Retirement Systems of Alabama Buys 81,665 Shares of BorgWarner Inc. $BWA

Retirement Systems of Alabama lifted its stake in shares of BorgWarner Inc. (NYSE:BWA) by 38.5% during the third quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 293,813 shares of the auto parts company’s stock after purchasing an additional 81,665 shares during the quarter. Retirement Systems of Alabama owned about 0.15% of BorgWarner worth $17,661,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently made changes to their positions in the company. Fulcrum Asset Management LLP purchased a new stake in shares of BorgWarner during the 3rd quarter worth approximately $97,000. Allspring Global Investments Holdings LLC increased its stake in BorgWarner by 344.2% in the 3rd quarter. Allspring Global Investments Holdings LLC now owns 372,370 shares of the auto parts company’s stock valued at $22,484,000 after purchasing an additional 288,541 shares in the last quarter. Ethic Inc. increased its stake in BorgWarner by 1.4% in the 3rd quarter. Ethic Inc. now owns 55,949 shares of the auto parts company’s stock valued at $3,363,000 after purchasing an additional 748 shares in the last quarter. Ethos Capital Management Inc. increased its stake in BorgWarner by 9.2% in the 3rd quarter. Ethos Capital Management Inc. now owns 47,661 shares of the auto parts company’s stock valued at $2,865,000 after purchasing an additional 4,017 shares in the last quarter. Finally, Alps Advisors Inc. acquired a new position in BorgWarner during the third quarter worth $3,191,000. Institutional investors and hedge funds own 95.67% of the company’s stock.

Insider Transactions at BorgWarner

In related news, CAO Amy B. Kulikowski sold 2,900 shares of the company’s stock in a transaction on Tuesday, August 18th. The stock was sold at an average price of $68.60, for a total value of $198,940.00. Following the completion of the transaction, the chief accounting officer directly owned 9,725 shares in the company, valued at approximately $667,135. This represents a 22.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, Director Michael S. Hanley sold 5,000 shares of the company’s stock in a transaction on Friday, August 28th. The shares were sold at an average price of $65.51, for a total value of $327,550.00. Following the completion of the transaction, the director owned 34,313 shares of the company’s stock, valued at $2,247,844.63. The trade was a 12.72% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.76% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of analysts have commented on BWA shares. Wall Street Zen upgraded BorgWarner from a “hold” rating to a “buy” rating in a research report on Sunday, November 1st. Deutsche Bank set a $80.00 price target on BorgWarner in a research report on Thursday, August 6th. Barclays cut their price target on BorgWarner from $85.00 to $80.00 and set an “overweight” rating for the company in a research note on Monday, November 2nd. Morgan Stanley cut their price target on BorgWarner from $95.00 to $89.00 and set an “overweight” rating for the company in a research note on Friday, October 30th. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of BorgWarner in a research report on Friday, September 25th. Eleven research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, BorgWarner has a consensus rating of “Moderate Buy” and a consensus target price of $79.00.

BorgWarner Stock Performance

Shares of NYSE BWA opened at $51.07 on Friday. The company has a market cap of $10.25 billion, a PE ratio of 21.73, a price-to-earnings-growth ratio of 0.72 and a beta of 1.20. BorgWarner Inc. has a 12 month low of $40.73 and a 12 month high of $78.82. 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 company has a 50-day simple moving average of $58.73 and a 200-day simple moving average of $60.66.

BorgWarner (NYSE:BWA) last posted its quarterly earnings data on Thursday, October 29th. The auto parts company reported $1.39 earnings per share for the quarter, beating analysts’ consensus estimates of $1.25 by $0.14. The business had revenue of $3.49 billion during the quarter, compared to analyst estimates of $3.50 billion. BorgWarner had a net margin of 3.36% and a return on equity of 19.61%. The company’s revenue was down 2.9% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.24 earnings per share. On average, equities analysts anticipate that BorgWarner Inc. will post 5.27 earnings per share for the current year.

BorgWarner announced that its board has approved a stock repurchase plan on Wednesday, August 5th that allows the company to repurchase $1 billion in outstanding shares. This repurchase authorization allows the auto parts company to purchase up to 7.7% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s leadership believes its shares are undervalued.

BorgWarner Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, December 15th. Shareholders of record on Tuesday, December 1st will be paid a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 1.3%. The ex-dividend date of this dividend is Tuesday, December 1st. BorgWarner’s payout ratio is presently 28.94%.

BorgWarner Profile

BorgWarner Inc. is a global automotive supplier that develops and manufactures technologies for passenger vehicles, commercial vehicles and other applications. Its products support vehicles powered by internal combustion engines as well as hybrid and electric vehicles. The company’s offerings include turbocharging systems, transmission components, electric motors, power electronics, battery and thermal-management systems, and technologies that help control emissions. BorgWarner supplies automakers and commercial-vehicle manufacturers around the world, with operations serving markets across North America, Europe and Asia.