BorgWarner (NYSE:BWA) Director Rajesh Kalathur Purchases 7,407 Shares

BorgWarner Inc. (NYSE:BWA) Director Rajesh Kalathur acquired 7,407 shares of BorgWarner stock in a transaction dated Wednesday, August 19th. The stock was purchased at an average price of $67.59 per share, with a total value of $500,639.13. Following the completion of the purchase, the director directly owned 7,407 shares of the company’s stock, valued at $500,639.13. The trade was a ∞ increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

BorgWarner Price Performance

Shares of NYSE:BWA opened at $64.66 on Friday. The business has a 50 day moving average price of $66.48 and a 200 day moving average price of $61.52. BorgWarner Inc. has a twelve month low of $40.50 and a twelve month high of $78.82. The company has a market cap of $13.17 billion, a price-to-earnings ratio of 32.33, a PEG ratio of 1.19 and a beta of 1.10. The company has a quick ratio of 1.76, a current ratio of 2.13 and a debt-to-equity ratio of 0.67.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Wednesday, August 5th. The auto parts company reported $1.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.28 by $0.14. The company had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.58 billion. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The business’s quarterly revenue was up .3% on a year-over-year basis. During the same period last year, the business posted $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. Research analysts predict that BorgWarner Inc. will post 5.19 earnings per share for the current year.

BorgWarner Announces Dividend

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

BorgWarner announced that its Board of Directors has authorized a stock buyback program on Wednesday, August 5th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the auto parts company to purchase up to 7.7% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s management believes its shares are undervalued.

Institutional Trading of BorgWarner

Hedge funds and other institutional investors have recently made changes to their positions in the business. Clearstead Trust LLC acquired a new stake in BorgWarner in the 2nd quarter valued at $28,000. Prosperity Bancshares Inc acquired a new stake in shares of BorgWarner in the fourth quarter valued at about $37,000. Ceredex Value Advisors LLC acquired a new position in BorgWarner during the second quarter valued at approximately $40,000. Torren Management LLC bought a new position in BorgWarner in the fourth quarter valued at approximately $48,000. Finally, Fiduciary Financial Advisors acquired a new position in shares of BorgWarner during the 2nd quarter worth approximately $49,000. 95.67% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of brokerages recently issued reports on BWA. The Goldman Sachs Group restated a “buy” rating and set a $84.00 price objective on shares of BorgWarner in a report on Thursday, June 11th. Barclays upped their price objective on shares of BorgWarner from $83.00 to $85.00 and gave the company an “overweight” rating in a research report on Monday, August 10th. UBS Group upgraded BorgWarner from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $61.00 to $95.00 in a report on Wednesday, June 10th. Sanford C. Bernstein raised BorgWarner to a “buy” rating in a research note on Wednesday, June 10th. Finally, Robert W. Baird set a $79.00 price target on BorgWarner in a report on Thursday, August 6th. Nine research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $75.93.

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.