BorgWarner (NYSE:BWA) Releases FY 2026 Earnings Guidance

BorgWarner (NYSE:BWA) updated its FY 2026 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 5.000-5.200 for the period, compared to the consensus estimate of 5.110. The company issued revenue guidance of $14.0 billion-$14.3 billion, compared to the consensus revenue estimate of $14.4 billion.

Analyst Upgrades and Downgrades

BWA has been the subject of several recent analyst reports. TD Cowen reaffirmed a “hold” rating on shares of BorgWarner in a research note on Thursday. Morgan Stanley set a $60.00 price objective on shares of BorgWarner in a research report on Thursday. Evercore boosted their target price on shares of BorgWarner from $50.00 to $53.00 and gave the company an “outperform” rating in a research report on Monday, November 24th. Barclays raised their price target on shares of BorgWarner from $55.00 to $70.00 and gave the stock an “overweight” rating in a report on Thursday. Finally, The Goldman Sachs Group upped their price objective on shares of BorgWarner from $54.00 to $78.00 and gave the company a “buy” rating in a report on Thursday. Eight investment analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $57.14.

BorgWarner Stock Performance

BWA traded down $0.33 during trading on Thursday, hitting $65.78. 4,733,848 shares of the company traded hands, compared to its average volume of 2,665,575. The company has a quick ratio of 1.69, a current ratio of 2.05 and a debt-to-equity ratio of 0.63. The firm has a market cap of $14.07 billion, a P/E ratio of 104.56, a price-to-earnings-growth ratio of 1.09 and a beta of 1.09. The stock’s fifty day moving average is $47.27 and its 200 day moving average is $44.23. BorgWarner has a one year low of $24.40 and a one year high of $70.08.

BorgWarner (NYSE:BWA) last posted its earnings results on Wednesday, February 11th. The auto parts company reported $1.35 earnings per share for the quarter, topping the consensus estimate of $1.16 by $0.19. BorgWarner had a net margin of 0.94% and a return on equity of 16.72%. The firm had revenue of $3.57 billion during the quarter, compared to the consensus estimate of $3.49 billion. During the same quarter last year, the company earned $1.01 earnings per share. The company’s revenue was up 3.9% on a year-over-year basis. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. As a group, equities analysts predict that BorgWarner will post 4.28 EPS for the current fiscal year.

BorgWarner Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 16th. Shareholders of record on Monday, March 2nd will be paid a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a yield of 1.0%. The ex-dividend date is Monday, March 2nd. BorgWarner’s dividend payout ratio is currently 107.94%.

More BorgWarner News

Here are the key news stories impacting BorgWarner this week:

• Positive Sentiment: Q4 results beat expectations — reported $1.35 EPS vs. ~$1.16 consensus and revenue of $3.57B, driven by powertrain strength and cost savings; this beat is the primary near‑term bullish catalyst. BorgWarner quarterly profit rises on powertrain demand, cost-saving measures
• Positive Sentiment: Multiple OEM program wins across EV and hybrid platforms (800V iDM, BMS expansion, 48V eXD, VTG turbocharger, and generator/iDM awards) — supports multi‑year revenue visibility and was cited when management returned ~$630M to shareholders. BorgWarner Reports 2025 Results and Provides 2026 Guidance
• Positive Sentiment: Strategic entry into the data‑center market — signed a Master Supply Agreement to supply modular turbine generator systems (TurboCell/Endeavour), creating a new end‑market opportunity beyond automotive. BorgWarner Strategically Enters Data Center Market with Power Generation Solution Award
• Positive Sentiment: Analyst commentary highlights the data‑center power play as a material revenue opportunity, reinforcing upside beyond core auto; investors may re-rate the stock if execution continues. BorgWarner’s shift to data center power generation presents substantial revenue opportunity — analyst
• Neutral Sentiment: Momentum/style coverage (Zacks) highlights BWA as a long‑term momentum stock — mainly a market‑sentiment piece rather than new fundamental news. Why BorgWarner (BWA) is a Top Momentum Stock for the Long-Term
• Neutral Sentiment: Earnings call transcript, slides and media coverage provide detail on margin improvement and program timelines — useful for due diligence but not a new catalyst by itself. BorgWarner Inc. (BWA) Q4 2025 Earnings Call Transcript
• Neutral Sentiment: An Investing.com piece cited by Deutsche Bank (headline: “positioned to ‘supercharge AI'”) appeared in your feed but its relevance to BorgWarner is unclear; treat as speculative until confirmed. This name is now positioned to ’supercharge AI’, Deutsche Bank says
• Negative Sentiment: FY‑2026 guidance was slightly soft relative to consensus: EPS guide $5.00–$5.20 (Street ~$5.11) and revenue guide $14.0–$14.3B vs. Street ~$14.4B — this moderation capped upside despite the beat and awards. BorgWarner secures record number of awards, beats Q4 expectations, sets soft FY26 guidance

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. State Street Corp raised its position in shares of BorgWarner by 5.3% in the 2nd quarter. State Street Corp now owns 7,633,760 shares of the auto parts company’s stock worth $255,578,000 after purchasing an additional 380,942 shares during the last quarter. AQR Capital Management LLC increased its stake in BorgWarner by 119.7% during the 3rd quarter. AQR Capital Management LLC now owns 7,518,776 shares of the auto parts company’s stock valued at $330,525,000 after purchasing an additional 4,095,902 shares in the last quarter. Bank of America Corp DE lifted its stake in shares of BorgWarner by 4.3% in the third quarter. Bank of America Corp DE now owns 3,727,884 shares of the auto parts company’s stock worth $163,878,000 after buying an additional 153,637 shares in the last quarter. Fuller & Thaler Asset Management Inc. increased its position in shares of BorgWarner by 14.6% during the fourth quarter. Fuller & Thaler Asset Management Inc. now owns 3,274,442 shares of the auto parts company’s stock valued at $147,546,000 after acquiring an additional 417,221 shares in the last quarter. Finally, Sei Investments Co. raised its holdings in BorgWarner by 8.5% in the 3rd quarter. Sei Investments Co. now owns 2,729,098 shares of the auto parts company’s stock worth $119,972,000 after acquiring an additional 213,406 shares during the last quarter. Institutional investors own 95.67% of the company’s stock.

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.