BorgWarner (NYSE:BWA) Upgraded at Wall Street Zen

Wall Street Zen upgraded shares of BorgWarner (NYSE:BWA) from a hold rating to a buy rating in a research report report published on Saturday,Wall Street Zen reports.

A number of other equities research analysts also recently weighed in on the company. Royal Bank Of Canada assumed coverage on BorgWarner in a research report on Monday, August 31st. They set an “outperform” rating and a $87.00 price target on the stock. TD Cowen upped their price objective on BorgWarner from $67.00 to $68.00 and gave the stock a “hold” rating in a report on Thursday, August 6th. JPMorgan Chase & Co. upped their price objective on BorgWarner from $75.00 to $85.00 and gave the stock an “overweight” rating in a report on Monday, August 10th. Morgan Stanley increased their price objective on BorgWarner from $67.00 to $71.00 and gave the company an “equal weight” rating in a research report on Thursday, August 6th. Finally, Deutsche Bank Aktiengesellschaft set a $80.00 price objective on BorgWarner in a report on Thursday, August 6th. Nine analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $78.57.

BorgWarner Price Performance

BWA stock opened at $60.06 on Friday. 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 one year low of $40.50 and a one year high of $78.82. The stock has a market cap of $12.23 billion, a PE ratio of 30.03, a P/E/G ratio of 1.10 and a beta of 1.16. The firm has a 50 day simple moving average of $64.37 and a two-hundred day simple moving average of $63.57.

BorgWarner (NYSE:BWA) last issued its quarterly earnings results 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. The firm 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 revenue for the quarter was up .3% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. On average, analysts predict that BorgWarner will post 5.20 EPS for the current fiscal year.

BorgWarner Announces Dividend

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

BorgWarner declared that its board has approved a stock buyback plan on Wednesday, August 5th that allows the company to buy back $1.00 billion in outstanding shares. This buyback authorization allows the auto parts company to reacquire up to 7.7% of its stock through open market purchases. Share buyback plans are generally a sign that the company’s leadership believes its stock is undervalued.

Insider Buying and Selling

In other BorgWarner news, Director Rajesh Kalathur purchased 7,407 shares of the business’s stock in a transaction on Wednesday, August 19th. The stock was acquired at an average cost of $67.59 per share, for a total transaction of $500,639.13. Following the completion of the transaction, the director directly owned 7,407 shares in the company, valued at approximately $500,639.13. This represents a ∞ increase in their position. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CAO Amy B. Kulikowski sold 2,900 shares of the firm’s stock in a transaction dated Tuesday, August 18th. The shares were sold at an average price of $68.60, for a total value of $198,940.00. Following the transaction, the chief accounting officer directly owned 9,725 shares in the company, valued at $667,135. This trade represents a 22.97% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.76% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On BorgWarner

Institutional investors have recently bought and sold shares of the stock. Cullen Capital Management LLC purchased a new stake in shares of BorgWarner in the second quarter worth $4,937,000. Louisiana State Employees Retirement System bought a new position in shares of BorgWarner during the first quarter valued at $3,256,000. Tribune Investment Group LP purchased a new position in shares of BorgWarner in the 2nd quarter worth about $3,432,000. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new position in shares of BorgWarner in the 2nd quarter worth about $5,664,000. Finally, Bessemer Group Inc. raised its position in shares of BorgWarner by 19.8% in the 1st quarter. Bessemer Group Inc. now owns 241,173 shares of the auto parts company’s stock worth $13,086,000 after purchasing an additional 39,787 shares during the last quarter. 95.67% of the stock is currently owned by hedge funds and other institutional investors.

BorgWarner Company Profile

BorgWarner Inc is a global automotive supplier that develops and manufactures propulsion, drivetrain, thermal-management and emissions technologies. The company serves automakers and commercial-vehicle manufacturers, supplying components and systems for internal-combustion, hybrid and electric vehicles.

Its product portfolio includes turbochargers, transmission systems, all-wheel-drive and four-wheel-drive technologies, clutches, timing systems, battery systems, power electronics, electric motors, thermal-management products and charging-related technologies.