BorgWarner (NYSE:BWA) Stock Gets Price Target Trim from Morgan Stanley

BorgWarner (NYSE:BWA) had its price objective reduced by analysts at Morgan Stanley from $95.00 to $89.00 in a research note issued on Friday, Benzinga reports. The brokerage presently has an “overweight” rating on the auto parts company’s stock. Morgan Stanley‘s price objective suggests a potential upside of 74.24% from the company’s previous close.

Several other analysts also recently weighed in on BWA. TD Cowen boosted their target price on shares of BorgWarner from $67.00 to $68.00 and gave the stock a “hold” rating in a research report on Thursday, August 6th. Royal Bank Of Canada decreased their target price on BorgWarner from $87.00 to $75.00 and set an “outperform” rating for the company in a report on Friday. Robert W. Baird set a $79.00 target price on shares of BorgWarner in a research report on Thursday, August 6th. Deutsche Bank Aktiengesellschaft set a $80.00 target price on BorgWarner in a report on Thursday, August 6th. Finally, Weiss Ratings reaffirmed a “hold (c+)” rating on shares of BorgWarner in a report on Friday, September 25th. Eleven investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $79.40.

BorgWarner Stock Down 4.2%

Shares of BWA stock traded down $2.22 during mid-day trading on Friday, hitting $51.08. The stock had a trading volume of 1,703,221 shares, compared to its average volume of 2,748,001. The firm has a market capitalization of $10.40 billion, a P/E ratio of 25.53, a price-to-earnings-growth ratio of 0.82 and a beta of 1.16. The company has a debt-to-equity ratio of 0.67, a current ratio of 2.13 and a quick ratio of 1.76. BorgWarner has a 12-month low of $40.73 and a 12-month high of $78.82. The firm’s 50-day moving average is $61.57 and its two-hundred day moving average is $60.52.

BorgWarner (NYSE:BWA) last posted its earnings results on Thursday, October 29th. The auto parts company reported $1.39 earnings per share for the quarter, topping analysts’ consensus estimates of $1.25 by $0.14. The company had revenue of $3.49 billion during the quarter, compared to analyst estimates of $3.50 billion. BorgWarner had a return on equity of 19.10% and a net margin of 2.89%. BorgWarner’s revenue was down 2.9% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.24 earnings per share. On average, analysts predict that BorgWarner will post 5.19 earnings per share for the current fiscal year.

BorgWarner declared that its board has approved a stock buyback program on Wednesday, August 5th that allows the company to repurchase $1 billion in outstanding shares. This repurchase authorization allows the auto parts company to buy up to 7.7% of its shares through open market purchases. Stock repurchase programs are typically an indication that the company’s management believes its stock is undervalued.

Insider Buying and Selling

In other news, Director Rajesh Kalathur acquired 7,407 shares of the company’s stock in a transaction on Wednesday, August 19th. The shares were bought at an average price of $67.59 per share, with a total value of $500,639.13. Following the completion of the acquisition, the director owned 7,407 shares in the company, valued at $500,639.13. This trade represents a ∞ increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, CAO Amy B. Kulikowski sold 2,900 shares of the stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $68.60, for a total value of $198,940.00. Following the completion of the sale, the chief accounting officer directly owned 9,725 shares of the company’s stock, valued at $667,135. The trade was a 22.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 0.76% of the company’s stock.

Institutional Trading of BorgWarner

Institutional investors have recently modified their holdings of the business. BlackRock Inc. acquired a new stake in BorgWarner in the 2nd quarter valued at about $1,678,187,000. William Blair Investment Management LLC acquired a new position in shares of BorgWarner in the second quarter valued at approximately $251,305,000. Bank of America Corp DE purchased a new position in shares of BorgWarner during the second quarter valued at approximately $250,618,000. Bank of New York Mellon Corp acquired a new stake in BorgWarner during the second quarter worth approximately $112,292,000. Finally, SEB Asset Management AB purchased a new position in shares of BorgWarner during the 1st quarter worth $50,930,000. 95.67% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about BorgWarner

Here are the key news stories impacting BorgWarner this week:

• Positive Sentiment: Adjusted EPS exceeded expectations. BorgWarner reported third-quarter adjusted earnings of $1.39 per share, ahead of consensus estimates near $1.24-$1.25 and up from $1.24 a year earlier. Cost reductions, share repurchases and improved profitability supported the earnings performance. BorgWarner Reports Strong Third Quarter 2026 Results
• Positive Sentiment: Electrification and turbocharger wins strengthen the long-term growth story. BorgWarner announced nine business awards, including high-voltage inverter contracts, multiple eMotor awards in China and three turbocharger awards with a global powertrain manufacturer. A silicon-carbide supply agreement with Wolfspeed also supports the company’s inverter strategy. High-Voltage Inverter Supply Agreement
• Neutral Sentiment: Analyst sentiment remains constructive but less bullish. Royal Bank of Canada lowered its price target from $87 to $75 while maintaining an “outperform” rating, implying substantial potential appreciation from recent trading levels. The reduction reflects more cautious near-term expectations rather than a change to its positive rating. RBC Lowers BorgWarner Price Target
• Negative Sentiment: Revenue and volumes remain the key weaknesses. Third-quarter revenue of $3.49 billion was slightly below estimates and declined 2.9% year over year, primarily reflecting lower production volumes. Reports that BorgWarner reduced parts of its 2026 outlook are likely offsetting the earnings beat and raising concerns about demand and auto-sector conditions. BorgWarner Q3 Results and Revised Outlook

About BorgWarner

BorgWarner Inc (NYSE:BWA) is a global automotive technology company that develops and manufactures propulsion and mobility systems for vehicle manufacturers and commercial vehicle customers. The company serves both internal-combustion and electrified vehicle markets, with a portfolio focused on improving vehicle efficiency, performance, emissions, and electrification.

Its products and technologies include turbochargers, emissions and thermal-management systems, transmission components, friction products, battery systems, battery charging equipment, power electronics, electric motors, and other electric-drive components.