BorgWarner Inc. (NYSE:BWA) Receives $63.23 Average Price Target from Analysts

BorgWarner Inc. (NYSE:BWA) has earned an average recommendation of “Moderate Buy” from the fifteen ratings firms that are currently covering the stock, MarketBeat Ratings reports. Seven analysts have rated the stock with a hold rating and eight have issued a buy rating on the company. The average 12 month target price among analysts that have issued ratings on the stock in the last year is $63.2308.

BWA has been the subject of a number of research reports. Weiss Ratings reiterated a “hold (c)” rating on shares of BorgWarner in a report on Wednesday, January 21st. JPMorgan Chase & Co. raised their price objective on shares of BorgWarner from $56.00 to $76.00 and gave the company an “overweight” rating in a report on Thursday, February 12th. Morgan Stanley set a $60.00 price objective on shares of BorgWarner in a report on Thursday, February 12th. TD Cowen reiterated a “hold” rating on shares of BorgWarner in a report on Thursday, February 12th. Finally, Piper Sandler reiterated a “neutral” rating and issued a $51.00 price objective (down from $52.00) on shares of BorgWarner in a report on Thursday, January 8th.

BorgWarner Stock Up 0.0%

Shares of NYSE BWA opened at $54.50 on Wednesday. The company has a 50 day simple moving average of $55.04 and a 200 day simple moving average of $48.36. The firm has a market cap of $11.23 billion, a PE ratio of 43.60, a price-to-earnings-growth ratio of 1.11 and a beta of 1.04. BorgWarner has a 1 year low of $25.35 and a 1 year high of $70.08. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.07 and a quick ratio of 1.70.

BorgWarner (NYSE:BWA) last issued its quarterly earnings data on Wednesday, February 11th. The auto parts company reported $1.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.16 by $0.19. The business had revenue of $3.57 billion during the quarter, compared to analyst estimates of $3.49 billion. BorgWarner had a net margin of 1.93% and a return on equity of 17.89%. The firm’s quarterly revenue was up 3.9% on a year-over-year basis. During the same quarter last year, the business earned $1.01 EPS. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. On average, research analysts forecast that BorgWarner will post 4.28 EPS for the current year.

BorgWarner Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, March 16th. Shareholders of record on Monday, March 2nd were issued a dividend of $0.17 per share. The ex-dividend date was Monday, March 2nd. This represents a $0.68 annualized dividend and a yield of 1.2%. BorgWarner’s dividend payout ratio (DPR) is presently 54.40%.

Insider Activity

In other BorgWarner news, EVP Tonit M. Calaway sold 16,000 shares of the firm’s stock in a transaction that occurred on Friday, February 13th. The shares were sold at an average price of $65.08, for a total transaction of $1,041,280.00. Following the completion of the transaction, the executive vice president owned 240,251 shares in the company, valued at approximately $15,635,535.08. This trade represents a 6.24% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Tania Wingfield sold 17,867 shares of the firm’s stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $63.43, for a total transaction of $1,133,303.81. Following the transaction, the executive vice president owned 45,429 shares of the company’s stock, valued at approximately $2,881,561.47. The trade was a 28.23% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 78,083 shares of company stock worth $4,638,585. 0.76% of the stock is owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. CWM LLC raised its holdings in BorgWarner by 218.3% during the 3rd quarter. CWM LLC now owns 235,861 shares of the auto parts company’s stock worth $10,368,000 after purchasing an additional 161,755 shares during the last quarter. Jackson Creek Investment Advisors LLC bought a new stake in shares of BorgWarner in the 3rd quarter valued at $1,876,000. Ritholtz Wealth Management bought a new stake in shares of BorgWarner in the 3rd quarter valued at $1,016,000. Merit Financial Group LLC increased its stake in shares of BorgWarner by 73.1% in the 3rd quarter. Merit Financial Group LLC now owns 44,395 shares of the auto parts company’s stock valued at $1,952,000 after acquiring an additional 18,749 shares in the last quarter. Finally, Sivia Capital Partners LLC bought a new stake in shares of BorgWarner in the 2nd quarter valued at $339,000. Institutional investors own 95.67% of the company’s stock.

About BorgWarner

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.