BorgWarner (NYSE:BWA) and Pinewood Technologies Group (OTCMKTS:PINWF) Critical Survey

Pinewood Technologies Group (OTCMKTS:PINWF) and BorgWarner (NYSE:BWA) are both consumer discretionary companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, risk, dividends, valuation and earnings.

Profitability

This table compares Pinewood Technologies Group and BorgWarner’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pinewood Technologies Group	N/A	N/A	N/A
BorgWarner	2.89%	19.10%	7.93%

Valuation and Earnings

This table compares Pinewood Technologies Group and BorgWarner”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pinewood Technologies Group	$53.40 million	13.04	$66.33 million	N/A	N/A
BorgWarner	$14.34 billion	0.96	$277.00 million	$2.00	33.87

BorgWarner has higher revenue and earnings than Pinewood Technologies Group.

Volatility & Risk

Pinewood Technologies Group has a beta of 1.06, meaning that its stock price is 6% more volatile than the S&P 500. Comparatively, BorgWarner has a beta of 1.1, meaning that its stock price is 10% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Pinewood Technologies Group and BorgWarner, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pinewood Technologies Group	0	0	0	0	0.00
BorgWarner	0	6	9	0	2.60

BorgWarner has a consensus price target of $75.93, suggesting a potential upside of 12.09%. Given BorgWarner’s stronger consensus rating and higher probable upside, analysts plainly believe BorgWarner is more favorable than Pinewood Technologies Group.

Institutional and Insider Ownership

95.7% of BorgWarner shares are owned by institutional investors. 0.8% of BorgWarner shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

BorgWarner beats Pinewood Technologies Group on 11 of the 12 factors compared between the two stocks.

About Pinewood Technologies Group

Pinewood Technologies Group PLC is an automotive software provider. The Company is engaged in the dealer management software business. Pinewood Technologies Group PLC, formerly known as Pendragon PLC, is based in United Kingdom.

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. The company provides power electronics, control modules, software, friction, and mechanical products for automatic transmissions and torque-management products. It sells its products to original equipment manufacturers of light vehicles, which comprise passenger cars, sport-utility vehicles, vans, and light trucks; commercial vehicles, including medium-duty and heavy-duty trucks, and buses; and off-highway vehicles, such as agricultural and construction machinery, and marine applications, as well as to tier one vehicle systems suppliers and the aftermarket for light, commercial, and off-highway vehicles. The company was formerly known as Borg-Warner Automotive, Inc. BorgWarner Inc. was incorporated in 1987 and is headquartered in Auburn Hills, Michigan.