BorgWarner (NYSE:BWA) Upgraded at Bank of America

Bank of America upgraded shares of BorgWarner (NYSE:BWA) from a neutral rating to a buy rating in a research report sent to investors on Thursday, MarketBeat Ratings reports. Bank of America currently has $85.00 price objective on the auto parts company’s stock, up from their previous price objective of $78.00.

BWA has been the subject of a number of other research reports. Royal Bank Of Canada began coverage on shares of BorgWarner in a research note on Monday, August 31st. They issued an “outperform” rating and a $87.00 price objective for the company. UBS Group reduced their price objective on shares of BorgWarner from $95.00 to $91.00 and set a “buy” rating for the company in a report on Wednesday, October 7th. TD Cowen upped their target price on shares of BorgWarner from $67.00 to $68.00 and gave the company a “hold” rating in a research note on Thursday, August 6th. Barclays increased their price target on shares of BorgWarner from $83.00 to $85.00 and gave the stock an “overweight” rating in a research report on Monday, August 10th. Finally, Morgan Stanley increased their price target on shares of BorgWarner from $67.00 to $71.00 and gave the stock an “equal weight” rating in a research report on Thursday, August 6th. Ten research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. According to MarketBeat.com, BorgWarner presently has a consensus rating of “Moderate Buy” and an average price target of $79.00.

BorgWarner Trading Down 1.1%

Shares of BWA opened at $58.04 on Thursday. The stock’s 50-day moving average price is $63.81 and its 200 day moving average price is $63.62. The company has a quick ratio of 1.76, a current ratio of 2.13 and a debt-to-equity ratio of 0.67. The firm has a market capitalization of $11.82 billion, a price-to-earnings ratio of 29.02, a P/E/G ratio of 1.04 and a beta of 1.16. BorgWarner has a 12-month low of $40.73 and a 12-month high of $78.82.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, beating the consensus estimate of $1.28 by $0.14. BorgWarner had a return on equity of 19.10% and a net margin of 2.89%. The firm had revenue of $3.65 billion during the quarter, compared to analysts’ expectations of $3.58 billion. During the same quarter in the prior year, the firm posted $1.21 EPS. The company’s revenue for the quarter was up .3% on a year-over-year basis. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. As a group, research analysts predict that BorgWarner will post 5.20 earnings per share for the current year.

BorgWarner Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st were issued a $0.17 dividend. The ex-dividend date of this dividend was Tuesday, September 1st. This represents a $0.68 annualized dividend and a dividend yield of 1.2%. BorgWarner’s dividend payout ratio is presently 34.00%.

BorgWarner announced that its Board of Directors has initiated a share repurchase program on Wednesday, August 5th that permits the company to repurchase $1.00 billion in outstanding shares. This buyback authorization permits the auto parts company to purchase up to 7.7% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In other BorgWarner news, CAO Amy B. Kulikowski sold 2,900 shares of the business’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. The trade was a 22.97% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Rajesh Kalathur acquired 7,407 shares of the firm’s stock in a transaction on Wednesday, August 19th. The shares were purchased at an average cost of $67.59 per share, for a total transaction of $500,639.13. Following the completion of the purchase, the director directly owned 7,407 shares of the company’s stock, valued at approximately $500,639.13. The trade was a ? increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 0.76% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the company. BlackRock Inc. acquired a new stake in shares of BorgWarner in the second quarter valued at about $1,678,187,000. William Blair Investment Management LLC bought a new stake in BorgWarner during the second quarter worth about $251,305,000. Bank of America Corp DE acquired a new position in BorgWarner during the second quarter valued at approximately $250,618,000. Swedbank AB boosted its position in BorgWarner by 5.4% during the first quarter. Swedbank AB now owns 2,933,151 shares of the auto parts company’s stock valued at $159,153,000 after purchasing an additional 150,144 shares during the last quarter. Finally, Bank of New York Mellon Corp acquired a new position in BorgWarner during the second quarter valued at approximately $112,292,000. Institutional investors own 95.67% of the company’s stock.

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.