00 and gave the stock an “overweight” rating in a research note on Monday, August 5th. Robert W. Baird boosted their price objective on BorgWarner from $38.00 to $39.00 and gave the stock a “neutral” rating in a research note on Thursday, August 1st. StockNews.com raised BorgWarner from a “hold” rating to a “buy” rating in a research note on Friday, August 2nd. TD Cowen boosted their target price on BorgWarner from $36.00 to $40.00 and gave the company a “buy” rating in a research report on Friday, May 3rd. Finally, Barclays raised their price target on BorgWarner from $45.00 to $47.00 and gave the stock an “overweight” rating in a research report on Thursday, August 1st.

BorgWarner Stock Performance

Shares of NYSE BWA opened at $32.51 on Friday. The firm’s fifty day moving average is $32.65 and its two-hundred day moving average is $33.34. BorgWarner has a 52-week low of $29.51 and a 52-week high of $42.27. The company has a market cap of $7.41 billion, a P/E ratio of 12.31, a P/E/G ratio of 0.78 and a beta of 1.22. The company has a debt-to-equity ratio of 0.52, a quick ratio of 1.20 and a current ratio of 1.62.

BorgWarner (NYSE:BWA) last released its quarterly earnings results on Wednesday, July 31st. The auto parts company reported $1.19 earnings per share for the quarter, beating the consensus estimate of $1.01 by $0.18. The business had revenue of $3.60 billion during the quarter, compared to analysts’ expectations of $3.69 billion. BorgWarner had a return on equity of 15.50% and a net margin of 4.97%. The firm’s revenue for the quarter was down 20.3% compared to the same quarter last year. During the same quarter last year, the business posted $1.35 EPS. As a group, analysts anticipate that BorgWarner will post 4.06 EPS for the current fiscal year.

BorgWarner Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 16th. Investors of record on Tuesday, September 3rd will be given a dividend of $0.11 per share. This represents a $0.44 dividend on an annualized basis and a yield of 1.35%. The ex-dividend date is Tuesday, September 3rd. BorgWarner’s payout ratio is currently 16.67%.

BorgWarner declared that its Board of Directors has approved a share buyback program on Thursday, May 2nd that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the auto parts company to purchase up to 6% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s board believes its stock is undervalued.

Insider Buying and Selling at BorgWarner

In other news, CAO Tonit M. Calaway sold 10,868 shares of BorgWarner stock in a transaction that occurred on Monday, August 5th. The shares were sold at an average price of $31.74, for a total value of $344,950.32. Following the transaction, the chief accounting officer now owns 206,083 shares of the company’s stock, valued at approximately $6,541,074.42. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. In other news, EVP Tania Wingfield sold 2,066 shares of the firm’s stock in a transaction on Tuesday, August 13th. The stock was sold at an average price of $32.00, for a total value of $66,112.00. Following the completion of the sale, the executive vice president now owns 46,016 shares of the company’s stock, valued at approximately $1,472,512. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Tonit M. Calaway sold 10,868 shares of the company’s stock in a transaction dated Monday, August 5th. The shares were sold at an average price of $31.74, for a total value of $344,950.32. Following the transaction, the chief accounting officer now directly owns 206,083 shares in the company, valued at $6,541,074.42. The disclosure for this sale can be found here. Insiders own 0.45% of the company’s stock.

Institutional Investors Weigh In On BorgWarner

A number of large investors have recently modified their holdings of BWA. Quarry LP acquired a new stake in BorgWarner in the 2nd quarter worth approximately $96,000. NewEdge Advisors LLC raised its holdings in shares of BorgWarner by 28.5% in the second quarter. NewEdge Advisors LLC now owns 37,655 shares of the auto parts company’s stock worth $1,214,000 after buying an additional 8,361 shares during the last quarter. Creative Planning lifted its stake in shares of BorgWarner by 4.9% during the second quarter. Creative Planning now owns 26,641 shares of the auto parts company’s stock worth $859,000 after buying an additional 1,246 shares during the period. Algert Global LLC purchased a new stake in shares of BorgWarner during the second quarter valued at $3,107,000. Finally, Dark Forest Capital Management LP acquired a new position in shares of BorgWarner in the 2nd quarter valued at $389,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

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.