BorgWarner (NYSE:BWA) Director Michael Hanley Sells 5,000 Shares of Stock

BorgWarner Inc. (NYSE:BWA) Director Michael Hanley sold 5,000 shares of the firm’s stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $65.51, for a total transaction of $327,550.00. Following the completion of the transaction, the director owned 34,313 shares of the company’s stock, valued at approximately $2,247,844.63. The trade was a 12.72% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website.

BorgWarner Stock Performance

BorgWarner stock opened at $63.68 on Wednesday. BorgWarner Inc. has a fifty-two week low of $40.50 and a fifty-two week high of $78.82. The firm’s 50 day simple moving average is $65.29 and its 200-day simple moving average is $62.19. The company has a debt-to-equity ratio of 0.67, a current ratio of 2.13 and a quick ratio of 1.76. The company has a market cap of $12.97 billion, a P/E ratio of 31.84, a price-to-earnings-growth ratio of 1.15 and a beta of 1.12.

BorgWarner (NYSE:BWA) last posted its quarterly earnings data on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, topping analysts’ consensus estimates of $1.28 by $0.14. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The firm had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.58 billion. During the same quarter last year, the business posted $1.21 EPS. The company’s revenue was up .3% on a year-over-year basis. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. As a group, equities research analysts predict that BorgWarner Inc. will post 5.2 EPS for the current year.

BorgWarner Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be given a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Tuesday, September 1st. BorgWarner’s dividend payout ratio (DPR) is 34.00%.

BorgWarner declared that its Board of Directors has authorized a share repurchase plan on Wednesday, August 5th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the auto parts company to buy up to 7.7% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its stock is undervalued.

Wall Street Analyst Weigh In

A number of brokerages have commented on BWA. The Goldman Sachs Group restated a “buy” rating and set a $84.00 price objective on shares of BorgWarner in a research report on Thursday, June 11th. Wolfe Research reiterated an “outperform” rating and issued a $95.00 target price on shares of BorgWarner in a report on Wednesday, June 3rd. Morgan Stanley increased their price target on shares of BorgWarner from $67.00 to $71.00 and gave the stock an “equal weight” rating in a research report on Thursday, August 6th. Deutsche Bank Aktiengesellschaft set a $80.00 price objective on shares of BorgWarner in a research report on Thursday, August 6th. Finally, Sanford C. Bernstein upgraded shares of BorgWarner to a “buy” rating in a research note on Wednesday, June 10th. Ten equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $76.67.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. BlackRock Inc. acquired a new stake in shares of BorgWarner during the 2nd quarter valued at about $1,678,187,000. California State Teachers Retirement System grew its stake in shares of BorgWarner by 6,262.3% in the 2nd quarter. California State Teachers Retirement System now owns 15,870,795 shares of the auto parts company’s stock valued at $1,053,821,000 after buying an additional 15,621,343 shares in the last quarter. AQR Capital Management LLC increased its holdings in BorgWarner by 119.7% in the third quarter. AQR Capital Management LLC now owns 7,518,776 shares of the auto parts company’s stock worth $330,525,000 after buying an additional 4,095,902 shares during the last quarter. William Blair Investment Management LLC acquired a new position in BorgWarner in the second quarter worth approximately $251,305,000. Finally, Bank of America Corp DE bought a new position in BorgWarner during the second quarter valued at approximately $250,618,000. 95.67% of the stock is owned by institutional investors and hedge funds.

BorgWarner Company Profile

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.