Texas Permanent School Fund lessened its stake in shares of BorgWarner Inc. (NYSE:BWA) by 5.0% in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 36,538 shares of the auto parts company’s stock after selling 1,930 shares during the quarter. Texas Permanent School Fund’s holdings in BorgWarner were worth $1,585,000 at the end of the most recent reporting period.
Several other large investors also recently modified their holdings of the company. Diamond Hill Capital Management Inc. raised its position in BorgWarner by 21.2% in the 3rd quarter. Diamond Hill Capital Management Inc. now owns 12,104,013 shares of the auto parts company’s stock valued at $443,975,000 after purchasing an additional 2,116,861 shares during the last quarter. Hexavest Inc. purchased a new position in BorgWarner during the 4th quarter worth $28,419,000. Exchange Traded Concepts LLC purchased a new position in BorgWarner during the 4th quarter worth $11,342,000. KAMES CAPITAL plc purchased a new position in BorgWarner during the 4th quarter worth $10,636,000. Finally, Kopion Asset Management LLC purchased a new position in BorgWarner during the 4th quarter worth $8,785,000. Institutional investors and hedge funds own 91.38% of the company’s stock.
A number of equities analysts have commented on BWA shares. TheStreet downgraded shares of BorgWarner from a “b-” rating to a “c+” rating in a research report on Monday. ValuEngine upgraded shares of BorgWarner from a “sell” rating to a “hold” rating in a research report on Friday, January 10th. Morgan Stanley cut their price objective on shares of BorgWarner from $52.00 to $43.00 and set an “overweight” rating for the company in a research report on Thursday, January 30th. Oppenheimer set a $47.00 price objective on shares of BorgWarner and gave the stock a “buy” rating in a research report on Friday, November 1st. Finally, Barclays restated a “buy” rating and set a $46.00 price objective on shares of BorgWarner in a research report on Sunday, November 3rd. One investment analyst has rated the stock with a sell rating, six have given a hold rating and eight have assigned a buy rating to the stock. BorgWarner has a consensus rating of “Hold” and a consensus target price of $44.71.
BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Thursday, February 13th. The auto parts company reported $1.17 earnings per share for the quarter, topping the Zacks’ consensus estimate of $1.03 by $0.14. BorgWarner had a net margin of 7.43% and a return on equity of 19.43%. The business had revenue of $2.56 billion for the quarter, compared to analysts’ expectations of $2.49 billion. During the same period in the prior year, the company posted $1.21 EPS. The business’s revenue for the quarter was down .6% on a year-over-year basis. As a group, analysts forecast that BorgWarner Inc. will post 3.99 earnings per share for the current year.
The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 16th. Investors 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 2.02%. BorgWarner’s payout ratio is 15.18%.
BorgWarner announced that its Board of Directors has approved a share buyback plan on Tuesday, January 28th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the auto parts company to repurchase up to 14.1% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s management believes its shares are undervalued.
BorgWarner Inc provides solutions for combustion, hybrid, and electric vehicles worldwide. It operates in two segments, Engine and Drivetrain. The Engine segment develops and manufactures turbochargers; eBoosters; and timing systems products, including timing chains, variable cam timing crankshaft and camshaft sprockets, tensioners, guides and snubbers, front-wheel drive transmission chains, four-wheel drive chains, and hybrid power transmission chains.
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