BorgWarner (NYSE:BWA) Stock Gets Price Target Reduction from TD Cowen

BorgWarner (NYSE:BWA) had its price target cut by TD Cowen from $68.00 to $67.00 in a report released on Friday,Benzinga reports. They currently have a hold rating on the auto parts company’s stock.

Several other research analysts also recently issued reports on BWA. Morgan Stanley reduced their price target on shares of BorgWarner from $95.00 to $89.00 and set an “overweight” rating on the stock in a research report on Friday. Robert W. Baird set a $79.00 price target on shares of BorgWarner in a research note on Thursday, August 6th. Barclays raised their price target on shares of BorgWarner from $83.00 to $85.00 and gave the stock an “overweight” rating in a report on Monday, August 10th. Bank of America upgraded BorgWarner from a “neutral” rating to a “buy” rating and upped their price objective for the company from $78.00 to $85.00 in a research note on Thursday, October 15th. Finally, Weiss Ratings reaffirmed a “hold (c+)” rating on shares of BorgWarner in a report on Friday, September 25th. Eleven research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $79.33.

BorgWarner Trading Up 0.1%

Shares of BWA stock opened at $51.70 on Friday. The company has a debt-to-equity ratio of 0.32, a current ratio of 1.41 and a quick ratio of 1.12. The firm has a market cap of $10.38 billion, a P/E ratio of 22.00, a PEG ratio of 0.75 and a beta of 1.20. The firm’s 50-day simple moving average is $61.31 and its 200-day simple moving average is $60.54. BorgWarner has a 1-year low of $40.73 and a 1-year high of $78.82.

BorgWarner (NYSE:BWA) last announced its quarterly earnings data on Thursday, October 29th. The auto parts company reported $1.39 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.25 by $0.14. The firm had revenue of $3.49 billion for the quarter, compared to analysts’ expectations of $3.50 billion. BorgWarner had a return on equity of 19.61% and a net margin of 3.36%. The firm’s revenue for the quarter was down 2.9% on a year-over-year basis. During the same period last year, the business posted $1.24 earnings per share. As a group, equities analysts forecast that BorgWarner will post 5.27 EPS for the current year.

BorgWarner announced that its Board of Directors has authorized a stock repurchase program on Wednesday, August 5th that allows the company to buy back $1 billion in shares. This repurchase authorization allows the auto parts company to reacquire up to 7.7% of its shares through open market purchases. Stock repurchase programs are generally an indication that the company’s management believes its shares are undervalued.

Insider Buying and Selling

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

Institutional Trading of BorgWarner

Several institutional investors and hedge funds have recently modified their holdings of the business. BlackRock Inc. acquired a new position in BorgWarner in the 2nd quarter valued at $1,678,187,000. William Blair Investment Management LLC purchased a new position in BorgWarner in the second quarter valued at about $251,305,000. Bank of America Corp DE acquired a new stake in shares of BorgWarner in the 2nd quarter valued at about $250,618,000. Bank of New York Mellon Corp acquired a new stake in shares of BorgWarner during the second quarter worth $112,292,000. Finally, SEB Asset Management AB acquired a new position in shares of BorgWarner during the first quarter valued at $50,930,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

BorgWarner News Summary

Here are the key news stories impacting BorgWarner this week:

• Positive Sentiment: BorgWarner reported third-quarter adjusted EPS of $1.39, above the $1.24–$1.26 analyst consensus and up from $1.24 a year earlier. The company also increased its 2026 adjusted EPS guidance, highlighting the impact of cost controls and operational improvements. BorgWarner Reports Strong Third Quarter 2026 Results
• Positive Sentiment: The company announced nine business awards, including high-voltage inverter and eMotor programs, supporting its strategy to expand in electrification and build longer-term profitable growth. High-Voltage Inverter Supply Agreement
• Positive Sentiment: Despite target reductions, Morgan Stanley maintained an overweight rating with an $89 target, while RBC retained an outperform rating with a $75 target—both implying substantial potential upside from the reported share price. Morgan Stanley Ratings
• Neutral Sentiment: TD Cowen lowered its target to $67 and kept a hold rating, indicating analysts see valuation upside but remain cautious about the near-term outlook. TD Cowen Ratings
• Negative Sentiment: Third-quarter revenue was $3.49 billion, slightly below expectations and down 2.9% year over year, reflecting lower customer volumes. BorgWarner also reduced elements of its 2026 outlook, raising concerns about demand and the pace of recovery.
• Negative Sentiment: Morgan Stanley, RBC, and TD Cowen all reduced their price targets, signaling increased caution even though each firm’s revised target remains above the current trading level. RBC Ratings

About BorgWarner

BorgWarner Inc (NYSE:BWA) is a global automotive technology company that develops and manufactures propulsion and mobility systems for vehicle manufacturers and commercial vehicle customers. The company serves both internal-combustion and electrified vehicle markets, with a portfolio focused on improving vehicle efficiency, performance, emissions, and electrification.

Its products and technologies include turbochargers, emissions and thermal-management systems, transmission components, friction products, battery systems, battery charging equipment, power electronics, electric motors, and other electric-drive components.