BorgWarner Inc. $BWA Shares Bought by Royal London Asset Management Ltd.

Royal London Asset Management Ltd. raised its position in BorgWarner Inc. (NYSE:BWA) by 17.5% during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm owned 1,487,868 shares of the auto parts company’s stock after purchasing an additional 221,908 shares during the quarter. Royal London Asset Management Ltd.’s holdings in BorgWarner were worth $98,794,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also modified their holdings of the company. Clearstead Trust LLC purchased a new position in BorgWarner in the second quarter valued at approximately $28,000. Prosperity Bancshares Inc acquired a new position in BorgWarner during the fourth quarter valued at approximately $37,000. Ceredex Value Advisors LLC purchased a new stake in BorgWarner during the second quarter worth approximately $40,000. Torren Management LLC acquired a new stake in shares of BorgWarner in the fourth quarter worth $48,000. Finally, Fiduciary Financial Advisors purchased a new position in shares of BorgWarner in the 2nd quarter valued at $49,000. 95.67% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting BorgWarner

Here are the key news stories impacting BorgWarner this week:

• Positive Sentiment: Improved long-term earnings outlook: Zacks lifted its FY2026 EPS forecast to $5.19 from $5.15, FY2027 to $5.82 from $5.68, and FY2028 to $6.35 from $6.00. Estimates for multiple 2027 and 2028 quarters were also increased, signaling improving expectations for BorgWarner’s longer-term growth and profitability. MarketBeat analyst estimate revisions
• Positive Sentiment: Growth-stock positioning: A Zacks article identified BWA as a potentially attractive long-term growth stock based on the firm’s Style Scores, which could support investor interest in the auto-parts supplier. Why BorgWarner is a Top Growth Stock for the Long-Term
• Neutral Sentiment: Recent operating performance provides support: BorgWarner’s latest reported quarter exceeded analyst expectations, with EPS of $1.42 versus a $1.28 consensus and revenue of $3.65 billion versus $3.58 billion. However, year-over-year revenue growth was limited, and the company’s net margin remained relatively low at 2.89%.
• Negative Sentiment: Near-term earnings reductions: Zacks cut its Q3 2026 EPS forecast to $1.22 from $1.27 and its Q4 2026 forecast to $1.31 from $1.39. The downward revisions suggest some near-term pressure despite the improved full-year and longer-term outlook, creating a mixed earnings signal for investors. BorgWarner earnings estimate revisions

BorgWarner Price Performance

Shares of BWA opened at $64.25 on Friday. BorgWarner Inc. has a 52 week low of $40.50 and a 52 week high of $78.82. The company has a current ratio of 2.13, a quick ratio of 1.76 and a debt-to-equity ratio of 0.67. The firm has a market cap of $13.09 billion, a price-to-earnings ratio of 32.12, a PEG ratio of 1.16 and a beta of 1.10. The stock has a 50 day moving average of $65.59 and a 200-day moving average of $62.07.

BorgWarner (NYSE:BWA) last released its earnings results on Wednesday, August 5th. The auto parts company reported $1.42 earnings per share for the quarter, beating the consensus estimate of $1.28 by $0.14. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The firm had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.58 billion. During the same quarter in the previous year, the firm earned $1.21 earnings per share. The firm’s revenue for the quarter was up .3% compared to the same quarter last year. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. As a group, analysts forecast that BorgWarner Inc. will post 5.2 EPS for the current year.

BorgWarner Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be paid a dividend of $0.17 per share. The ex-dividend date is Tuesday, September 1st. This represents a $0.68 annualized dividend and a yield of 1.1%. BorgWarner’s dividend payout ratio is 34.00%.

BorgWarner declared that its Board of Directors has authorized a share buyback program on Wednesday, August 5th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the auto parts company to buy up to 7.7% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s management believes its stock is undervalued.

Analysts Set New Price Targets

BWA has been the subject of a number of recent analyst reports. Morgan Stanley raised their price objective on BorgWarner from $67.00 to $71.00 and gave the company an “equal weight” rating in a research note on Thursday, August 6th. Weiss Ratings raised shares of BorgWarner from a “hold (c)” rating to a “hold (c+)” rating in a report on Monday, June 29th. Wall Street Zen raised shares of BorgWarner from a “hold” rating to a “buy” rating in a report on Saturday, June 27th. JPMorgan Chase & Co. raised their price objective on shares of BorgWarner from $75.00 to $85.00 and gave the stock an “overweight” rating in a report on Monday, August 10th. Finally, Wells Fargo & Company raised their price objective on shares of BorgWarner from $68.00 to $83.00 and gave the stock an “overweight” rating in a report on Tuesday, June 2nd. Nine investment analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat, BorgWarner currently has an average rating of “Moderate Buy” and an average target price of $75.93.

Insider Transactions at BorgWarner

In other news, Director Rajesh Kalathur bought 7,407 shares of the firm’s stock in a transaction on Wednesday, August 19th. The stock was purchased at an average price of $67.59 per share, for a total transaction of $500,639.13. Following the transaction, the director owned 7,407 shares in the company, valued at approximately $500,639.13. This trade represents a ? increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through this link. Also, CAO Amy B. Kulikowski sold 2,900 shares of BorgWarner 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 sale, the chief accounting officer directly owned 9,725 shares in the company, valued at approximately $667,135. This trade represents a 22.97% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 0.76% of the company’s stock.

BorgWarner Company Profile

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.